UnionBank reported a net profit surge of 113% to P6.91 billion for the first half of the year, with the parent bank contributing 96% of the group’s earnings.
Net revenues increased 9% year‑on‑year to P43.1 billion. Net interest income rose 8% to P33.72 billion, supported by strong loan growth, while interest income reached P42.37 billion and interest expense was P8.65 billion.
Loans and other receivables totaled P565.67 billion at the end of June. Consumer lending accounted for 61% of the loan portfolio and grew 10%, led by an 18% rise in credit‑card and personal‑loan balances.
Net interest margin improved by 40 basis points to 6.9%. Credit costs declined 19% year‑on‑year to P9.4 billion, reflecting better asset quality.
Non‑interest income increased 12% year‑on‑year to P9.41 billion, driven primarily by higher fee income from card services, wealth management, bancassurance and other everyday banking transactions.
Operating expenses were P24.77 billion. Deposits grew to P735.12 billion, with a 7% increase in current‑account and savings‑account balances.
Total assets reached P1.18 trillion, and capital funds stood at P205.21 billion. The bank highlighted ongoing efforts to strengthen the balance sheet while sharpening focus on core capabilities.
The chief financial officer emphasized continued improvement in asset quality, confidence in the profitability trajectory, and a deliberate strategy to simplify the group and allocate resources more efficiently.
UnionBank shares closed up 2.67% at P24.95 each.
