MANILA: Union Bank of the Philippines reported its net income in the first nine months of 2016 surge by 122 percent at P8.2 billion from P3.7 billion a year earlier.
“Our customer business grew faster than anticipated. We are ahead in delivering our financial goals for 2016,” Jesus Roberto S. Reyes, UnionBank chief operating officer and treasurer, said in a disclosure to the Philippine Stock Exchange on Wednesday.
“We now have a substantial level of core earning assets that will continue to provide us with a recurring revenue stream,” Reyes added.
The bank attributed its nine-month net income surge to robust growth in net interest income and fees coupled with profits from the sale of securities. Net interest income stood at P10.9 billion, up P2.2 billion, while fees amounting to P3.2 billion were up P400 million.
Total loans reached P221.2 billion, up 34.7 percent on the back of double-digit growth across retail, commercial, and corporate business segments.
The third quarter results were enhanced by profits from securities sold to support the bank’s loan growth strategy, UnionBank said.
Deposits totaled P364 billion, up 25.1 percent, with low-cost current account, savings account (CASA) increasing by 17.3 percent. The bank noted the combined growth in customer loans and deposits contributed to allow recurring revenue to increase by P2.6 billion at P14.1 billion.
