BPI nets P66.6B in 2025

BANK of the Philippine Islands (BPI) posted a 7.4% increase in net income to P66.6 billion last year, supported by strong revenue growth that helped offset higher operating expenses and loan-loss provisions.

“Revenue growth remained strong although income growth was partly tempered by higher provisions and operating expenses, but the bank continued to sustain a positive jaw,” the Ayala-led lender said in a statement on Monday.

BPI posted a return on equity of 14.5% and a return on assets of 2% for the year. Its financial statements were unavailable as of press time.

Revenue climbed 14.8% to P195.3 billion, driven mainly by higher net interest income, which rose 16% to P148 billion.

This was supported by an 8.5% expansion in the bank’s asset base, allowing its net interest margin to widen by 28 basis points (bps) to 4.6%.

Noninterest income increased 11% to P47.2 billion, reflecting higher fees from cards, insurance and wealth management, alongside solid trading gains.

Operating expenses went up 9.9% to P92.1 billion, largely due to higher costs linked to business volumes, manpower and technology investments. Despite this, the bank’s cost-to-income ratio improved by 209 bps to 47.2%.

Provisions more than doubled, surging 168.9% to P17.8 billion. BPI said this supported asset quality as its nonperforming loan ratio stood at 2.18%. Bad loan coverage was 122.9%.

Total loans reached P2.6 trillion at end-2025, up 14.7% year on year. Institutional loans grew 10.4%, while noninstitutional loans expanded 25.8%, led by business banking, credit cards and personal loans.

On the funding side, deposits rose 8.6% to P2.8 trillion. Current and savings account (CASA) deposits hit P1.7 trillion, translating to a CASA ratio of 60.7%. — Aaron Michael C. Sy