BDO Unibank Inc., the country’s biggest lender controlled by retail tycoon Henry Sy, is paying P1.094 billion in cash dividends to stockholders of record as of June 15, 2016.
BDO said in a disclosure to the stock exchange Monday the source of the dividend payment would come from the surplus profits of the bank.
The bank said the board in a meeting Saturday approved the declaration of cash dividends in the amount of P0.30 per common share, or approximately P1.094 billion, to be paid to all stockholders of record as of June 15, 2016 and payable on June 27, 2016.
It said the payment of cash dividend was subject to the approval of the Bangko Sentral ng Pilipinas.
BDO posted a record P25-billion net income in 2015, a 10-percent increase over 2014, matching the earnings guidance for the year.
The bank attributed the solid expansion to all business segments and the contribution of One Network Bank, the biggest rural bank in Mindanao, which it acquired in July 2015.
BDO’s net profit in the first quarter of 2016 declined 11 percent to P5.5 billion from P6.1 billion year-on-year, due mainly to lower trading and foreign exchange gains. Trading and FX gains in the first three months declined 58 percent to P1.5 billion from P3.4 billion on year.
BDO is aiming for a minimal 4-percent growth in net income to P26 billion this year from P25 billion a year ago due mainly to election uncertainties and weakness in global economies.
Bank president and chief executive Nestor Tan said in an earlier briefing the P26-billion income guidance this year would translate into a 12.5 percent to 13 percent return on equity.
BDO remained the country’s biggest universal and commercial bank in terms of assets, capital, loans and deposits as of end-2015.
Data from Bangko Sentral ng Pilipinas showed BDO had total assets of P1.943 trillion as of Dec. 31 last year. It was followed by Metropolitan Bank & Trust Co. at P1.461 trillion, and Ayala-led Bank of the Philippine Islands with P1.241 trillion.
BDO also led in terms of capital with P198.636 billion, followed by Metrobank with P186.856 billion; BPI, P145.768 billion; PNB, P94.336 billion; Landbank, P79.988 billion; RCBC, P58.096 billion; Union Bank, P54.677 billion; Chinabank, P54.136 billion; Security Bank, P53.161 billion; and Development Bank of the Philippines, P37.661 billion.
BDO had total deposits of P1.601 trillion last year, followed by Metrobank at the second spot with P1.106 trillion, and Landbank with P1.046 trillion.
BDO’s total loans last year stood at P1.310 trillion, followed by Metrobank at second place with P697.840 billion and BPI at third with P666.099 billion.
BDO has one of the largest distribution networks, with more than 1,000
operating branches and over 3,000 ATM nationwide.
It has a branch in Hong Kong as well as 27 overseas remittance and representative offices in Asia, Europe, North America and the Middle East.