AUB posts record P12.7 billion net income on loan growth

Asia United Bank (AUB) reported a record net income of P12.7 billion in 2025, up 12 percent from P11.4 billion posted in 2024.

The banking arm of the Ng family attributed the performance to robust growth in commercial lending and improved operating efficiency.

The bank said in a disclosure to the Philippine Stock Exchange that its return on equity stood at 20 percent, while return on assets reached 3.1 percent. Total assets climbed 13 percent to P435 billion by the end of the period, reflecting what the lender described as efficient capital deployment and a clean balance sheet.

Despite the record earnings, AUB president Manuel Gomez said the bank remains cautiously optimistic about the industry.

Gomez cited rising competition from fintech firms, artificial intelligence adoption, growing cyber threats, cost pressures and continuing geopolitical instability as primary headwinds.

“However, growth opportunities abound for AUB, particularly in digital partnerships. It is through this that we can stay ahead of the curve by revolutionizing cross-border digital payment solutions through our HelloMoney, among others,” Gomez said.

Total operating income grew 9 percent to P23.2 billion, supported by a loan portfolio that expanded 13 percent to P276 billion as business confidence returned to pre-pandemic levels.

The lending activity pushed net interest income up 10 percent to P18.4 billion.

The bank maintained a steady net interest margin of 4.8 percent, helped by a 25-percent surge in low-cost current and savings account (CASA) deposits to P279 billion.

These low-cost deposits accounted for 71 percent of total deposits, which grew 12 percent year on year to P349 billion.

Other income rose 8 percent to P4.8 billion, led by fee-based earnings from AUB PayMate, HelloMoney, remittances, trust and credit cards. Asset quality remained stable with a nonperforming loan ratio of 0.38 percent and a coverage ratio of 115 percent.

Capital levels remained above regulatory requirements.