UnionBank of the Philippines on Monday reported a full-year net income of P10 billion in 2025, supported by a surge in second-half earnings and the continued integration of its acquired Citi consumer business.
The bank said its second-half performance more than doubled with a 108-percent increase compared with the first six months of the year, as record revenues at the parent bank helped offset one-time costs booked primarily at the subsidiary level.
The bank reported net revenues of P83.2 billion last year, led by a customer base that grew 9.7 percent to 18.6 million.
“In 2025, we took deliberate steps to strengthen our balance sheet and lay the foundation for profitable, sustainable growth. Building on the strength of our core franchise, we are doubling down on our key competitive advantages in 2026,” UnionBank president and chief executive Ana Aboitiz Delgado said.
“We expect continued improvement in topline growth and NIM, supported by an expanding customer base and a growing stream of recurring revenues. As we move into 2026, our focus remains on disciplined growth, customer-centric innovation and delivering long-term value for our shareholders,” she said.
Unsecured consumer loans at the parent bank rose 18 percent to P150.8 billion, fueled by digital acquisition and cross-selling. Consumer loans now represent 61 percent of the total loan portfolio, spanning credit cards, mortgages, personal loans and vehicle financing.
Net interest income reached P64.2 billion as net interest margins improved by 46 basis points to 6.4 percent. The bank attributed the margin expansion to an improved funding mix, noting that low-cost CASA deposits grew 12 percent year-on-year.
Fee income also remained strong, with digital transaction volumes and card-related fees contributing to a fee income-to-assets ratio of 1.3 percent, which the bank noted is more than twice the industry average.
Operating expenses for the year totaled P47.9 billion, an 8-percent increase from the previous year. UnionBank officials said that excluding one-time items, cost growth would have been limited to 5 percent, reflecting digitization initiatives.
While credit costs rose 18 percent to P21.2 billion, asset quality indicators showed signs of improvement. The non-performing loan ratio fell 37 basis points to 6.8 percent, while provision coverage increased to 70.8 percent from 58.2 percent.
The bank maintained a Common Equity Tier 1 Ratio of 15.03 percent and a Capital Adequacy Ratio of 15.86 percent, above regulatory requirements.
