UnionBank bounces back in Q1, profit up 79% | Bilyonaryo Business News
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UnionBank bounces back in Q1, profit up 79%

Aboitiz-led Union Bank of the Philippines reported a 79% jump in its earnings in January to March to P4.7 billion, driven by a strong growth in customer deposits and robust trading gains.

Aboitiz-led Union Bank of the Philippines reported a 79% jump in its earnings in January to March to P4.7 billion, driven by a strong growth in customer deposits and robust trading gains.

Net revenues surged 50% to P14.3 billion, providing cushion for the bank to beef up provisions for bad loans by another P2.3 billion. Net interest income went up by 6% to P7.2 billion despite muted credit demand.

As of end-March this year, total assets stood at P747.3 billion while total loans and receivables declined by 12% to P344.9 billion on weak demand for corporate loans.

Total high-cost deposits were lower by 22% to P222.8 billion as funding requirements
were supported by low-cost CASA deposits.

“I am pleased with the bank’s first quarter results despite continued challenges from the pandemic. We continue to see a big shift in the use of digital channels. The bank onboarded more than 470,000 new digital customers in the first quarter of 2021 alone.

As of end-March 2021, 2.4 million customers are using our app. Digital transactions are averaging 6 million per month with UnionBank ranking among the top banks in terms of PESONet and InstaPay transactions. This digital shift motivates us to continue enhancing features across our digital platforms,” said Edwin R. Bautista, president and CEO.

 
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