Republic Biscuit owner Jacinto Ng’s Asia United Bank (AUB) grew its net income by more than half in the nine months through September on the back of higher operating income and lower expenses.
AUB booked a net profit of P4.6 billion from January to September, 57 percent higher than the P2.9 billion recorded in the same period last year.
The bank’s net interest income grew by 14 percent to P9.3 billion from last year’s P8.2 billion due to increased gross interest income and lower interest expense.
Other operating income also jumped by 40 percent to P1.6 billion, attributed mostly from higher trading and securities gain, foreign exchange gain and service charges, fees and commissions.
Meanwhile, the group’s total operating expenses, including provision for losses, decreased by five percent to P5.3 billion during the nine-month period.
AUB said the decline mainly came from the P384.5 million lower provision for credit and impairment losses for the bank’s loan portfolio as the bank set aside lower provision this year due to improvement in its asset quality.
“Provision for credit and impairment losses also contributed to the bottomline with a 27 percent decrease from P1.4 billion as of September 30, 2021 to P1 billion same period this year,” AUB said.
AUB’s net income for the period translated to a return on assets of 1.9 percent and a return on equity of 16.4 percent.