Chinabank nets P13 billion in first half 2025

China Banking Corporation (Chinabank; PSE: CBC) registered a net income of P13 billion in the first six months of 2025 on the back of strong core business growth.

 

The record profits were equivalent to a 14% increase over the same period last year and translated to a 15.2% return on equity and a 1.6% return on assets — among the highest in the industry.

The bank’s total revenues surged by 34% year-on-year to P38.9 billion, mainly from net interest income which grew by 15% to P34.9 billion on higher asset yields and loan volume. Net interest margin improved by 13 basis points to 4.57%.

“We continue to deliver strong operating results in the first semester while supporting the needs of our customers and contributing to the growth of our economy,” CBC President & Chief Executive Officer Romeo D. Uyan Jr. said.

Credit extended to the consumer and corporate segments rose by 18% as Chinabank’s gross loans hit P964.7 billion amid the accelerating economic activities and increasing consumer confidence. Despite a lower non-performing loans (NPL) ratio of 1.6%, well below the industry average of 3.5%, the bank proactively set aside higher credit provisions of P6.5 billion for an NPL coverage of 125%, higher than the industry average of 95%.

The loans growth was funded by deposits, which increased by 5% to P1.3 trillion, underpinned by a 10% growth in checking and savings accounts.

“We are sustaining our growth momentum as we execute our strategy and focus on delivering quality service and value to our clients and stakeholders,” Uyan added. 

In the six-month period, operating expenses reached P16.6 billion on higher technology, manpower, and business volume-related costs.  With revenue growth outpacing rising expenditures, Chinabank recorded a healthier cost-to-income ratio of 43%.

Total consolidated assets reached P1.7 trillion, marking an 8% increase from the same period last year.  Total equity grew by 15% to P174 billion.

The bank’s capital adequacy ratio (CAR) stood at 15.62%, well above the minimum regulatory requirement. Book value per share increased by 15% to P64.65.

“Our robust performance was driven by our commitment to addressing client needs while effectively managing risks and promoting efficiencies.  We have ensured that our balance sheet remains strong.  Additionally, the recent accolades we received recognize Chinabank’s customer focus and banking excellence,” CBC Chief Finance Officer Patrick D. Cheng said.

Celebrating its 105th year on August 16, 2025, Chinabank was recently distinguished by the ASEAN Capital Markets Forum as an ASEAN Asset Class, an honor given to listed firms that have achieved consistently high scores under the ASEAN Corporate Governance Scorecard.  At the 2025 Asian Banking & Finance Awards, the bank won Service Innovation of the Year - Philippines for its pioneering 30-Minute Instant Credit Card Issuance Program and Banking for Women Initiative of the Year - Philippines for the CBC Velvet Visa Signature. The bank was also named among the best Philippine firms in investor relations and corporate management by Extel in its 2025 Asia (ex-Japan) Executive Team Rankings, and among the region’s largest companies in terms of total revenues by Fortune in its Southeast Asia 500 list. (SM Supermalls)

Chinabank net income jumps 18% to P5.9B in Q1

China Banking Corporation (Chinabank, PSE symbol: CHIB) earned P5.9 billion in the first quarter of 2024, 18% higher compared to the same period last year, on the robust growth of its core businesses. The resulting return on equity and return on assets continued to be among the best in the industry at 15.5% and 1.6%, respectively.

Net interest income grew by 18% to P15.0 billion, driven by higher asset yields and loan volume. Net interest margin improved by 22 basis points to 4.4%.

Provisions for loan losses were reduced to P302 million as economic conditions continued to improve. The growth of operating expenses was controlled at 6% to P7.2 billion, translating to a better cost-to-income ratio of 48%.

“We are focused on sustaining our growth trajectory. Our good first quarter results provide the momentum to achieving our ambitious goals and targets,” Chinabank President & Chief Executive Officer Romeo D. Uyan Jr. said.

The country’s fourth-largest private lender recently launched a brand refresh campaign to make its brand and image more resonant and engaging to a new generation of customers.

“From compelling product innovations to reimagined customer-facing solutions, to the adoption of a new bank logo, exciting things are happening in Chinabank,” Uyan added.

Chinabank’s total assets grew by 11% to P1.5 trillion. Its gross loans increased by 11% to P805 billion on strong loan demand from businesses and consumers. Nonetheless, credit quality was kept in check, with non-performing loans (NPL) ratio easing to 1.8% and NPL coverage improving to 143%. On the funding side, total deposits expanded by 13% to P1.2 trillion.

The bank’s capital rose by 11% to P154 billion, with a common equity tier 1 (CET-1) ratio of 15.3% and total capital adequacy ratio (CAR) of 16.2%—both well above the regulatory minimums. Book value per share improved by 11% to P57.35.

“With our strong balance sheet and capital position, we can sufficiently fund our growth plans in the years ahead,” Chief Finance Officer Patrick D. Cheng said.

At its 2024 Annual Stockholders’ Meeting recently, Chinabank announced an all-time high cash dividend of P5.9 billion, 16% higher vs. last year, representing 27% of its 2023 net income of P22.0 billion. The bank’s stockholders on record as of May 3, 2024 will receive P1.20 per share regular cash dividend and an additional P1.00 per share special cash dividend on May 16, 2024.

Chinabank maintained its Baa2 deposit and issuer ratings—a notch above investment grade—with stable outlook, from Moodys’ Investors’ Service. The bank, distinguished by the People Management Association of the Philippines as the 2023 Employer of the Year, and by the Institute of Corporate Directors as a two-time Five-Golden Arrow Awardee, was also recently recognized by the CFA Society Philippines for its Chinabank Dollar Fixed Income Fund, named for the 8th time as the Best Managed Fund of the Year in its category. (PR)

Chinabank’s 9-month net income reaches P16.2B

• 15.6% ROE and 1.6% ROA, still among the highest in the industry
• Sustained core business strength and stable asset quality: 2.2% NPL ratio and 126% NPL cover, both better than the industry average. 
• Healthy cost-to-income ratio despite higher investments in technology and manpower development. 
• Book value per share (BVS) grew 7% to P52.50.

China Banking Corporation (Chinabank, PSE stock symbol: CHIB) recorded P16.2 billion in net income from January to September 2023, 10% higher compared to the same period last year.  This translated to a return on equity of 15.6% and a return on assets of 1.6%.  

Chinabank’s bottom line in the last nine months improved on the back of robust growth from core businesses and lower loan loss provisions.  For the third quarter alone, the bank netted P5.4 billion in profits, up 16% from the same period last year. 

“Chinabank’s sustained growth reflects the successful execution of our business strategies.  Despite the current high interest rate environment, we continue to grow our bottom line by preserving our margins, managing our overall costs effectively, and bringing greater efficiencies to our operations with technology,” Chinabank President & CEO Romeo D. Uyan, Jr. said.

Net interest income grew by 16% to P39.2 billion as the 44% surge in top line revenues cushioned the nearly triple increase in interest expense. Net interest margin was maintained at 4.2%.  

The bank reduced its total credit provisions to P1.3 billion given its stable portfolio quality. Despite this, non-performing loans (NPL) cover remained better-than-industry at 126%.     

Operating expenses increased by 14% to P20.5 billion, driven by higher manpower and inflation-related expenses and bigger volume and revenue-related taxes.  Cost-to-income ratio remained healthy at 50%. 

Chinabank remains as the 4^th largest private domestic bank with total assets of P1.4 trillion, up 11% year-on-year.    

Gross loans grew by 10% year-on-year to P765 billion, driven by the 19% expansion in consumer loans, particularly teachers’ loans and credit cards. The bank’s level of bad loans continued to be manageable, posting a better-than-industry average NPL ratio of 2.2%.  

Total deposits increased by 14% to P1.1 trillion resulting to a 49% CASA ratio as term deposits grew year-on-year.

"Our balance sheet remains strong.  A quality loan book has helped us during a period of rising interest rates.  We also continued to optimize our capital structure, maintaining strong capital generation and asset quality,” Chinabank CFO Patrick D. Cheng said.   

Total capital grew by 7% to P141 billion, with Common Equity Tier 1 Ratio at 14.9% and Total Capital Adequacy Ratio at 15.8%, well above the minimum regulatory requirement. Book value per share was at P52.50, up 7%. 

Chinabank was recently named by the People Management Association of the Philippines as the 2023 Employer of the Year, the only bank to win the prestigious award in 30 years. This recognition for the bank's outstanding human resources practices comes in the heels of its latest accolades: Outstanding Wealth Management Service for the Affluent Award from the Private Banker International and Five-Golden Arrow Award from the Institute of Corporate Directors, the second time Chinabank has won this distinction for its excellence in corporate governance. 

 

 

About Chinabank: Chinabank opened for business on August 16, 1920 in Binondo, Manila, and is now one of the largest private universal banks in the Philippines. It provides a full range of banking products and services to corporate, commercial, and retail customers through 644 branches and 1,068 ATMs to date, including the 165 branches and 201 ATMs of its savings bank arm CBS. Chinabank also offers a wide range of allied financial services through its subsidiaries Chinabank Capital, Chinabank Securities, Chinabank Insurance Brokers, and affiliate Manulife China Bank Life. Visit www.chinabank.ph