CHINA Banking Corp. (Chinabank) reported a record net income of P28 billion for 2025, up 13 percent from 2024’s P24.8 billion, as strong loan growth and steady core banking operations continued to drive earnings.
In a disclosure, the bank said its 2025 results translated to a return on equity of 15.6 percent and a return on assets of 1.6 percent.
The core lending business remained the main growth driver, with interest income rising 12 percent year-on-year to P105.2 billion on robust demand across corporate and consumer loan segments.
“Sustained deposits growth and a more favorable deposit mix helped temper the increase in interest expense,” the bank said, allowing it to maintain a healthy net interest margin of 4.6 percent.
Fee-based income also improved, supported by higher transactional fees, trust fees and bancassurance commissions, pushing total operating income up 16 percent from a year earlier to P75.7 billion.
Gross loans expanded by 13 percent to P1.1 trillion, marking the first time the bank’s loan book breached the P1 trillion level.
Chinabank said that asset quality remained stable, with its nonperforming loan (NPL) ratio holding steady at 1.6 percent. During the year, the bank more than doubled its credit provisions to P7 billion, lifting its NPL coverage ratio to 109 percent, well above industry average.
Total operating expenses increased by 12 percent to P34.4 billion on higher manpower costs, taxes, and continued investments in information technology.
Chinabank said its cost-to-income ratio improved to 45 percent, reflecting better operating efficiency.
The bank’s balance sheet also strengthened, with total assets rising eight percent to P1.8 trillion, reinforcing its position as the country’s fourth-largest private universal bank.
Deposits grew by nine percent to P1.4 trillion, supported by a current account and savings account ratio of 48 percent, which helped keep funding costs manageable.
The bank ended 2025 with a stronger capital position as capital rose 13 percent to P191.3 billion, resulting in solid capital ratios. Common equity tier 1 ratio was at 15.2 percent and total capital adequacy ratio was at 16.1 percent, providing a solid buffer to support future growth plans, with book value per share up 13 percent at P71.04.
Chinabank shares closed unchanged at P69.00 each on Thursday.
