MANILA, Philippines - BDO Unibank Inc., the main banking unit of the SM Group, has bagged the Best Bank in the Philippines award from Hong Kong-based financial publishing firm FinanceAsia for the fourth consecutive year.
In the recently concluded Country Awards 2013, FinanceAsia cited BDO’s ability to stay ahead of its peers given its strong business franchise, low-cost funding, quality assets and extensive distribution network.
“It has also diversified its business, expanding into consumer lending and middle-market businesses to complement its strength in corporate banking,†FinanceAsia added.
Aside from winning the coveted award, BDO’s wholly-owned subsidiary BDO Capital and Investment Corp. was likewise recognized by FinanceAsia as the country’s Best Investment Bank and Best Equity House.
The international publication said BDO’s investment arm has established itself as the market-leading investment bank in the Philippines.
“It is helped by the pedigree of its parent companies – BDO Unibank and SM Investments. These relationships certainly make deal origination easier. But BDO Capital has plenty of pedigree in its own right and is the partner of choice for many international banks doing business in the Philippines,†it said.
BDO, the biggest bank in the country, grew its net income three-fold to P10 billion in the first quarter of 2013 from P2.8 billion in the same period in 2012. The first quarter earnings is already half of the bank’s P20.4-billion income guidance for 2013.
In 2012, the bank’s net income stood at P14.3 billion, 36 percent more than the P10.5 billion profit in 2011 and higher than its P12.5 billion earnings guidance.
The first quarter income growth was driven by continuing expansion in loan portfolio and increase in deposits.
Gross customer loans expanded 16 percent while total deposits increased nine percent, leading to a 14 percent increase in net interest income to P9.6 billion.
For 2013, the bank expects its net interest income to grow 12 percent to P40.5 billion from 2012’s P36.2 billion while non-interest income is seen to expand 28 percent to P31.2 billion from P24.4 billion in 2012.
With these, BDO sees its gross operating income for 2013 to increase 18 percent to P71.7 billion from the 2012 level of P60.6 billion.