MANILA, Philippines - BDO Unibank, the country's biggest lender in terms of assets, reported its net income fell 22 percent in the first six months of 2014.
BDO, a unit of SM Investments, said it posted a net income of P11.05 billion in the January to June period, 22 percent lower than the previous year due to extraordinary trading gains booked during the same period in 2013.
However, BDO said the first half net income still represents a 19 percent growth on a core operating basis.
Net interest income jumped 24 percent to P24.7 billion in the first six months of the year, on the back of a 21 percent growth in customer loans. BDO's gross customer loans currently stands at P975.1 billion.
Meanwhile, total deposits surged 35 percent to P1.37 trillion in the January to June period.
Trading and FX gains hit P4.2 billion in the first half, and fee-based income stood at P8.3 billion. Operating expenses, on the other hand, reached P24.2 billion.
BDO's non-performing loan ratio stood at 1.6 percent while its current coverage ratio stands at 174 percent.
"As the Philippine economy copes with changes in the political, global and environmental landscapes, BDO continues to build on its primary business strengths in order to capitalize on new opportunities and further solidify its market leadership," BDO said.