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April 12, 2024

AUB posts strong 2023 profit growth amid risks

Asia United Bank (AUB) reported a robust performance for 2023, with consolidated net income rising 32 percent to a record P8.3 billion in its 26-year history.

AUB president Manuel A. Gomez attributed this to significant loan growth and a profitable net interest margin (NIM), alongside improvements in credit quality and operational efficiency. Despite uncertainties, Gomez expressed confidence in maintaining AUB’s position among the top ten listed universal banks.

AUB’s unaudited financials showcased record-high return on equity (ROE) and return on assets (ROA), with NIM expanding by 17%. The bank’s strong credit quality led to reduced loan loss provisions despite a rise in operating expenses.

Total assets grew 4%, with deposits primarily driven by low-cost CASA deposits. Equity saw a notable 23% increase year-on-year, ensuring compliance with regulatory thresholds.

AUB declared a 50% stock dividend and distributed cash dividends of P2.33 per share in three installments in 2023.