The Bank of the Philippine Islands (BPI) capped 2025 with a net income of P66.62 billion, up 7.4% from the previous year, supported by strong revenue growth despite higher provisions and operating expenses.

In a disclosure to the Philippine Stock Exchange, the bank said return on equity for the full year stood at 14.5%, while return on assets was at 2.0%, reflecting sustained profitability.

Total revenues rose 14.8% to P195.3 billion, driven mainly by a 16.0% increase in net interest income to P148.0 billion. The growth was supported by an 8.5% expansion in the average asset base and a 28-basis-point improvement in net interest margin to 4.6%.

Non-interest income increased 11.0% to P47.2 billion, buoyed by higher fees from cards, insurance, and wealth management, alongside strong trading gains.

Operating expenses climbed 9.9% year-on-year to P92.1 billion, reflecting higher volume-related costs, manpower expenses, and continued investments in technology. Despite this, BPI’s cost-to-income ratio improved to 47.2%, down 209 basis points, as revenue growth outpaced expense increases.

The bank booked P17.8 billion in provisions, up 168.9% from a year earlier. Asset quality remained stable, with a non-performing loan (NPL) ratio of 2.18% and an NPL coverage ratio of 94.9%, which rose to 122.9% under BSP Circular 941.

Total loans expanded 14.7% to P2.6 trillion, with growth across all portfolios. Institutional loans grew 10.4%, while non-institutional loans surged 25.8%, led by business banking (up 79.7%), credit cards (up 31.9%), and personal loans (up 28.3%).

Total assets reached P3.7 trillion, up 10.0%, while deposits grew 8.6% to P2.8 trillion. Current and savings accounts rose to P1.7 trillion, lifting the CASA ratio to 60.7%. The loan-to-deposit ratio increased to 92.4%.

Total equity ended the year at P476.6 billion, up 10.7%, with a Common Equity Tier 1 ratio of 13.9% and a capital adequacy ratio of 14.7%, both well above regulatory requirements.

BPI president and chief executive officer Jose Teodoro “TG” Limcaoco previously said the bank is targeting high single-digit growth in net income and mid-teens loan growth this year, with a particular push on consumer lending.

“There's a bit of hesitancy on the borrowing side, I think, as we try to get past some of the global tensions and some local noise,” he said.

“But as far as we're concerned, the demand should come back and my personal belief is this malaise from the top corporates can turn very quickly,” he added.

To support its funding needs, BPI recently launched its P5-billion peso-denominated Supporting Individuals Grow, Lead, and Achieve (SIGLA) Bonds, which carry an interest rate of 5.405 percent per year. The bond offer began on 26 January and will run until 4 February 2026, with a minimum investment of P500,000.

“I expect that to be very good also, so there is cash in the system. The banks will have capacity to lend. We just need the demand, and I think that could come. The sentiment could turn very good, so I'm hopeful for the year,” Limcaoco said.

BPI added the SIGLA bonds are expected to be listed on 13 February 2026.