Asia United Bank Corporation (AUB) has announced its financial performance for the first six months of 2026, showing continued growth in its banking business, according to a disclosure filed with the Philippine Securities and Exchange Commission.
What Did AUB Earn?
Think of a bank’s net income like the money you have left after buying all your school supplies and snacks. For AUB, they made Php 6.19 billion in the first half of 2026. This is slightly higher than the Php 6.13 billion they made during the same period in 2025.
The bank said this growth happened because more people and businesses borrowed money from them, and they had a strong base of depositors (people who keep their money in the bank).
How Well Is The Bank Performing?
To measure how well a bank uses its money, experts look at two important numbers:
- Return on Equity (ROE): 18.3% – This shows how much profit the bank makes from the money that its owners (shareholders) have invested. An 18.3% ROE means the bank is doing a good job turning shareholder money into profits.
- Return on Assets (ROA): 3.0% – This measures how efficiently the bank uses everything it owns to make money.
Where Does AUB’s Money Come From?
The bank’s total operating income (all the money coming in from different business activities) grew by 10.1% to Php 12.32 billion.
The biggest source of income came from interest – the money banks earn when they lend to people and businesses. AUB’s total interest income reached Php 12.69 billion, which is 8.2% more than last year. After paying interest to depositors, their net interest income increased by 14.9% to Php 10.11 billion.
The bank also earned money from service charges, fees, commissions, and trust services (like managing investments for customers). This non-interest income increased by 16% to Php 1.2 billion, coming from their different business operations including HelloMoney (their e-wallet), credit cards, trust services, AUB PayMate, and branch transactions.
The bank’s Net Interest Margin stood at 5.1%, which shows they’re managing the difference between what they earn from loans and what they pay depositors quite effectively.
How Much Has AUB Grown?
AUB’s total assets (everything the bank owns) grew by 5.6% to Php 427 billion as of June 30, 2026, compared to Php 405 billion a year earlier.
The bank’s loan portfolio (money they’ve lent out) reached Php 281 billion, a 10% increase from Php 256 billion in the first half of 2025. This means more customers are borrowing from the bank.
Where Does AUB Get Money To Lend?
Banks need deposits (money from customers who save with them) to have funds they can lend to other customers. AUB’s total deposits increased by 3.8% to Php 338 billion.
An important detail: 76.12% of these deposits (Php 257 billion) are CASA deposits. CASA stands for Current Account and Savings Account – these are cheaper for banks because they pay lower interest rates compared to time deposits. Having a high CASA ratio is good for banks because it means lower costs.
What About Expenses and Risks?
Running a bank costs money. AUB’s operating expenses increased by 11% to Php 4.0 billion to support their growing business. However, they maintained a good cost-to-income ratio of 32.6%, which means for every peso they earn, they spend about 33 centavos on operations. This shows they’re running efficiently.
The bank also set aside more money for potential bad loans – their loan loss provisions increased significantly by 227% to Php 596 million. This is like saving extra allowance in case something unexpected happens. According to the bank, this was done to prepare for possible economic challenges ahead.
Is AUB’s Loan Portfolio Healthy?
Despite lending more money, AUB maintained good asset quality. Their Non-Performing Loans (NPL) ratio is only 0.44%, which means less than half of one percent of their loans are problematic (borrowers not paying on time). This is a very low number and shows most customers are paying back their loans properly.
The bank also has an NPL coverage ratio of 107.2%, meaning they have set aside more than enough money to cover potential losses from bad loans.
How Strong Is The Bank’s Financial Position?
Banks need to keep enough capital (their own money) as a safety cushion. AUB’s total equity grew by 8.7% to Php 70.54 billion.
Their Capital Adequacy Ratio (CAR) is 19.28% and Common Equity Tier 1 (CET1) ratio is 18.62% – both well above what regulators require. This means the bank has a strong financial cushion to handle unexpected problems.
What’s Next For AUB?
According to AUB President Manuel A. Gomez, the bank plans to focus heavily on digital banking. They want to grow their HelloMoney e-wallet and improve their AUB PayMate cross-border payment service. The goal is to make banking easier and more convenient for customers through technology.
About Asia United Bank
Asia United Bank Corporation is a publicly listed company on the Philippine Stock Exchange with SEC Registration Number A-1997-18963. The bank has 1,455,931,590 common shares outstanding. Their headquarters is located at Joy-Nostalg Center No. 17 ADB Avenue, Ortigas Center, Pasig City.
Source Note:This article is based on the company’s official press release and disclosures filed with the Philippine Stock Exchange’s Electronic Disclosure Generation Technology (PSE EDGE) system. For the complete and official version of the announcement, readers may visit the PSE EDGE website and search for the company’s filing directly.
