East West Banking Corporation (EastWest) has reported that it earned P1.9 billion in net income during the first three months of 2026, according to a disclosure filed with the Securities and Exchange Commission (SEC) on May 7, 2026.
What Does This Mean in Simple Terms?
Think of net income as the money left in your piggy bank after you’ve paid for everything you need. For EastWest Bank, this P1.9 billion is what they earned after paying all their expenses during January to March 2026.
How Did the Bank Make Money?
The bank’s total revenues (all the money coming in) grew by 15% to P13.3 billion. This money came from two main sources:
- Interest Income: This went up 20% to P11.1 billion. This is like when you lend money to a friend and they pay you back with a little extra. The bank lent more money to people and businesses, and they paid interest on those loans.
- Fees and Other Income: The bank earned P2.2 billion from fees and other services. Fee income specifically grew 8% to P1.9 billion, showing that more customers were using the bank’s services.
What About Trading Income?
According to EastWest CEO Jerry G. Ngo, the bank’s trading performance was weaker because markets were “volatile” – imagine a rollercoaster going up and down unpredictably. This made it harder to earn money from trading activities. However, when you exclude these trading challenges, the bank’s core income (regular, steady earnings) actually grew by 19% to P13.6 billion.
Controlling Costs
The bank kept its spending under control, with operating expenses rising only 1% to P6.4 billion. This careful cost management helped the bank achieve a Pre-Provision Operating Profit (PPOP) of P6.9 billion, up 32%. The bank’s cost-to-income ratio was 47.9%, which means for every peso earned, they spent about 48 centavos to run the business.
Preparing for Possible Problems
The bank set aside P4.7 billion for provisions – think of this as an emergency fund in case some people who borrowed money can’t pay it back. According to the disclosure, this reflects EastWest’s “conservative and forward-looking approach” to managing risks. The bank’s NPL (non-performing loan) coverage stood at 85%, meaning they have enough reserves to cover most loans that might go bad.
The Bank is Getting Bigger
EastWest’s total assets (everything the bank owns) grew 11% to P588.9 billion, mainly because they lent out more money – loans increased 14% to P390.4 billion. To fund these loans, customer deposits also grew 14% to P455.3 billion. The bank’s CASA ratio (current and savings accounts) remained strong at 78%, which is good because these are cheaper sources of funding for the bank.
Strong Financial Health
The bank maintained a Capital Adequacy Ratio (CAR) of 12.8% and CET1 ratio of 12.0%, both above what regulators require. Think of this as having extra savings beyond what your parents say you should have – it gives the bank a cushion to handle unexpected problems.
Awards and Recognition
Beyond its financial results, EastWest received several awards during this period. The bank’s ESTA digital service won three honors at the Digital CX Awards 2026 for using artificial intelligence to improve customer service. EastWest was also named Philippines’ Best for Discretionary Portfolio Management at the 2026 Euromoney Private Banking Awards for the second year in a row.
About the Company
East West Banking Corporation is a Filipino-owned universal bank and a subsidiary of Filinvest Development Corporation (FDC), one of the Philippines’ major conglomerates with businesses in real estate, banking, hotels, infrastructure, and other industries. The bank has 2,249,975,411 outstanding common shares registered with the SEC.
The bank indicated that its complete first quarter 2026 SEC Form 17-Q, containing detailed financial statements and management discussion, will be submitted once available to comply with regulatory requirements.
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.
