Chinabank’s 9-month net income reaches P16.2B

  • 15.6% ROE and 1.6% ROA, still among the highest in the industry
  • Sustained core business strength and stable asset quality: 2.2% NPL ratio and 126% NPL cover, both better than the industry average.  
  • Healthy cost-to-income ratio despite higher investments in technology and manpower development.
  • Book value per share (BVS) grew 7% to P52.50. 

From January to September 2023, China Banking Corporation (Chinabank; PSE stock symbol: CHIB) reported P16.2 billion in net income, 10% more than the same period the previous year.  This resulted in a 1.6% return on assets and a 15.6% return on equity.  

Over the past nine months, Chinabank's profitability has increased due to strong growth in its core operations and a decrease in loan loss provisions.  The bank made P5.4 billion in profits in the third quarter alone, a 16% increase over the same time last year. 

“Chinabank’s sustained growth reflects the successful execution of our business strategies.  Despite the current high interest rate environment, we continue to grow our bottom line by preserving our margins, managing our overall costs effectively, and bringing greater efficiencies to our operations with technology,” Chinabank President & CEO Romeo D. Uyan, Jr. said.

With a 44% increase in top line revenues to offset the nearly quadruple increase in interest expense, net interest income increased by 16% to P39.2 billion. The 4.2% net interest margin was sustained.  
With the constant quality of its portfolio, the bank decided to cut its total credit provisions to P1.3 billion. Even yet, the non-performing loan (NPL) cover ratio of 126% was still higher than the industry average.     
Due to rising labor costs, inflation-related expenses, higher volume, and revenue-related taxes, operating expenses grew by 14% to P20.5 billion.  At 50%, the cost-to-income ratio stayed stable.   

Chinabank, with total assets of P1.4 trillion, an 11% increase from the previous year, is still the fourth-largest local private bank.    
To P765 billion, gross loans increased by 10% year over year, mostly due to a 19% increase in consumer loans, mostly credit card and teacher loans.

"Our balance sheet remains strong.  A quality loan book has helped us during a period of rising interest rates.  We also continued to optimize our capital structure, maintaining strong capital generation and asset quality,” Chinabank CFO Patrick D. Cheng said.   
The total capital increased by 7% to P141 billion, substantially over the minimal regulatory need, with the common equity Tier 1 ratio at 14.9% and the total capital adequacy ratio at 15.8%. The book value per share increased by 7% to P52.50. 
The People Management Association of the Philippines named Chinabank the 2023 Employer of the Year, making it the first bank to get the coveted title in thirty years. The bank's most recent honors, the Outstanding Wealth Management Service for the Affluent Award from the Private Banker International and the Five-Golden Arrow Award from the Institute of Corporate Directors—the second time Chinabank has received this distinction for its excellence in corporate governance—come right after this recognition of its exceptional HR practices.

About Chinabank: Chinabank opened for business on August 16, 1920 in Binondo, Manila, and is now one of the largest private universal banks in the Philippines. It provides a full range of banking products and services to corporate, commercial, and retail customers through 644 branches and 1,068 ATMs to date, including the 165 branches and 201 ATMs of its savings bank arm CBS. Chinabank also offers a wide range of allied financial services through its subsidiaries Chinabank Capital, Chinabank Securities, Chinabank Insurance Brokers, and affiliate Manulife China Bank Life. Visit

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