EastWest Bank reports $62.12m net income for H1

Its deposits and loans expanded by over 10% compared to H1 2023.

EastWest Banking Corporation (EW) registered a net income of PHP3.5b (approximately $62.12m) for the first half of 2024.

The Philippine-based bank attributed the growth to consistent core revenue growth from a bigger asset base as well as higher yield, the bank said in a bourse filing.

Net revenue rose 24% to $360.3m (PHP20.3b) in H1 compared to the same period in 2023. This was driven by net interest income expanding 28% to $204.63m (PHP16.6b) during the period.

Total loans and receivables grew 15% to $5.57b (PHP314.1b), driven by a 22% growth in consumer loans.

Deposits grew 11% to $6.59b (PHP371.4b).

Net interest margin (NIM) rose to 8.1%, which EW said was due to the growth of consumer lending, which accounts for 82% of the bank’s total loan portfolio.

Non-interest income climbed 12% to $65.67m (PHP3.7b) as fee income grew 19% to PHP2.7b from consumer lending-related fees and service charges. Trading income fell, however, EW said.

Operating expenses rose 22% YoY to $205.89m (PHP11.6b) driven by manpower, business-related, advertising, and marketing expenses, the report stated. Cost-to-income ratio is 57%.

Capital ratio is 13.1% and 12.3% for the capital adequacy ratio (CAR) and the CET1 ratio, which is well above regulatory requirements, EW said.

EW’s total assets are $8.8b (PHP495.6b) by end-June, 14% higher than the same period in 2023.