Philippine National Bank (PNB) Reported a PHP 18.0 Billion Net Income in 2023, Up 55%

Philippine National Bank (PNB) reported a consolidated net income of P18.0 billion in 2023, up 55 percent year on year due to strong net interest revenue and decreased credit provisions. Net core banking income, excluding profits from the sale of acquired properties, increased by a record 156 percent year on year. This resulted in a 10% return on equity, up from 7% the previous year.

The bank's net interest margin increased to 4.2 percent in 2023, up from 3.6 percent the previous year, as the bank remained focused on efficient fund management. Gross loans climbed by 5% over the previous year to P642 billion by the end of 2023 as the Bank boosted its lending to the commercial sector and small and medium-sized businesses. Similarly, the bank continues to grow its current and savings accounts (CASA) deposits, which increased by 4% year on year and accounted for 83% of total deposits as of the end of 2023.
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Trading and foreign exchange gains of P1.8 billion increased by more than four times year on year as the bank capitalized on market opportunities despite restricted market liquidity and rising interest rates in 2023. The bank also offloaded certain high-value repossessed properties as part of its aggressive disposal of non-performing assets.

Lower provisions on troubled loans and other credit assets aided the market's improved performance in 2023 as it recovered from the lingering impacts of the pandemic and other previous unfavorable market conditions.
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Operating expenses remained constant at P28.4 billion in 2023, reflecting cautious spending amid strong business expansion. As a result, the cost efficiency ratio rose to 50 percent from 54 percent last year.
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As of the end of 2023, the bank's total assets stood at P1.2 trillion, up 6% from the previous year, boosted by rising loans and investment portfolios. Meanwhile, the bank's capital increased by 13 percent year on year, resulting in higher Common Equity Tier 1 Ratio and Capital Adequacy Ratios of 16.85 percent and 17.7 percent, respectively.

“Our performance for 2023 is a testament to the Bank’s efforts in upholding our vision of being among the top banks in terms of customer growth and satisfaction as well as return on equity,” said PNB President Florido P. Casuela. “We have made it our mission to promote financial prosperity for all Filipinos and their businesses, locally and internationally. Apart from providing financial solutions to our customers, we have made it our purpose to empower them by helping build a competitive, inclusive, and sustainable economy.” 

PNB recently received accolades in various areas from several award-giving bodies. The Bank was ranked second in the Philippines in Forbes’ list of World’s Best Banks for 2023. The ranking was based on a worldwide survey of 48,000 banking customers in 32 countries as highlighted in Forbes’ story, “Meet the World’s Best Banks 2023”. Moreover, the PNB Digital App won the Philippines Digital Experience of the Year award under the Banking Industry category at the recently held Asian Experience Awards 2023, hosted by the Asian Business Review. The prestigious award recognizes the enterprising initiatives of companies that deliver meaningful brand experiences to their stakeholders. Further, PNB bagged the award for the Best Bank for Corporate Social Responsibility in the Philippines by the International Business Magazine Awards 2023. The award manifests PNB’s sincerity and commitment to implement a culture of creating a meaningful impact by respecting and supporting communities and the environment. 

In 2023, PNB also launched its new tagline, “Every Step Together”, which speaks of the Bank’s renewed brand promise to work in close collaboration with all of its customers and stakeholders.

​Philippine National Bank is one of the country’s largest private universal banks in terms of assets and deposits. It provides a full range of banking and other financial services to its highly diverse clientele comprised of individual depositors, small and medium enterprises, domestic and international corporations, government institutions, and overseas Filipinos. Backed by over a century of stability and excellence, PNB looks forward to more years of serving its customers first.