UnionBank Corporate Communication Team | June 29, 2017
UnionBank celebrated its 25th listing anniversary at the Philippine Stock Exchange (PSE).
The bank made its debut at the Manila and Makati Exchanges on June 29, 1992, 10 years after it became a commercial bank. Since then, it has steadily grown to become one of the country’s Top 10 banks today.
It is also among the most profitable, both in terms of return on equity and return on assets.
Over the last 25 years, our total assets have grown by over 40 times: from P12.8 billion in end-1992 to P519 billion in 2017.
–Edwin Bautista, President and Chief Operating Officer, UnionBank
Last year, the Bank posted a record-high profit of P10.1 billion profit, and for the first quarter of 2017, booked P2.2 billion in net income.
In his welcome remarks, PSE President and CEO Ramon Monzon said the country’s present sound economic fundamentals provide a good backdrop for continued demand for banking products and facilities.
I am optimistic that given its competitive strengths, the consumer and commercial banking segments of UnionBank will benefit from this and its shareholders’ value and welfare will further be enhanced.
-Ramon Monzon, President and CEO, PSE
In an effort to meet the changing needs of the times, UnionBank’s current thrust is digital transformation which consists of the following strategies: digitizing the bank, launching a digital bank through the EON card and engaging fintechs.
Known as a leader in digital innovation, UnionBank – which was the first lender to open a banking website and also the first to introduce online banking and electronic savings account – recently launched another breakthrough: the EON e-money account which introduced the selfie banking.
The Bank hopes this new prepaid debit card, which can be obtained at 7-eleven convenience stores and therefore is more accessible to the unbanked and underbanked, will expand its customer base in significant areas.
At the same time, the Bank also aspires to be a technology or fintech company with banking utilities, and aligned with this, wants to be known as the “most fintech-friendly bank in town.”
Bautista said if banks would not prepare, they would be gobbled up by digitization, or by fintechs or foreign banks that come in purely digital.
“This is our biggest challenge: to digitally transform today, or miss attending our 50th anniversary at the PSE 25 years from now. But rest assured that we do not intend to go down without a fight, or to even go down at all, but instead, to transform into what would still be the best version of ourselves. As we always say, the best is yet to come as we continue our drive to build a bank of enduring greatness. And that is a promise we intend to keep,” Bautista added.
Full text of UnionBank President & COO Edwin Bautista’s speech
Thank you very much, President Monzon, for your very kind remarks. It is indeed a great honor and privilege to be here with you today.
Ladies and gentlemen, 25 years ago, on June 29, 1992, Union Bank of the Philippines made its debut at the Manila and Makati Stock Exchanges. And that was 10 years after we had become a commercial bank.
One month after being listed, UnionBank was granted its universal banking license by the Bangko Sentral ng Pilipinas.
Although this morning, our former chief legal of counsel – the person who was instrumental in our listing – reminded me that the Bangko Sentral’s monetary board had actually approved our universal banking license the month before with the condition that we complete our public listing.
Since then, it marked milestones after milestones in its journey to become one of the Philippines’ Top 10 banks that it is today.
Last year, UnionBank posted a record-income of P10.1 billion and we were the most profitable listed bank in the Philippines in terms of return-on-equity.
Our total assets have grown by over 40 times in the last 25 years: from P12.8 billion in 1992 to P520 billion at the end of 1Q2017.
In terms of earnings, UnionBank’s net income recorded a compounded annual growth rate of 16% – from P226 million that we made in 1992 to P10.1 billion last year.
The past 25 years have not always been easy for the banking industry and for the country. If you recall, we had the Asian crisis, the Lehman crisis, and there were quite a few volatile years.
But by the grace of the Almighty and through the hard work of the team members and directors of UnionBank, we achieved success after success.
We are proud that we achieved all these while balancing the interests of all our stakeholders.
We have consistently sought to:
- provide our stockholders with a good return on their investment,
- provide our employees with a great place to work,
- provide the community with good corporate citizenship and social responsibility,
And to provide our planet with practices that promote sustainability.
We look forward to our next 25 years. The country’s economic prospects look bright — so this gives us much inspiration and encouragement.
However, we are also conscious that the world is changing rapidly. Industries are being disrupted, and banking will not be an exception.
This is our biggest challenge – to digitally transform today, or miss attending our 50th Anniversary at the PSE 25 years from now.
But rest assured that we do not intend to go down without a fight. Or to even go down at all, but instead to transform into what could still be the best version of ourselves.
As we always say, the best is yet to come as we continue our drive to build a bank of enduring greatness. And that is a promise we intend to keep.
Thank you very much.