BNU records 10pct rise in net income

Banco Nacional Ultramarino (BNU) announced yesterday its unaudited financial results for 2016, recording a 9.8 percent increase in net income to MOP560.5 million for the year. During the same period, the results also showed a 2.1 percent increase in customer funds and a loan-to-deposit ratio that shrunk from 53 percent in 2015 to 51 percent last year.

According to a statement issued by BNU, the bank’s net interest margin “performed well” in 2016, surging by 11.1 percent year-on- year, attributable to business growth and improved liquidity management.

The average number of products per active customer increased to 3.49, compared with 3.41 in 2015. The bank’s overall card revenue increased by 3.3 percent, partly as a result of an increase in product cross-selling.

Meanwhile, personnel costs as a whole increased by 2.5 percent in 2016 over the previous year, with the number of employees increasing by about 2 percent. On the other hand, administrative costs decreased last year by almost 5 percent due to strict budgetary control in the procurement area despite inflationary pressures and the opening of two new branches.

Last month, BNU became the first international banking group to operate in the Hengqin Free Trade Area after the inauguration of a new Hengqin branch.

“The Hengqin branch is an innovative step in following our Macau clients to mainland China, catering to their needs for cross-border financial services, as well as bridging the investments between mainland China and the Portuguese speaking countries,” said BNU’s Chief Executive Officer Pedro Cardoso in the press release issued yesterday.

“Welcoming the 115th anniversary of BNU, we will continue to extend our branch network by opening another branch in Taipa in 2017,” added Cardoso.

The banking sector in Macau continued to perform at a stable level in 2016 with several institutions channeling their investments into increasing their market share. DB