Announcements

• AUB expands HelloMoney e-wallet acceptance in Japan via Alipay+
  Asia United Bank (AUB) expects further boost for its HelloMoney e-wallet acceptance in Japan with the expanded merchant coverage of Alipay+.
  Alipay+ recently expanded its partnership with PayPay, Japan's top quick response (QR) payment operator. By working with local partners including PayPay, Alipay+ will now connect over three million local merchants in Japan to its global payment partners such as AUB's HelloMoney. HelloMoney users can enjoy seamless and secure payment and travel experiences at even more merchants in Japan this year-end travel season and beyond.
  AUB is currently the only Philippine bank that has a partnership with Alipay+ ,the cross-border mobile payment and digitalization solutions operated by Ant International.
  The partnership with Alipay+ enabled AUB to become the first Philippine bank with an e-wallet that can be used for cross-border mobile payments and reach wider acceptance in Singapore, South Korea, Malaysia, and Hong Kong SAR, in addition to Japan.
  HelloMoney users can simply pay via QR code in all merchants that carry the Alipay+ logo. In Japan, they can also scan the PayPay QR codes to make payments at a wide range of merchant-presented mode (MPM) stores, even if the merchants have not yet displayed Alipay+ point of sale materials. They can also look forward to special promotions during the upcoming Christmas and New Year travel peak seasons. Alipay+ will collaborate with PayPay merchants to launch a promotional campaign, which will run from December 20, 2024 to January 10, 2025.
  "We welcome the continued expansion of the Alipay+ network of partners as this enables AUB to bring HelloMoney closer to more users, making mobile banking easier as well as helping more merchants grow their business globally," said Wilfredo Rodriguez Jr., AUB executive vice president and head of Operations & Information Technology.
  AUB launched HelloMoney in 2019, a year before the onset of the COVID-19 pandemic, to enable users to open an account without going to a physical branch and perform bank-to-bank fund transfers. Now on its fifth year, HelloMoney now has a total customer base of more than six million and has expanded features that enable users to buy prepaid load, remit money through PeraPadala, pay via QR code, settle bills, withdraw via ATM, and shop online using the HelloMoney's very own virtual Mastercard. Members of state-owned pension fund Pag-IBIG Fund can also manage their account and perform banking transactions through the Hello Pag-IBIG app.


• AUB eyes bigger market share for HelloMoney e-wallet
  Five years since the launch of its e-wallet HelloMoney, Asia United Bank (AUB) is training its sights on further growing its market share in the country.
  As of end-September 2024, HelloMoney's total customer base has grown to six million since AUB started offering the e-wallet in 2019, ahead of the COVID-19 pandemic.
  "Beyond the numbers, we aim to build a reputation for our constant innovation, expanded global reach, and enhanced user experience, in line with our steadfast mission to make financial services truly accessible to every Filipino," said AUB president Manuel A. Gomez.
  Pushing the boundaries on innovation, AUB partnered with Alipay+, the cross-border mobile payment and digitalization solutions operated by Ant International, to become the first Philippine bank with an e-wallet that can be used for cross-border mobile payments in 2022. This enabled HelloMoney users to simply scan and pay via Alipay+ merchants in Japan, South Korea, Malaysia, Hong Kong SAR, and Singapore.
  In July 2024, AUB became the first Philippine bank to integrate with the Philippine Statistics Authority's (PSA) eVerify system to authenticate a person's registration with the National ID System. This means AUB customers need only to show their face when opening an account on HelloMoney with eVerify's advanced facial recognition technology for real-time matching of an individual's face, among other registered information, with the National ID registry.
  Aside from enabling users to open an account without going to a physical branch and perform bank-to-bank fund transfers, HelloMoney can also be used to buy prepaid load, remit money through PeraPadala, pay via QR code, settle bills, withdraw via ATM, and shop online using the HelloMoney's very own virtual Mastercard. The e-wallet also enables members of state-owned pension fund Pag-IBIG Fund to manage their account and perform banking transactions through the Hello Pag-IBIG app.
  To continue growing its e-wallet market share, AUB will embark on more innovations in the coming years:
  - Offer microinsurance through trusted partners for wider financial inclusion
  - Enable digital savings through smart savings solutions, goal-based saving features, and automated savings options
  - Further expand its global reach via Alipay+, enhance its connectivity with existing Japan and Korea corridors, forge more Southeast Asian country partnerships, and offer more competitive cross-border rates
  - Further widen its acceptance network
  - Introduce more enhancements in user experience
  - Further simplify features such as easier transaction flows, smart transaction categorization, and one-tap frequent actions.
  AUB unveiled these growth plans and strategic direction during a media event held November 26 at the Paranaque Integrated Terminal Exchange (PITX), which was followed by a thanksgiving event for its valued partners.
  "We aim to make mobile banking easier and help more merchants grow their business globally by bringing HelloMoney closer to more users," said Mr. Gomez. "As we celebrate more milestones, we remain committed to making financial services more accessible, secure, and simple for every Filipino so that managing money becomes as easy as saying 'hello'."


• AUB posts record-high net income in first 9 months
  Asia United Bank (AUB) and its subsidiaries further improved their profitability in the first nine months of the year due to higher revenues and lower loan loss provisions.
  The group posted another record-high P8.6 billion in consolidated net income, 41% more than the year-ago level and surpassing its full-year net income of P8.3 billion in 2023. This translated to a return on equity of 22.4% and return on assets of 3.4%, both higher than the previous year's 19.4% and 2.5%, respectively.
  Net interest margin increased 11% to P12.5 billion due to an increase in interest income from its loan portfolio and investment activities. Its net interest margin ratio rose to 5.3% from the previous year's 4.9%.
  Non-interest income grew from improved foreign exchange gain, recovery income, and service charges and other fees from other operating activities such as credit cards, AUB PayMate, remittance, trust, and other branch-related transactions.
  The bank's operating expenses grew by 6% to P5.0 billion during the first three quarters, largely because of higher staff compensation and capital expenditures as it focused on new business growth opportunities.
  Credit and impairment losses plunged by 93% from P1.1 billion a year ago, as credit quality improved. The bank posted a nonperforming loans (NPL) ratio of 0.53% from the previous year's 0.7%. It remains sufficiently covered from probable losses with an NPL coverage ratio of 120.7% versus the previous year's 107.0%.
  Total assets stood at P352.0 billion, up 2% from the same period last year. Its total loan portfolio grew 6% to P198.9 billion from P188.2 billion a year ago. This is sufficiently funded by deposits at P282.0 billion, with a loan-to-deposit ratio of 70.5%. The bank's low-cost CASA deposits remained the primary source of funding, comprising 70% of total deposits versus the previous year's 66%.
  Total equity increased 25% to P56.6 billion from retained earnings. Its indicative Common Equity Tier 1 Ratio of 19.6% and Capital Adequacy Ratio of 20.4% are both above regulatory requirements.
  "We expect our performance to remain robust, especially as we start reaping the full benefits of the government's National ID system, with AUB being the first Philippine bank to integrate the Philippine Statistics Authority's eVerify. This will hasten our account opening process and Know Your Customer (KYC) compliance, reduce paperwork, improve loan application and approval processes, and enhance security for financial transactions," said AUB President Manuel A. Gomez.
  Through its digital partnerships, AUB has been enabling merchants to accept digital payments from their customers using its all-in-one digital payment acceptance product AUB PayMate and revolutionizing cross-border digital payments through its HelloMoney e-wallet, among others.


• AUB's HelloMoney e-wallet now accepted in Singapore, growing global acceptance to 5 markets
  Partnership with Alipay+ enables HelloMoney to be used for cross-border transactions in top travel destinations
  After becoming the first Philippine bank with an e-wallet that can be used for cross-border mobile payments, Asia United Bank (AUB) is training its sights on expanding its HelloMoney to more major global destinations.
  Through its partnership with Alipay+, the cross-border mobile payment and digitalization solutions operated by Ant International, AUB has recently brought HelloMoney to Singapore where an estimated 200,000 Filipinos live and work, 84% of whom are overseas workers. Singapore also attracted around 700,000 Filipino tourists in 2023.This makes the city-state the fifth market where HelloMoney users can make e-wallet payments, in addition to Japan, South Korea, Malaysia, and Hong Kong SAR.
  HelloMoney users can simply pay via QR code in all merchants that carry the Alipay+ logo. In Singapore, HelloMoney users can scan the Singapore Quick Response Code (SGQR), the country's as well as the world's first unified payment QR code, which is accepted even at small local merchants such as hawker food stalls.
  AUB and Alipay+ also plan to expand its HelloMoney coverage to more destinations, enabling greater convenience for Filipino travelers.
  "The more we bring HelloMoney closer to more users, the more we can make mobile banking easier and help more merchants grow their business globally," said Wilfredo Rodriguez Jr., AUB executive vice president and head of Operations & Information Technology. "With Alipay+'s global presence through its integration with local merchants worldwide, our HelloMoney users will have a wider reach in payment acceptance while ensuring a safe and secure digital transaction."
  Five years after AUB launched HelloMoney, ahead of the COVID-19 pandemic, the number of approved registrations has grown to more than two million as of the first half of 2024. Aside from enabling users to open an account without going to a physical branch and perform bank-to-bank fund transfers, HelloMoney can also be used to buy prepaid load, remit money through Pera Padala, pay via QR code, settle bills, withdraw via ATM, and shop online using the HelloMoney's very own virtual Mastercard. The e-wallet also enables members of state-owned pension fund Pag-IBIG Fund to manage their account and perform banking transactions through the Pag-IBIG Loyalty Card Plus.


• AUB bags highest global award from Wells Fargo
  Asia United Bank (AUB) has recently received the Wells Fargo Operational Excellence Special Recognition Award from leading financial services firm Wells Fargo.
  "Only the top 25% globally gets recognized and receives the award," said Jasper Lim, executive director and senior relationship manager for Banks APAC-South at Wells Fargo.
  The Special Recognition award was given to AUB for consistently showing improvement in the straight-through processing (STP) rate for the past three years: 99.38% in 2021, 99.59% in 2022, and a near perfect 99.9% in 2023. The Special Recognition Award was a first for AUB, which has previously been awarded for Operational Excellence, Wells Fargo's highest global operational award.
  "The award is a concrete testament to the strong partnership between AUB and Wells Fargo over the years, particularly recognizing AUB's ability to process USD payments for its customers in a very efficient manner by channeling such payments to Wells Fargo. With majority of the USD payments being processed straight-through (no manual intervention), funds are being sent to recipients in a timely manner. Wells Fargo was one of the very few US banks that saw the potential of AUB and has since supported AUB in the payments business," Mr. Lim added.
  "This award is a result of the consistent collaboration among our Treasury, IT, and Quality Assurance in ensuring 99.9% STP of transactions and with minimal inquiry at 1.4% of the volume," said Zita Los Banos, AUB first vice president and head of Treasury Operations.
  International payments are an integral component of banking relationships in today's globalized economy. The responsibility for quickly and efficiently processing them is a shared effort by all financial institutions involved.
  Challenges in global payments have been on the rise due to the shift in consumer and business behavioral patterns, enabled by advances in technology and the availability of unconventional payment channels coming to market. These challenges include cyberfraud, money laundering and terrorist financing activities that continue to threaten the stability of the banking system as money payments become more complex, and go through several channels before reaching the ultimate beneficiaries.
  "This is why getting the top recognition from our global payments partner Wells Fargo is no mean feat," said Wilfredo E. Rodriguez Jr., AUB executive vice president and head of IT and Operations. "We continue to improve on our digital capabilities while being strictly adherent to the requirements on industry standards for the SWIFT environment, which also includes the security requirements of the Bangko Sentral ng Pilipinas, as well as all regulatory requirements on ML/TF checking and validations."