MANILA, Philippines — Digital bank Maya Bank Inc. is closing in on its target of becoming a profitable unit of PLDT Inc., achieving positive cash flow in the second quarter of the year on lending expansion.
PLDT is starting to trim its losses from the operations of Maya Bank’s parent Maya Innovations Holdings Pte. Ltd., showing signs that the unit could be on its way to profit.
PLDT’s losses from Maya narrowed by 42 percent to P0.7 billion in the six months to June, from P1.2 billion a year ago, treading a downward path both on a yearly and quarterly basis.
Further, PLDT reported that Maya Bank turned cash flow positive in the second quarter on gains from its lending business. So far, Maya Bank has disbursed P46.8 billion in loans, and it expects to issue more as a result of new partnerships.
For one, Maya Bank is working with PLDT and its wireless unit Smart Communications Inc. for device financing to provide Filipinos access to 5G capable phones. The bank also teamed up with loan channel Tala, extending it with P2.75 billion in capital for lending in May.
Maya Bank has provided loans to 1.2 million Filipinos as of June, building up its role in digital lending and financial technology.
Moreover, PLDT’s digital bank has increased its customer base to more than four million, piling up a deposit balance of P32.8 billion.
Maya Bank attributed its expansion momentum to the reward proposition of its savings products and better interest rates tied to a customer’s spending.
Apart from its banking segment, Maya Bank provides business services primarily as a processor of online transactions. It holds the largest market share in card acquiring and it also serves as the leading facilitator for QR Ph payments.