UNO Digital Bank said it reached a positive operating margin in February 2026, marking a transition toward a sustainable growth model four years after its launch.
The digital lender said it reached the milestone ahead of the publication of its March 2026 balance sheet. It is now on track to achieve full profit and loss break-even within the 2026 calendar year, according to the bank.
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The bank attributed the performance to rapid lending expansion and disciplined growth. Total loan disbursements have reached P15 billion, and the firm expects its active loan book to exceed P10 billion by the end of 2026.
“Achieving operating break-even at this stage is an important validation of our model,” UNO Digital Bank president and chief executive Manish Bhai said.
“Our focus remains that of building a bank with strong fundamentals: that is, balancing growth with credit discipline and operational efficiency,” said Bhai.
To address credit gaps in the Philippines, the bank utilizes a real-time underwriting engine. The system analyzes modern data points beyond traditional credit history to assess the creditworthiness of Filipinos often overlooked by legacy financial institutions.
The company said it is also enhancing risk management through real-time behavioral analytics and cross-industry data sharing to shift from reactive security to proactive fraud prevention.
“Our goal is, and has always been, to make banking simple and accessible. We firmly believe customer value and operational discipline must go hand in hand,” said Bhai.
As part of its accessibility strategy, the bank now offers free QR Ph transfers for all customers. It is also moving away from SMS-based one-time passwords in favor of biometric-led authentication and two-factor procedures.
“We recognized early on that OTPs were becoming a vulnerability,” Bhai said.
“Since inception, our two-factor authentication procedures have ensured our customers are protected by the highest security standards available today,” he said.
The bank plans to introduce new channels and products over the next 6 months while continuing to invest in distribution to reach a broader segment of the Filipino market.
“UNO Digital Bank is focused and on track to achieve full P&L breakeven within the current year, 2026,” UNO Digital Bank chairman Kalidas Ghose said.
“We are committed to scaling responsibly,” said Ghose.
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