Tonik, a prominent digital bank in the Philippines, announced a positive consolidated cash net income for the first quarter of 2026. This milestone marks a significant achievement in the bank's journey towards sustained profitability.
The bank's regulated subsidiary, Tonik Digital Bank, also reported profitability in accordance with International Financial Reporting Standards (IFRS) for the entire quarter.
Tonik's financial success stems from its strategic emphasis on consumer lending, focusing on providing credit rather than merely acquiring users or increasing payment volumes. This approach has enabled the bank to tap into a substantial market of Filipinos underserved by traditional lenders.
As of April 2026, Tonik's loan portfolio reached US$110 million, representing a 2.3 times increase year on year. The bank reported an annualised revenue run rate exceeding US$60 million, with 99% of this revenue generated from lending activities.
Additionally, Tonik achieved a net interest margin of 51% and a loan-to-deposit ratio of 82%.
We built a credit bank with the best unit economics in the market, and let the income statement follow.
Greg Krasnov, Founder and CEO of Tonik Digital Bank
Krasnov emphasized that Tonik is now well-positioned to scale into the credit gap, thanks in part to the bank's digital banking license from the Bangko Sentral ng Pilipinas (BSP). This allows Tonik to secure retail funding at lower rates, providing a competitive edge over alternative lenders.
The bank's growth strategy includes expanding its employer channel lending through its Tendo platform, scaling its merchant network, and enhancing revolving credit products for repeat borrowers in the Philippines.