Tonik has reported positive consolidated cash net income for the first quarter of 2026, achieving sustained profitability.
The company’s regulated subsidiary, Tonik Digital Bank, also achieved International Financial Reporting Standards (IFRS) profitability for the entire quarter.
The financial result follows Tonik’s strategic focus on consumer lending rather than solely acquiring users or building payment volumes.
By targeting the large segment of Filipinos unserved by formal bank lenders, the institution built a credit-heavy balance sheet that generates significantly higher revenue per client than pure payment services.
As of April 2026, Tonik expanded its loan portfolio to US$110 million, increasing 2.3 times year on year.
The bank reported an annualised revenue run rate exceeding US$60 million, with 99% originating from lending.
It also recorded 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,”
said Greg Krasnov, Founder and Chief Executive Officer of Tonik Digital Bank.
“We are now structurally positioned with a digital bank deposit licence to scale into the credit gap.”
Several structural decisions contributed to Tonik reaching this financial result. The bank spent five years refining its underwriting models to serve borrowers with limited credit history.
It also diversified its lending across salary deduction loans, a merchant instalment network, and digital personal loans to manage risk.
Holding a Bangko Sentral ng Pilipinas (BSP) digital banking license allows Tonik to secure retail funding at rates between 3% and 6%.
This provides a structural margin advantage over alternative lenders that typically face funding costs above 15%.
Tonik now plans to expand its employer channel lending through its Tendo platform.
The digital bank will also scale its merchant network and enhance its revolving credit products to serve repeat borrowers in the Philippines.
Featured image credit: Edited by Fintech News Philippines, based on image by ttonaorh via Magnific
