WeLab Bank achieved profitability in the first half of 2025 and reported a 35% year-on-year revenue increase to HK$942 million for the full year.

The performance was driven by expansion in its unsecured retail loan portfolio and wealth management operations.

The bank recorded an operating income of HK$573 million, representing a 63% increase from the previous year.

WeLab Bank attributed this growth to disciplined credit decisions and improved funding strategies, pushing its net interest margin to 10.6%.

Its unsecured retail loan portfolio reached approximately HK$6 billion.

The bank accelerated its loan marketing investments in the second half of the year, leading to a loan book growth rate four times faster than the first six months.

Concurrently, the bank improved its cost-to-income ratio by 19 percentage points while reporting lower than average delinquency rates.

WeLab Bank 2025 growth and AI deployment

Beyond lending, WeLab Bank expanded its wealth management division, with assets under management growing by 270%.

The bank also reported a near tenfold increase in US dollar deposits and launched a multi-currency debit card supporting 11 currencies.

Through an ongoing partnership with Google, WeLab Bank introduced several AI tools to its operations. Its subsidiary WeLend deployed an AI loan agent that reduced lending approval times by roughly 20%.

The bank also implemented an AI fraud alert system that achieved a 96% recall rate, alongside an AI-powered foreign exchange engine designed to optimise pricing for customers.

“Sustaining profitability in the first half confirmed that our business has entered a phase of stable and healthy growth,”

said Tat Lee, Chief Executive of WeLab Bank.

He noted that the bank plans to expand into new verticals, including equities and bancassurance, in 2026.

Featured image credit: Edited by Fintech News Hong Kong, based on image by digitizesc via Magnific