SINGAPORE: Singapore's biggest bank DBS Group maintained its 2025 outlook after posting a 1 per cent rise in second-quarter net profit on Thursday (Aug 7) that beat expectations on the back of higher total income.
"While external uncertainties remain, we have opportunities ahead of us," Chief Executive Officer Tan Su Shan said in a statement.
"Our proactive management of the balance sheet puts us in a good position to navigate the interest rate cycle, while strong capital and liquidity ensure we are well placed to support customers," she added.
Tan maintained the 2025 outlook in general, including anticipating group net interest income slightly above 2024 levels, and net profit to be below 2024 levels, according to her observations and slides accompanying the results.
DBS's results followed that of smaller peer OCBC, which posted on Friday an in-line second quarter net profit, but cut its 2025 net interest income expectations and flagged persisting tariff uncertainty.
Major global lenders such as HSBC and Standard Chartered reported a mixed bag of results last week, with some also highlighting the impact from US President Donald Trump's tariffs.
DBS, Southeast Asia's biggest lender by assets, said April-June net profit climbed to S$2.82 billion (US$2.19 billion) from S$2.79 billion a year earlier.
That beat the mean estimate of S$2.77 billion from three analysts, according to LSEG data.
It declared an ordinary dividend of 60 Singapore cents per share and a Capital return dividend of 15 Singapore cents per share for the second quarter
DBS' second quarter return on equity declined to 16.7 per cent, from 18.2 per cent a year ago.
Net interest margin, a key gauge of profitability, dropped to 2.05 per cent in the second quarter from 2.14 per cent in the same period a year earlier.
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"While external uncertainties remain, we have opportunities ahead of us," Chief Executive Officer Tan Su Shan said in a statement.
"Our proactive management of the balance sheet puts us in a good position to navigate the interest rate cycle, while strong capital and liquidity ensure we are well placed to support customers," she added.
Tan maintained the 2025 outlook in general, including anticipating group net interest income slightly above 2024 levels, and net profit to be below 2024 levels, according to her observations and slides accompanying the results.
DBS's results followed that of smaller peer OCBC, which posted on Friday an in-line second quarter net profit, but cut its 2025 net interest income expectations and flagged persisting tariff uncertainty.
Major global lenders such as HSBC and Standard Chartered reported a mixed bag of results last week, with some also highlighting the impact from US President Donald Trump's tariffs.
DBS, Southeast Asia's biggest lender by assets, said April-June net profit climbed to S$2.82 billion (US$2.19 billion) from S$2.79 billion a year earlier.
That beat the mean estimate of S$2.77 billion from three analysts, according to LSEG data.
It declared an ordinary dividend of 60 Singapore cents per share and a Capital return dividend of 15 Singapore cents per share for the second quarter
DBS' second quarter return on equity declined to 16.7 per cent, from 18.2 per cent a year ago.
Net interest margin, a key gauge of profitability, dropped to 2.05 per cent in the second quarter from 2.14 per cent in the same period a year earlier.
Continue reading...