DBS Group, one of Southeast Asia’s largest banks, has announced a 45% increase in net profit for the second quarter compared to the same period last year. The bank attributes this growth to higher net interest income and fees.
Impressive Financial Results
During the second quarter, DBS Group’s net profit reached 2.63 billion Singapore dollars ($1.96 billion). The bank’s total income also rose significantly, increasing by 35% to S$5.05 billion. Net interest income played a major role in this growth, surging by 54% to S$3.58 billion. Furthermore, net fee and commission income experienced a moderate increase of 7.0% to S$823 million.
Positive Outlook for the Future
Although allowances for credit and other losses decreased by 55% to S$72 million compared to the previous quarter, they still rose by 57% compared to the same period last year. Looking ahead, DBS Chief Executive Piyush Gupta expects loan growth for the year to remain in low single digits, with a potential increase in net interest margin from current levels.
The bank’s board has declared a dividend of 48 Singapore cents per share for the second quarter, bringing the first-half dividend to 90 Singapore cents per share.
DBS Group’s strong financial performance reflects its effective strategies in maximizing net interest income and fees. The bank remains confident in its ability to navigate the current economic landscape and continue delivering impressive results.
For more information, please contact P.R. Venkat.