Singapore banks report mixed third-quarter earnings

Singapore’s major lenders reported varied third-quarter results, characterized by resilient wealth management income offsetting narrowing loan margins and rising funding costs.

Oversea-Chinese Banking Corp. (OCBC) reported a 3 percent annual rise in net profit to SG$2.04 billion, exceeding analyst estimates. While net interest income grew by 4 percent, the bank’s performance was impacted by a 37 percent decline in insurance income from Great Eastern Holdings due to weaker investment performance. Despite this, OCBC raised its 2026 guidance and noted that banking wealth management income, excluding Great Eastern, reached a record SG$1.12 billion.

DBS reported a 5 percent year-on-year decline in net profit to S$2.81 billion, attributed to lower market trading income. Meanwhile, UOB saw a significant jump in net profit to S$1.25 billion, compared to S$443 million in the previous year, following a period of high credit loss allowances.

All three institutions maintained a cautious outlook for the coming years, citing geopolitical risks, elevated energy prices, and tighter financial conditions, even as they remain focused on wealth management and artificial intelligence infrastructure financing.