SINGAPORE: Singapore’s largest bank, DBS Group, reported on Monday( Nov. 6 ) a better-than-expected 18 % increase in third-quarter net profit on the back of higher interest rates, which it predicted will also help keep its profit steady next year.
The largest merchant in Southeast Asia, DBS, has already predicted a report full-year profit for the current year.
According to CEO Piyush Gupta in results presentation materials,” Net profit ( for 2024 ) to be maintained around record 2023 level.”
Higher-for-longer interest rates will be beneficial to earnings as we enter the upcoming year, according to Mr. Gupta, while our strong balance sheet, enough liquidity, wise general allowance reserves, and wholesome capital ratios will give us powerful buffers against macro uncertainties.
As full salary increased to a report due to higher interest margins and cost earnings, the bank’s net profit from July to September increased from S$ 2.24 billion( US$ 1.94 billion ) to S$ 2.63 billion.
That exceeded the median measure of S$ 2.5 billion from four LSEG-surveyed experts.
A crucial indicator of success, DBS ‘ net interest tolerance, increased from 1.9 % in the prior quarter to 2.19 percent during the current quarter.
For the fourth quarter, it announced a payout of 48 cents per share, bringing the payment for the nine month of 2023 to S.$ 1.38.
Additionally, Mr. Gupta anticipated that the company’s net interest revenue in 2024 would be comparable to that of this year, with money management and cards continuing the momentum of fee income.
According to the statement, he also predicted that full accommodations would normalize to 17 to 20 basis points of funding and a higher profit for the following year. & nbsp,