Singapore bank stocks jump in morning trading. DBS rose 2.2%; UOB rose 1.2%; OCBC rose 0.3%.
Singapore's biggest bank DBS Group on Monday said it expects to lift annual earnings to more than S$10 billion ($7.55 billion) within the next three to five years, after it posted a record first-quarter profit earlier this month.
DBS, which is also Southeast Asia's largest lender by assets, premised the projection on its digital transformation and its strong balance sheet and capital, among other factors, it said at an investor day presentation.
The forecast is 22% higher than the S$8.19 billion annual net profit it achieved in 2022.
DBS also expects a return on equity (ROE) of between 15% and 17% in the medium term and for its common equity tier one ratio, a measure of a bank's resilience, to be in a range of 12.5% to 13.5%, according to the presentation slides.
Its ROE was 15% last year, while its CET1 ratio was 14.6%, according to its 2022 annual report.
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