DBS Group Holdings Ltd reported a net profit of S$2.93 billion for the quarter ended 31 March 2026, up 1 % year-on-year, as record wealth-management fees and stronger trading income offset the impact of lower interest rates and a firmer Singapore dollar.
Earnings per basic share rose to S$4.19 from S$4.11 a year earlier. The board declared an interim one-tier tax-exempt dividend of S$0.66 per ordinary share and a one-tier tax-exempt capital return dividend of S$0.15 per share, both payable on or about 20 May 2026; the stock will trade ex-dividend on 11 May.
Total income climbed 1 % YoY to an all-time high of S$5.95 billion. Commercial-book net interest income fell 7 % to S$3.48 billion as the group net interest margin narrowed 23 basis points to 1.89 %, but this was more than offset by a 16 % jump in fee and commission income to S$1.48 billion and a 10 % rise in treasury customer sales and other income to S$602 million. Markets trading income grew 7 % to S$389 million, helped by market volatility and lower funding costs.
By business activity, profit before allowances and amortisation was largely stable YoY at S$3.65 billion. Specific allowances for credit losses increased to 14 basis points of loans from 10 basis points, though the non-performing loan ratio remained steady at 1.0 %.
Lower net interest income reflected softer SORA and HIBOR benchmarks as well as currency translation effects. Nevertheless, constant-currency loan growth of 6 % YoY, led by corporate and non-housing consumer borrowing, and a 12 % rise in deposits—two-thirds from CASA balances—cushioned margin pressure.
Operating expenses rose 4 % to S$2.30 billion on higher staff costs, pushing the cost-to-income ratio up slightly to 38.7 %. The common-equity Tier-1 ratio stood at 16.9 %, while liquidity coverage and net stable funding ratios were 151 % and 117 %, respectively, well above regulatory minima.
Looking ahead, chief executive Tan Su Shan said the strong start to the year demonstrates the resilience of the franchise amid rate headwinds and geopolitical uncertainty. She noted that stress tests show the loan book remains sound despite risks arising from the Middle East conflict. The bank will continue to invest in technology and other structural growth initiatives while maintaining “prudent” allowance buffers and a “strong” capital base.
Management reiterated its focus on expanding wealth-management, transaction-banking and treasury flows, and signalled that balance-sheet expansion and hedging strategies would remain central to mitigating margin pressure should low-rate conditions persist.
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