Overview
- October–December net profit came in at S$2.26 billion, down 10% year on year and below analyst forecasts.
- Group net interest margin narrowed 22 basis points to 1.93% as lower domestic rates and currency strength reduced net interest income.
- Provisions for bad loans rose 81% to S$415 million on real-estate exposure, partly offset by S$206 million in general allowance write-backs.
- DBS declared a fourth-quarter payout of 81 cents per share (66 cents ordinary plus a 15-cent capital return) and intends to keep the 15-cent capital return through 2026–27, subject to conditions.
- Management expects 2026 net profit and net interest income to be slightly below 2025 levels, assuming SORA near 1.25%, two Fed cuts and a stronger Singdollar; junior staff will receive a one-time S$1,000 bonus across more than 23,000 employees.