UOB reported net profits of S$1.05bn ($780bn), up 57% YoY in Q3. Profits were helped by a reduction in allowances by 66% to S$163mn ($121mn) from a pre-emptive S$477mn ($353mn) general allowance taken last year. Besides, net interest income for the quarter increased 9% YoY to S$1.60bn ($1.2bn) and net fee income rose 15% thanks to loan-related, wealth/fund management and credit card fees. Its cost-to-income ratio improved 90bp to 43.7%. Net interest margin was up 2bp to 1.55%. Its NPL ratio was unchanged at 1.5%. Its CET1 ratio stood at 13.5%, down 70bp QoQ. UOB’s USD 3.875% Perp was almost unchanged at 102.8, yielding 2.4%.
For the full story, click here
OCBC reported net profits of S$1.22bn ($900mn), up 19% YoY in Q3. Similar to UOB, profits were helped by a reduction in allowances by 54% to S$163mn ($121mn). Net fees and commissions rose 14% to S$569mn ($422mn) and net interest income was up 3% to S$1.46bn ($1.1bn). Net trading income came in at S$83mn ($61.5mn) vs. S$255mn ($189mn) the last year’s period, due to unrealized mark-to-market losses in “Great Eastern Holdings’ investment portfolio”. Net interest margin was down 2bp to 1.52%. Its NPL ratio improved 10bp to 1.5%. Its CET1 ratio stood at 15.5%, down 60bp QoQ. OCBC’s SGD 4% Perps were unchanged at 103.7, yielding 1.9%
For the full story, click here
