DBS Group (D05) investor relations material

Executive summary

• Wealth AUM reached SGD 680 billion (over $500 billion), targeting SGD 1 trillion by 2030, with an 11% CAGR driven by net new money, retail migration, and market impact.

• Achieved record total income and net profit for 2Q and 1H 2026, led by strong customer franchise growth and robust wealth management performance.

• Markets trading income and treasury customer sales reached record highs, with strategic initiatives including tokenised gold and RMB clearing bank appointment.

• Fee income growth is supported by diversified product offerings, AI-driven productivity, and strong market share ambitions.

Financial highlights

• 2Q net profit rose 9% YoY to $3.08b; 1H 2026 net profit up 5% YoY to $6.01b, with ROE at 17.9% and ROTE at 19.6%.

• Total income for 2Q exceeded $6b for the first time, 1H total income reached $12.0b, up 3% YoY, with record fee income and treasury customer sales.

• Net interest income for H1 2026 fell 3% YoY to $7.08b; net interest margin declined 20 bps to 1.88%.

• Expenses rose 4% to $4.65b; cost-income ratio stable at 39%.

• Customer loans grew 8% YoY to $475b; deposits rose 11% to $638b.

Outlook and guidance

• Full-year guidance raised; total income expected to exceed 2025 levels, with deposit growth projected in high single digits and commercial book non-interest income growth in mid-teens.

• The SGD 1 trillion AUM target by 2030 is considered achievable with current growth levers and digital initiatives.

• Cost discipline to be maintained, with cost-income ratio targeted in the low-40% range.

• Fee income is expected to remain robust, supported by market diversification, new products, and AI adoption.

• SP expected within 17-20bp in 2H; ample GP reserves provide risk buffer.