DBS Group (D05) Q3 2026 TU earnings summary

Executive summary

• Q3 net profit was SGD 2.813bn, down 5% YoY and 9% QoQ, mainly on lower markets trading income; 9M net profit rose 2% to a record SGD 8.82bn.

• 9M total income reached a record SGD 17.886bn; ROE was 17.0%, while strong loan, deposit and wealth growth supported franchise momentum.

• Peter Seah will retire as chairman at year-end after 16 years; Anthony Lim will succeed him from Jan. 1, 2027.

Financial highlights

• Q3 total income was SGD 5.85bn, down 1% YoY; net interest income rose 4% to SGD 3.711bn and net fee income rose 6% to SGD 1.432bn.

• Q3 markets trading income fell 65% YoY to SGD 152m; expenses declined 1% to SGD 2.37bn and profit before allowances and amortisation was SGD 3.47bn.

• 9M profit before allowances and amortisation rose 2% to SGD 10.864bn; expenses increased 2% to SGD 7.022bn.

• 9M customer-driven non-interest income rose 16% to a record SGD 6.31bn; net fee income reached SGD 4.37bn and treasury customer sales SGD 1.94bn, both records.

Outlook and guidance

• 2027 net interest income guidance is close to mid-single-digit growth; total income growth is guided to the mid-single-digit range.

• 2027 assumptions include average SORA of ~1.6%, two further rate hikes by end-2027 and deposit growth normalizing to mid-single digits; loan pipeline and wealth growth are expected to remain healthy.

• Non-interest income growth could be low double digits with strong markets or high single digits if markets are weaker.

• Cost-to-income ratio is expected in the low 40s, with mid-single-digit expense growth; specific provisions are assumed at 17–20 bps, with general allowance reserves providing a buffer.

• September exit NIM was 1.90%, sustained in October, and expected to inform Q4 and full-year 2026 NIM.