Oversea-Chinese Banking Corporation (O39) AGM 2026 presentation summary

2025 financial performance highlights

• Achieved record pre-tax profit of S$9.12b and net profit of S$7.42b, with total income up 2% to S$14.6b despite a 6% decline in net interest income due to lower rates.

• Customer loans grew 1% to S$341b and deposits rose 10% to S$428b, with NPL ratio stable at 0.9% and credit costs lower at 17bps.

• Wealth management income and customer flow treasury income reached all-time highs, with double-digit growth in banking AUM to S$343b and S$27b in net new money.

• Insurance profit contribution saw double-digit growth for the second consecutive year, supporting diversified income streams.

• ROE stood at 12.6%, with a robust CET1 CAR of 15.1% and a 60% dividend payout ratio, including a final ordinary dividend of 42 cents and special dividend of 16 cents.

Strategic shifts and growth initiatives

• Launched "The Next Frontier" strategy, focusing on four shifts: Asia shift, tech shift (AI, digital, data), net-zero shift, and franchise shift.

• Asia shift targets rising trade, investment, and wealth flows, leveraging the ASEAN-Greater China network and SG-HK twin wealth hubs.

• Tech shift emphasizes customer-centricity powered by AI, digital, and data, with increased focus on technology sectors and digital infrastructure.

• Net-zero shift expands support for green sectors and SMEs transitioning to sustainable practices.

• Franchise shift aims to deepen core market presence, deliver whole-of-wealth propositions, and grow affluent and private banking segments in key markets.

Wealth management and product innovation

• Enhanced whole-of-wealth proposition to address the needs of an ageing population, including senior-friendly banking, succession planning, and retirement income products.

• Launched group-wide gold proposition, offering fractional gold investment, physical gold funds, and insurance-linked gold products.

• Singapore positioned as a safe haven for physical gold, with innovative products recognized for wealth management excellence.