Singapura Finance (S23) H2 2024 earnings summary

Executive summary

• FY2024 net profit was $6.094m, down 1.0% YoY, as stronger net interest income was offset by higher loan impairment allowances and operating expenses.

• Net loans after allowances increased 19.2% to $982.8m; customer deposits rose 17.6% to $1,031.9m at 31 Dec 2024.

Financial highlights

• Total income increased 5.6% to $24.231m; net interest income and hiring charges rose 5.6% to $23.248m.

• Profit from operations before allowances rose 3.4% to $7.831m; PBT fell 2.4% to $7.337m and net profit declined 1.0% to $6.094m.

• Interest income increased 12.1% to $53.971m, while interest expense rose 17.5% to $30.723m; non-interest income advanced 5.6% to $0.983m.

• Operating expenses grew 6.8% to $16.400m, mainly from staffing costs; net loan impairment allowances were $0.494m versus $0.054m in FY2023.

Outlook and guidance

• Management plans to monitor macroeconomic shifts, manage risk exposures and proactively manage net interest margin amid volatile rates and uncertain economic prospects.

• The Board proposed a 2.0-cent final and 1.0-cent special tax-exempt dividend for FY2024, totaling 3.0 cents per share or $4.761m, subject to shareholder approval.