Oversea-Chinese Banking Corporation Limited Earnings Recaps
Q2 2026
Aug 9, 2026
OCBC shares rose 5.8% post-earnings, driven by strong broad-based growth in fees, trading, investment, and insurance income that more than offset net interest income headwinds.
Key takeaways
- Group net profit reached a record SGD 2.2 billion in 2Q26, up 22% year-on-year, with first half net profit up 13% to SGD 4.19 billion.
- Noninterest income grew 51% year-on-year in 2Q, lifted by 28% higher fees, 85% growth in trading and investment income, and 68% increase in insurance income; noninterest income now constitutes 44% of total revenue.
- Net interest income declined 1% year-on-year, pressured by a lower interest rate environment and loan yield compression, with 2Q NIM down 6 basis points quarter-on-quarter to 1.70%.
- Loans and deposits grew robustly by 11% and 13% year-on-year respectively, supporting asset growth that partially offset margin pressures.
- Operating expenses rose 10% year-on-year due to higher performance-related pay and technology investments; nevertheless, cost-to-income ratio improved to 37.8% in 2Q.
Q3 2025
Nov 11, 2025
OCBC reported a solid third quarter 2025 with group net profit of SGD 1.98 billion, marking a 9% increase from the prior quarter, driven by record noninterest income even as net interest income declined due to lower benchmark rates.
Key takeaways
- Noninterest income surged by 24% quarter-on-quarter to SGD 1.57 billion, fueled by strong fee, trading, and insurance contributions.
- Loans and deposits grew by 7% and 11% year-on-year, respectively, supported by a diversified asset portfolio.
- The capital position remained robust with a Common Equity Tier 1 ratio of 16.9%, while asset quality indicators showed stability with an NPL ratio of 0.9%.
- Wealth management income reached a record SGD 1.62 billion, accounting for 43% of total group income, driven by significant net new money inflows of SGD 12 billion in Q3.
- Operating expenses were well managed, resulting in a cost-to-income ratio maintained below 40% at 39.3%.