Hello, brief summary of the current figures from $D05 (+0,68%) :
- Q1 earnings: DBS posts S$2.93 billion net profit, a +1% YoY and above analyst expectations.
- Drivers: Wealth Management in particular is booming - record fees of S$907m thanks to higher investment and insurance sales.
- Interest margins: Net Interest Margin (NIM) falls from 2.12 % to 1.89 %, a clear headwind.
- Outlook 2026:
- Bank largely maintains its previous forecast.
- Interest rate pressure should be "largely mitigated" if interest rates remain at the current level.
- Non-interest income could rise if the markets become friendlier.
- Dividend:
- 66 cents regular dividend (previous year: 60 cents).
- 15 cents return of capital - unchanged.
- No more mention that profit could be below 2025 - good signal.
Personally, I'm using the investment in DBS to diversify my portfolio, which is heavily weighted towards the US and Germany/Europe, with an Asian position.
