OCBC Bank net profit rises 21% to $1.81B

SINGAPORE: OCBC Bank revealed stellar financial results for the last quarter, showing a significant surge in net interest income and non-interest income. The bank’s net profit soared by 21 per cent to a new high of $1.81 billion, propelled by robust growth in both core revenue streams.

The performance extended beyond the quarter, as OCBC reported a net profit of $5.4 billion for the first nine months of this year, representing a year-on-year increase of over 30 per cent.

Key highlights from OCBC’s performance report include a 13 per cent year-on-year increase in total revenue for the last quarter. However, the cost-to-income ratio experienced a slight uptick, reaching nearly 40 per cent, underscoring the need for strategic cost management amidst the evolving economic landscape.

One of the significant indicators of the bank’s robust financial health is the decline in the non-performing loan ratio to pre-coronavirus levels, standing at 1 per cent.

Helen Wong, OCBC Group Chief Executive Officer, acknowledged the prevailing uncertainties in the global economic landscape, citing inflation risks, tightening monetary policies, and escalating geopolitical tensions. Despite these challenges, she expressed confidence in the bank’s ability to weather the storm, attributing this confidence to OCBC’s strong funding, liquidity, and capital positions.

Wong affirmed the bank’s commitment to delivering sustainable value to its stakeholders, emphasizing that OCBC’s strategic positioning and robust financial fundamentals would enable it to navigate the complexities of the macroeconomic environment.