SINGAPORE – DBS Group declared 81 cents in dividends per share for the second quarter of 2026, as its net profit for the period grew 9 per cent on record wealth management income.
The latest dividend payout comprises an ordinary dividend of 66 cents and a capital return dividend of 15 cents. The payout is expected to cost the bank – South-east Asia’s largest by assets – about $2.3 billion.
This brings the first-half dividend to 162 cents, including first quarter’s payout of 81 cents.
DBS made a $3.08 billion net profit for the April to June quarter, up from $2.82 billion a year ago, beating a $2.87 billion forecast by analysts in a Bloomberg poll.
DBS chief executive Tan Su Shan said in a statement that the bank’s wealth management franchise drove wealth assets under management past the half-trillion mark for the first time.
“While the macroeconomic environment continues to evolve, our strong balance sheet, sound asset quality, healthy allowance reserves and capital position leave us well placed to capture growth opportunities and continue delivering sustainable shareholder returns,” she said.
Group net interest income declined 2 per cent to $3.58 billion from lower interest rates, with strong loan and deposit growth as well as proactive hedging mitigating most of the impact.
Overall, group net interest margin (NIM) fell to 1.87 per cent for the quarter, from 2.05 per cent in the year-ago period. NIM refers to the difference between what banks earn on interest-earning assets such as loans, and what they pay on interest-bearing liabilities such as deposits. This is squeezed when interest rates fall.
Commercial book net interest income in the quarter fell 4 per cent to $3.48 billion due to lower net interest margins.
Commercial book net fee income grew 25 per cent to $1.46 billion, led by stronger wealth management.
Commercial book other non-interest income increased 30 per cent to a $681 million driven by treasury customer sales to both wealth management and corporate customers.
Markets trading income rose 12 per cent to $469 million, benefiting from volatile markets and lower funding costs.
Given strong first-half performance, DBS raised its full-year guidance, including for total income to exceed 2025 levels. The bank previously expected total income to be around 2025 levels.
Group net interest income is now expected to close the gap to 2025 levels, up from slightly below 2025 levels previously.
Commercial book non-interest income growth is expected to grow by 14-16 per cent, led by wealth management, up from high single digits previously.
Banks in Singapore are intensifying their efforts to grow their wealth management franchises. DBS in July said it aims to grow its AUM to more than $1 trillion by 2030 by hiring more staff and tapping artificial intelligence to expand its wealth business.
DBS expects to hire an additional 600 front-line advisers – including relationship managers and investment counsellors – and platform engineers across its six key markets by 2028 to support its wealth push.
DBS is the first Singapore lender to report second-quarter earnings. UOB and OCBC are due to announce their results on Aug 7.
