Oversea-Chinese Banking Corporation ( (OVCHF) ) has released its Q3 earnings. Here is a breakdown of the information Oversea-Chinese Banking Corporation presented to its investors.
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Oversea-Chinese Banking Corporation (OCBC) is a leading financial services group in Asia, providing a comprehensive range of financial services including banking, wealth management, and insurance across the region.
In the third quarter of 2024, OCBC reported a net profit of S$1.97 billion, marking a 9% increase compared to the same period last year. The growth was primarily driven by robust non-interest income and a decline in allowances, with the nine-month net profit reaching a record S$5.90 billion.
Key financial metrics indicate an 11% year-on-year increase in total income to S$3.80 billion, driven by a significant 41% rise in non-interest income. Notably, wealth management activities contributed to a 10% increase in net fee income, while net trading income more than doubled. Despite a slight decline in net interest income, the bank maintained a strong asset quality with a non-performing loan ratio at a low of 0.9%.
The bank’s cost-to-income ratio improved to 38.5%, reflecting efficient management of operating expenses amidst rising business volumes. Moreover, OCBC’s capital adequacy ratios remain robust under the Basel III reforms, with a CET1 CAR of 17.2%.
Looking forward, OCBC remains confident in the resilience of its key markets in Asia and is poised to capitalize on potential opportunities, supported by its strong financial position and strategic initiatives in wealth management and digitalization.
