United Overseas Bank Net Profit Jumps 182 Percent

United Overseas Bank reported a 182 percent increase in third-quarter net profit, reaching 1.25 billion Singapore dollars for the period ending September. The surge resulted primarily from a significant reduction in provisions for potential bad loans, which dropped to 258 million Singapore dollars from 1.36 billion Singapore dollars the previous year.

Last year's figures included a 615 million Singapore dollar pre-emptive provision tied to macroeconomic headwinds in Greater China and U.S. commercial real estate. While the bank saw net fee income rise 19 percent to 733 million Singapore dollars and net interest income grow 1 percent to 2.28 billion Singapore dollars, total income declined slightly by 0.5 percent to 3.38 billion Singapore dollars.

The bank's net interest margin narrowed to 1.68 percent from 1.82 percent, a shift attributed to a lower interest rate environment.