OCBC Bank Q2 Net Profit Rises 22% to S$2.22 Billion

OCBC Bank reported a 22% increase in second-quarter net profit to S$2.22 billion, exceeding the consensus forecast of S$1.91 billion. The bank declared an interim dividend of S$0.47 per share, totaling approximately S$2.11 billion.

Growth was primarily driven by a 51% surge in non-interest income to S$1.91 billion. This included significant gains in trading, which rose 85%, insurance, which grew 68%, and fee income, which increased 28% due to wealth management performance. These gains offset a 1% decline in net interest income to S$2.26 billion resulting from a lower interest-rate environment.

For 2026, the bank updated its financial targets to aim for high-single-digit to low-double-digit growth in both loans and total income. To support wealth management expansion, the bank will hire 600 relationship managers over the next three years and launch Southeast Asia's first AI-native mobile banking app featuring virtual avatars for personalized insights.

Group CEO Tan Teck Long noted that global conditions remain uncertain due to geopolitical tensions and inflation risks, stating that the near-term outlook depends largely on the easing of Asia's energy crunch caused by the war in the Middle East.