DBS bank reported a record-breaking income for the third quarter of 2025, largely due to strong fee income from wealth management. However, the bank’s net profit experienced a slight dip of 2 percent year-on-year, almost S$3 billion ($2.3 billion). This was a result of the newly enforced global minimum tax reform. Notwithstanding this, the profit before tax rose by 1 percent, reaching an all-time high of S$3.5 billion.
The bank’s total income also saw a significant surge, increasing by 3 percent to S$5.9 billion, setting another record. Net interest income remained relatively stable, while fee income and treasury customer sales witnessed new peaks, primarily driven by the wealth management sector. Market trading income improved due to lower funding costs and a more favorable trading environment. Simultaneously, expenses escalated by 6 percent to hit S$2.4 billion. The increase was primarily fueled by enhanced staff costs as bonus accruals rose in sync with the improved performance.
For the first nine months of the year, DBS’s profit amounted to S$8.7 billion, representing a marginal decline of 1 percent.
DBS’s CEO, Tan Su Shan, provided some insight into the bank’s future strategy. He stated that the bank would continue to adapt to the challenges of decreasing interest rates through agile balance sheet management. He also emphasized the bank’s ability to seize structural opportunities across wealth management and institutional banking, ensuring continued growth and success.
What factors contributed to DBS’s record-breaking income in the third quarter of 2025?
The record-breaking income was largely due to strong fee income from wealth management. Additionally, the bank saw new highs in fee income and treasury customer sales.
What was the impact of the newly enforced global minimum tax reform on DBS?
The new global minimum tax reform led to a slight dip in DBS’s net profit by 2 percent year-on-year in the third quarter of 2025.
How does DBS plan to navigate the pressures of declining interest rates?
DBS plans to navigate the pressures of declining interest rates through agile balance sheet management. The bank also aims to seize structural opportunities across wealth management and institutional banking.
