DBS Group has reported a record profit before tax of S$3.44b for the first quarter of 2025, marking a slight increase from the previous year.
This achievement comes as the bank’s total income rose by 6% to S$5.91b, driven by strong business growth, particularly in wealth management and markets trading. However, net profit saw a 2% decline to S$2.90b due to increased tax expenses following the implementation of a 15% global minimum tax.
The bank’s total income growth was supported by balance sheet expansion, record fee income, and treasury customer sales. Despite these gains, DBS took a prudent approach by setting aside S$205m in general allowances to bolster reserves against ongoing macroeconomic and geopolitical uncertainties. The cost-income ratio remained stable at 37%, with asset quality showing resilience as the non-performing loan (NPL) ratio stood at 1.1%.
Compared to the previous quarter, DBS’s net profit increased by 10%, with non-interest income growing by 25% due to higher fees and trading income. Expenses decreased by 8%, partly due to non-recurring items from the previous quarter. Tan Su Shan, CEO of DBS, highlighted the bank’s strong start to the year, stating, “We had a strong start to the year with broad-based business growth led by wealth management, and ROE above 17% despite the impact of the global minimum tax.”
As trade tensions escalate, DBS remains focused on managing risks whilst capturing opportunities. The bank has strengthened its general allowance reserves and maintains strong capital and liquidity positions to support its customers.
