Maybank Singapore has reported a significant 17.9% year-on-year increase in its net fund based income, reaching S$382.19m. This growth is attributed to the expansion of its balance sheet and proactive management of funding costs. However, the bank’s non-interest income (NoII) saw a slight decline of 2.4% to S$286.81m, primarily due to a decrease in treasury income linked to lower foreign exchange-related earnings.
Despite the dip in NoII, Maybank Singapore experienced stronger wealth income, bolstered by bancassurance commissions and investment income. Additionally, the bank benefited from higher non-operating income, which included gains from government bond sales and improved loan-related fees.
The bank’s profit before tax (PBT) for the first half of the financial year 2025 was S$363.82m, marking a 5.8% decrease. This decline was influenced by increased overheads and a lower write-back in impairment allowance, which offset the growth in fund based income.
Maybank Singapore’s financial performance highlights the challenges and opportunities within the banking sector, as it navigates fluctuating income streams and operational costs. The bank’s ability to manage funding costs and leverage its balance sheet growth has been crucial in achieving its net fund based income rise. Looking ahead, the bank will need to address the factors impacting its PBT to sustain its financial health.
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