Strong OCBC result confirms Singaporean comeback
(18th November 2003 – Singapore) Singapore’s third largest lender OCBC has followed up strong earnings from rivals DBS and United Overseas Bank by posting a 62 percent rise in net profits for the third quarter to September.
OCBC’s net profit jumped to almost S$292 million for Q3 from S$180.6 million for the same period last year.
The positive result was helped by a major asset sale in Singapore as well as strong contributions from the bank’s insurance unit and lower loan loss provisions.
OCBC chief executive David Connor said the result showed a steady recovery from "macroeconomic uncertainties in the first half of the year".
"We are pleased with the trends in our fee income, the costs front and asset quality, but we still need to work harder to increase overall revenues," Connor said.
However, he said the bank remained "cautiously optimistic" about the overall business outlook.
The three major Singaporean banks all reported lower loan loss provisions for Q3 as the country recovered from the SARS crisis which hit earnings in the previous quarter.
The positive result was helped by a major asset sale in Singapore as well as strong contributions from the bank’s insurance unit and lower loan loss provisions.
OCBC chief executive David Connor said the result showed a steady recovery from "macroeconomic uncertainties in the first half of the year".
"We are pleased with the trends in our fee income, the costs front and asset quality, but we still need to work harder to increase overall revenues," Connor said.
However, he said the bank remained "cautiously optimistic" about the overall business outlook.
The three major Singaporean banks all reported lower loan loss provisions for Q3 as the country recovered from the SARS crisis which hit earnings in the previous quarter.
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