UOB profits from property boom
(8 August 2007 – Singapore) United Overseas Bank (UOB), which is Singapore’s second largest lender after DBS, has posted a net profit of S$585 million (US$386 million) for the April to June quarter, up from S$443 million a year ago.
The 32 percent profit increase was viewed as better than expected and boosted by strong interest and fees from the booming property and construction markets in Singapore.
UOB chief executive Wee Ee Cheong said the outlook was positive for the bank although markets in the region remained volatile.
There are concerns that the Singapore government will attempt to take the heat out of the property market.
The bank said it would look to expand in China and Vietnam. At the moment, 65 percent of UOB’s profit comes from Singapore with south east Asia contributing about 22 percent.
UOB chief executive Wee Ee Cheong said the outlook was positive for the bank although markets in the region remained volatile.
There are concerns that the Singapore government will attempt to take the heat out of the property market.
The bank said it would look to expand in China and Vietnam. At the moment, 65 percent of UOB’s profit comes from Singapore with south east Asia contributing about 22 percent.