Dbs Group Holdings Ltd · SGX:D05

Dbs — Q1 2024 Earnings Presentation

17 slides from Dbs's earnings presentation, May 2, 2024

  1. Slide 1: Record quarterly income and earnings

    Record quarterly income and earnings DBS Group Holdings 1Q 2024 financial results May 2, 2024 Disclaimer: The information contained in this document is intended only for use during the presentation and should not be disseminated or distributed to parties outside the presentation. DBS Bank accepts no

  2. Slide 2: Highlights

    Highlights First-quarter net profit at $2.96 billion with ROE at 19.4%, both at new highs  Commercial book total income up 14% to $5.31 billion o NIM expands 8bp to 2.77% from higher interest rates o Net fee income crosses $1 billion for the first time o Treasury customer sales reaches a new record

  3. Slide 3: 1Q net profit up 15% YoY to new quarterly high

    1Q net profit up 15% YoY to new quarterly high (S$m) 1Q24 YoY % Total income record 5,557 13  Commercial book total income rises 14% from 8bp Commercial book 5,311 14 NIM expansion and new highs in fees and treasury Markets trading 246 (9) customer sales Expenses 2,079 10  Markets trading income d

  4. Slide 4: 1Q net profit rises 24% QoQ

    1Q net profit rises 24% QoQ (S$m) 1Q24 QoQ % Total income record 5,557 11  Commercial book total income up 9% led by record Commercial book 5,311 9 fee and treasury customer sales Markets trading 246 >100  Commercial book NIM rises 2bp Expenses 2,079 (6)  Markets trading income more than doubles

  5. Slide 5: 1Q commercial book net interest income stable, NIM up 2bp to 2.77%

    1Q commercial book net interest income stable, NIM up 2bp to 2.77% Net interest margin (%) 2.81 2.82 2.75 2.77 2.69 Commercial book Group 2.12 2.16 2.19 2.13 2.14 Net interest income (S$m) 3,433 3,504 3,434 3,505 3,271 Commercial book 3,384 3,581 3,684 3,637 3,647 Markets trading -113 -148 -180 -203

  6. Slide 6: Loans up 1% QoQ in constant-currency terms

    Loans up 1% QoQ in constant-currency terms (S$bn) Others Citi TW 431 +6 CBG / WM 131 In constant-currency terms +6  1Q loan growth due to +4 increase in non-trade +10 +7 corporate loans of 3% +4  Trade loans and consumer +0 Other 255 -5 loans little changed + IBG +1 +1 +1 -1 -1 − -2 -4 -1 Trade 41

  7. Slide 7: Deposits up 1% QoQ in constant-currency terms

    Deposits up 1% QoQ in constant-currency terms 583 604 (S$bn) 576 567 579 47 48 48 57 47 Loans 227 228 248 249 267 Other funding FD and others Casa 417 416 420 416 425 302 292 284 286 280 Mar 23 Jun 23 Sep 23 Dec 23 Mar 24 HQLA (S$bn) 144 149 146 148 151 Ratios (%) LDR 79 80 79 78 78 LCR 147 146 138

  8. Slide 8: 1Q fee income growth due to wealth management, cards and loan-related fees

    1Q fee income growth due to wealth management, cards and loan-related fees (S$m) 1,271 18 1,048 1,069 1,008 999 Investment 21 29 banking 44 31 536 393 370 Wealth 365 377 management 142 185 142 137 Loan-related 133 227 269 311 301 Cards 237 Transaction services 230 221 228 217 231 1Q23 2Q23 3Q23 4Q23

  9. Slide 9: 1Q commercial book non-interest income up 30% YoY from record fee income and treasury customer sales

    1Q commercial book non-interest income up 30% YoY from record fee income and treasury customer sales (S$m) 2,052 1,665 1,688 388 1,612 1,573 Other non-interest 382 325 346 316 621 income 432 464 499 390 Net fee income 1,043 851 823 843 867 1Q23 2Q23 3Q23 4Q23 1Q24 Commercial book 1,283 1,287 1,342 1

  10. Slide 10: 1Q cost-income ratio of 37% stable YoY

    1Q cost-income ratio of 37% stable YoY Cost / income 44 (%) 39 38 38 37 2,205 2,038 2,079 (S$m) 1,882 1,931 1,345 Staff 1,261 1,333 1,215 1,215 expenses Other 860 667 716 777 746 expenses 1Q23 2Q23 3Q23 4Q23 1Q24 10

  11. Slide 11: NPL ratio unchanged QoQ at 1.1%

    NPL ratio unchanged QoQ at 1.1% (S$m) 1Q23 2Q23 3Q23 4Q23 1Q24 NPAs at start of period 5,125 4,951 4,990 5,303 5,056 IBG and others (133) (5) (41) (139) 75 New NPAs 218 166 224 127 317 Upgrades, settlements and recoveries (251) (139) (221) (139) (196) Write-offs (100) (32) (44) (127) (46) CBG / WM (

  12. Slide 12: 1Q SP remains low at 10bp

    1Q SP remains low at 10bp (S$m) 1Q23 2Q23 3Q23 4Q23 1Q24 IBG and others 24 57 114 25 5 Add charges for 84 110 160 76 54 New NPLs 17 87 97 15 45 Existing NPLs 67 23 63 61 9 Subtract charges for 60 53 46 51 49 Upgrades 1 0 4 2 0 Settlements 50 39 34 40 40 Recoveries 9 14 8 9 9 CBG / WM 34 49 73 90 96

  13. Slide 13: Allowance coverage at 125%

    Allowance coverage at 125% 6,631 6,476 6,527 (S$m) 6,266 6,327 3,910 3,896 3,927  Allowance coverage GP 3,831 3,802 comfortably above 100% and exceeds 200% after considering collateral SP 2,435 2,525 2,721 2,580 2,600 Mar 23 Jun 23 Sep 23 Dec 23 Mar 24 Total allowance reserves as % of: NPA 127 127

  14. Slide 14: Strong CET-1 and leverage ratios

    Strong CET-1 and leverage ratios (%) 16.5 15.9 16.1 16.2 15.8 Tier 2 1.5 0.8 0.9 1.1 1.1 Additional Tier 1 0.6 0.7 0.6 0.6 0.7 Common Equity Tier 1 14.4 14.1 14.1 14.6 14.7 Mar 23 Jun 23 Sep 23 Dec 23 Mar 24 RWA (S$bn) 353 371 372 368 378 Leverage ratio (%) 6.4 6.5 6.4 6.6 6.5 14

  15. Slide 15: 1Q dividend at 54 cents per share

    1Q dividend at 54 cents per share (S¢ per share) Adjusted for bonus issue 175 136 49 4Q 38 44 3Q 33 44 2Q 33 54 1Q 33 38 2022 2023 2024 Excludes special dividend in 2022 15

  16. Slide 16: In summary

    In summary Record quarterly performance with total income, net profit and ROE at new highs Broad-based business momentum with loan growth as well as record fee income and treasury customer sales While geopolitical tensions persist, macroeconomic conditions remain resilient, tempering Fed rate cut ex

  17. Slide 17: Record quarterly income and earnings

    Record quarterly income and earnings DBS Group Holdings 1Q 2024 financial results May 2, 2024 Disclaimer: The information contained in this document is intended only for use during the presentation and should not be disseminated or distributed to parties outside the presentation. DBS Bank accepts no

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