DBS Group Holdings Ltd (DBSDY) Q4 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Okay good morning everybody and welcome to DBS's fourth quarter and full year 2025 financial results briefing. This morning we announced for the full year that we achieved record income and profit before tax. Net profit came in at 11 billion with ROE at 16.2%. For the fourth quarter net profit was 2.36 billion. With us today, our CEO, Tan Xu Shan, and our CFO, Cheng Sok Huy. Without further ado, let me invite Sok Huy Yat to give us more colour. Thanks, Agnes. Good morning, everyone, and happy Chinese New Year in advance. Okay, slide two. On the highlights, we delivered a strong set of results for full year 2025. Pre-tax profit rose to a new high of $13.1 billion. Return on equity was 16.2% and return on tangible equity was 17.8%. Total income grew 3% to a record $22.9 billion despite a challenging rate environment. Average SORA and HIBOR both fell by almost 2 percentage points and there were adverse translation effects from a strong Singapore dollar. Group net interest income was nonetheless modestly higher, driven by record deposit growth and proactive balance sheet management. Fee income and treasury customer sales both grew double digits and reached new highs, led by wealth management. Markets trading income rose to the highest level since 2021. The cost-to-income ratio was unchanged at 40%. Net profit was 3% lower at $11.0 billion. This was due to higher tax expenses of $400 million from the consequential implementation of the 15% global minimum tax. For the fourth quarter, pre-tax profit was $2.8 billion, down 6% from a year ago. Total income declined 3% to $5.33 billion as higher fee income and treasury customer sales were offset by the impact of rate headwinds and the absence of non-recurring gains recorded a year ago. Asset quality remained sound. A previousl...