DBS Q2 profit beat, raises guidance

DBS Group, Singapore's largest bank, reported a record quarterly net profit of S$3.08 billion for Q2 2026, up 9% year-on-year and beating analyst estimates of S$2.88 billion. The strong performance was driven by robust wealth management fees, treasury sales, and trading income, which offset pressure from lower interest rates. Net interest margin fell to 1.87% from 2.05% a year earlier, but strong loan and deposit growth helped. CEO Tan Su Shan raised the bank's full-year guidance, expecting total income to exceed 2025 levels. Wealth management assets under management surpassed S$500 billion for the first time, and wealth management fees grew 42% to a record S$919 million. DBS declared a dividend of 81 Singapore cents per share, up 6 cents. The bank's shares rose 3% to a record high of S$75.80. DBS's results kicked off the Singaporean banks' earnings season, with peers Chinabank and United Overseas Bank scheduled to report on Friday. HSBC and Standard Chartered also reported strong wealth management-driven results.