OCBC reported a record quarterly net profit of S$2.22 billion for the second quarter of 2026, a 22 per cent increase from S$1.82 billion a year earlier. The result exceeded the S$1.93 billion average analyst estimate compiled by LSEG.
The result was driven by a 51 per cent surge in non-interest income to S$1.91 billion, which more than offset a 1 per cent decline in net interest income to S$2.26 billion. Fee income rose 28 per cent, trading income jumped 85 per cent, and insurance income climbed 68 per cent.
Net interest margin fell to 1.70 per cent from 1.92 per cent in the same quarter last year, a 22 basis-point contraction that reflects the lower interest-rate environment. The impact was partly cushioned by a 12 per cent increase in average assets.
First-half wealth-management income rose 27 per cent to a record S$3.29 billion, while banking assets under management grew 13 per cent to S$350 billion. CEO Tan Teck Long said the bank's strong capital, funding and liquidity position, diversified income streams and disciplined risk management leave it well placed to navigate uncertainties.
OCBC raised its 2026 loan-growth outlook to high-single-digit to low-double-digit from the previous mid-single-digit forecast, while maintaining its 50 per cent ordinary dividend payout ratio and commitment to complete a S$2.5 billion capital return plan by year-end. The cost-to-income ratio is expected to stay in the low-40 per cent range and credit costs at 20-25 basis points.