- OCBC (SGX:O39) reported net profit of S$1,687m for 4Q24 (up 4% y-o-y but down 15% q-o-q), slightly below our forecast of S$1,748m.
Mild NIM compression.
- - Read this at SGinvestors.io -
- Net interest income was quite flat on a y-o-y basis.
Sequential growth in fees despite seasonal weakness.
- Fees grew 12% y-o-y and 2% q-o-q in 4Q24.
- Contribution from wealth management increased 26% y-o-y. OCBC saw increased customer activities across all wealth product channels due to improved sentiment and higher AUM. Its AUM has expanded 14% to S$299b.
- Contributions from life and general insurance were lacklustre at S$101m due to provisions for changes to Singapore’s MediShield Life scheme and caps for premium increases in Malaysia.
Contribution from treasury activities normalises.
- - Read this at SGinvestors.io -
Higher staff costs due to bonus accruals and acquisition.
- Read more at SGinvestors.io.
