DBS delivered 2Q25 core-earnings ahead of MIBG and Street expectations. The Group generated above market trend growth across all pillars. We believe this is sustainable in the medium term given the self-reinforcing effects of scale and strong management execution.
- Read this at SGinvestors.io -
Strong execution across pillars.
2Q NIMs fell less than peers. DBS’s interest rate hedges are providing downside support. With the book duration of 2-3 years, this support can last longer, in our view. Management claims Fed rate cuts could potentially boost NII by pricing down non-S$ liabilities (which are largely in US$).
- Read this at SGinvestors.io -
Separately, treasury income saw +42% y-o-y growth. Given market volatility showing no signs of abating, expect continued resilience.
Asset quality remains well-supported and limited stress seen so far. DBS claims continuous stress tests and conservative risk exposures should provide safety.
AI, digital assets creating opportunities.
Read more at SGinvestors.io.
Above is an excerpt from a report by Maybank Research. Clients of Maybank Securities may be the first to access the full PDF report @ https://www.maybanktrade.com.sg/.
Use Trust referral code PGKPSWAE to sign up NTUC Link or Trust Link Credit Card or open a Trust Bank Savings Account: ✨Earn up to S$1,000 cashback rewards 🎟!
