OCBC posts 22% jump in Q2 earnings

Singapore

OCBC Bank posted robust Q2 2017 net earnings on Thursday, kicking off the banks' reporting season, yet chief executive Samuel Tsien was not exactly popping champagne.

That's because the Singapore economy is "quite subdued" and "loan demand is not that strong domestically", he said at the bank's results briefing.

OCBC reported a stronger than expected net profit after tax of S$1.08 billion for the second quarter of 2017, up 22 per cent from a year ago, and up 11 per cent from the previous quarter. A Reuters poll had expected the bank to record a net profit of S$988 million.

The group's banking, wealth management and insurance operations delivered a strong year-on-year performance, driven by growth in net interest income, fees and commissions, net trading income and profit from life assurance. Net interest income rose 7 per cent to S$1.35 …