UOB cuts 2026 margin guidance as funding costs rise; Q3 profit rebounds to S$1.25 billion
Its earnings growth is supported by record fee income driven by its wealth, cards and loan-related businesses
[SINGAPORE] UOB expects its net interest margin (NIM) to fall below guidance for 2026, as rising funding costs continue to squeeze lending profitability despite a sharp rebound in its net profit for the third quarter ended Sep 30, 2026.
Full-year NIM is now likely to come in below its earlier guidance of 1.75 to 1.8 per cent, even as net interest income in 2027 is projected to surpass this year’s levels, said Leong Yung Chee, UOB’s group chief financial officer, in the bank’s results briefing on Wednesday (Nov 4).
The revised outlook came as UOB posted a 182.2 per cent rise in Q3 net profit to S$1.25 billion, from S$443 million in the year-ago period.
