UOB Q1 net profit dips 4% to S$1.44 billion; beats expectations

[SINGAPORE] UOB’s net profit for the first quarter fell 4 per cent on a softer operating environment, the lender said on Thursday (May 7).

Net profit for the three months ended Mar 31, 2026, came in at S$1.44 billion, compared with S$1.49 billion a year earlier.

This was above the S$1.39 billion consensus estimate in a Bloomberg survey of four analysts.

Net interest income fell 4 per cent to S$2.32 billion on lower benchmark rates, as net interest margin narrowed by 18 basis points to 1.82 per cent from 2 per cent previously.

Net fee income fell 8 per cent to S$637 million. Other non-interest income dropped 17 per cent year on year to S$462 million.

The non-performing loans ratio stood at 1.5 per cent, down from 1.6 per cent a year earlier.

Total allowances fell 30 per cent to S$203 million, due mainly to lower general allowance.

Wee Ee Cheong, UOB deputy chairman and CEO, said: “The group delivered a steady performance in the first quarter, reflecting the underlying strength of our core business and diversified income streams.

“Leveraging our regional footprint and deep Asean connectivity, we stand ready to support our customers as they navigate a more uncertain operating environment.”

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UOB was the second of Singapore’s three local banks to report first-quarter results, after DBS released its numbers on Apr 30. OCBC is due to report on Friday.

Shares of UOB closed 1 per cent or S$0.37 higher at S$36.65 on Wednesday.