OCBC's Q2 Profit Rises 65% To $518m

Source : The Business Times, August 8, 2007

Oversea-Chinese Banking Corp, Singapore's smallest bank, on Wednesday said its quarterly profit rose 65 per cent, helped by strong loan growth and higher fee income on the back of buoyant capital markets.

The bank reported net profit of $518 million (US$342 million) excluding exceptionals for the April-June period, up from $314 million a year ago and against an average forecast of $460 million by four analysts polled by Reuters.

OCBC, controlled by the family of Singapore tycoon Lee Seng Wee, has lagged its larger rivals in capturing loan growth in recent quarters despite a strong local economy and booming construction market.

Singapore's second-biggest lender, United Overseas Bank, on Tuesday posted a 32 per cent rise in quarterly profit, excluding exceptional gains, as a construction and property boom fuelled strong loan growth.

Last month, DBS Group Holdings, South-east Asia's biggest lender, reported a 21 per cent jump in quarterly net profit excluding one-offs, beating market expectations, due to higher loan income and strong fees. -- REUTERS