UOB boosts net earnings 8% for first half of year
UOB Group posted net earnings of S$2.22 billion (Bt49.4 billion) for the first half of 2019, up 8 per cent compared with a year ago.
Total income rose 9 per cent to a new high of S$4.99 billion, lifted by strong loan growth and higher trading and investment income. Return on equity rose to 12 per cent, up 0.4 per cent from a year ago.
Net earnings for the second quarter of 2019 rose to S$1.17 billion, which was 11 per cent and 8 per cent higher than the first quarter of 2019 and the second quarter of 2018, respectively. The record second-quarter earnings were driven by improvement in both interest and non-interest income.
The group’s funding position and capital base stayed strong. The loan-to-deposit ratio was stable at 88.5 per cent as at 30 June 2019. Gross loans and deposits grew 9 per cent and 6 per cent year on year to S$273 billion and S$305 billion respectively. The group’s common equity tier 1 capital adequacy ratio (CAR) remained robust at 13.9 per cent.
On the back of the strong earnings performance, the board declared an interim dividend of 55 Singapore cents per ordinary share. This reflects UOB’s commitment to reward shareholders while retaining adequate resources for capital and growth needs.
