UOB Q3 net profit misses forecasts; wealth momentum continues

SINGAPORE - Singapore's United Overseas Bank, or UOB, on Wednesday (Nov 4) posted a net profit for the July-September period that missed expectations, despite stronger loan-related activities and wealth management fees reaching an all-time high.

UOB's third-quarter net profit of S$1.25 billion was more than double that of a year earlier, but the year-ago quarter was a low base due to a surge in credit provisions by the lender.

The results underperformed the mean estimate of S$1.35 billion from two analysts, according to LSEG data.

Here are some details:

• Net fee income jumped 19 per cent on an annual basis to a record S$733 million, helped by strong growth in wealth, cards and loan-related activities

• Wealth management fees reached a record S$258 million in the third quarter, with net new money totalling S$5 billion in the first nine months of 2026

• Trading and investment income slid 33 per cent year-on-year to S$322 million owing to less favourable market conditions, the bank said. That weighed on its other non-interest income, which fell by 29 per cent year-on-year to S$370 million

• UOB's net interest margin narrowed 6 basis points quarter-on-quarter to 1.68 per cent due to higher funding costs

• For its 2027 outlook, the lender said it expects loan growth to come in at a mid-single-digit range, while it forecasts net interest income to be above 2026's levels. Meanwhile, it expects fee income to reach mid- to high-single-digit growth.

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