Record fee income above SGD 4 billion and NIM expansion powered the Singapore lender's best-ever annual result.

Record Top-Line and Bottom-Line Performance

DBS Group Holdings reported all-time high total income of SGD 22.3 billion in FY2024, up 10% from SGD 20.18 billion in FY2023, driven by commercial book net interest margin (NIM) expansion and a surge in wealth management fees. Net profit rose 11% year-on-year to SGD 11.4 billion, with return on equity reaching 18.0%—among the highest for developed-market banks globally. For the fourth quarter, net profit grew 10% YoY to SGD 2.62 billion, while Q4 total income rose to SGD 5.51 billion, reflecting growth in both the commercial book and markets trading.

The SGD 22.3 billion total income figure is equivalent to approximately USD 16.43 billion at the SGD/USD exchange rate of 0.744, underscoring DBS's position as one of the best-performing lenders in developed markets.

Total Income (SGD bn) (SGD bn)Source: Orionmano Industries

Revenue Drivers: NIM Expansion and Fee Income Records

The income growth was powered by two core engines. Commercial book net interest income rose 5% to SGD 15 billion in FY2024, with NIM expanding 4 basis points to 2.80%. Balance sheet management supported net interest income growth despite a mixed rate environment.

Fee income crossed the SGD 4 billion threshold for the first time, surging 23% to a record SGD 4.17 billion. Wealth management fees were the standout driver, climbing 45% to an all-time high of SGD 2.18 billion, reflecting improved investor sentiment and higher client engagement. Card fees rose 19% to SGD 1.24 billion, boosted by the consolidation of Citi Taiwan operations and higher spending volumes. Loan-related fees grew 16% to SGD 644 million.

Treasury customer sales also reached a new high, and markets trading income rebounded during the year, contributing to the diversified income base. These non-interest income streams helped DBS reduce its reliance on net interest income, a strategic shift that has gained traction as fee-based revenue becomes increasingly important to the bank's earnings profile.

Cost Discipline and Balance Sheet Strength

Expenses rose 10% to SGD 8.9 billion in FY2024, with the Citi Taiwan acquisition accounting for approximately 3 percentage points of that increase. Despite higher costs, the cost-income ratio remained unchanged at 40%, indicating that revenue growth kept pace with expense expansion.

Asset quality remained sound. Specific allowances stood at 20 basis points of loans, while general allowances of SGD 20 million were written back, reflecting a benign credit environment. The bank's balance sheet fundamentals strengthened: customer loans grew 3% to SGD 12 billion, and deposits climbed 4% to SGD 20 billion.

The five-year summary data from DBS's annual report confirms the upward trajectory: total income has grown from SGD 14.19 billion in FY2021 to the current SGD 22.3 billion, representing a compound annual growth rate of approximately 12% over that period.

Capital Returns and Outlook

The board has proposed a final dividend of SGD 0.60 per share for FY2024. More significantly, DBS outlined plans to introduce a quarterly capital return dividend of SGD 0.15 per share over FY2025, with expectations of maintaining similar payout levels over the following two years, barring unforeseen circumstances. This structure is designed to sustain shareholder value even as macroeconomic uncertainties persist.

Beyond shareholder returns, DBS set aside SGD 100 million from the year's profits to support vulnerable communities, continuing a corporate social responsibility commitment that has been maintained for several consecutive years. The bank also allocated SGD 32 million for a one-time bonus of SGD 1,000 to all staff except senior managers.

Leadership transition marks a key milestone for the bank. CEO Piyush Gupta, who has led DBS through a period of significant digital transformation and earnings growth, will retire after the 2025 Annual General Meeting. Ms. Tan Su Shan, currently Deputy CEO, is set to succeed him as Group CEO. This change comes as DBS navigates a landscape of persistent macroeconomic and geopolitical uncertainties, but the bank's record financial performance in FY2024 provides a strong foundation for the incoming leadership team.