UOB’s net profit for the fourth quarter rose 21.8 per cent on higher net fee income and other non-interest income, based on its results released on Thursday (Feb 22).
Net profit for the three months ended Dec 31, 2023, stood at S$1.4 billion, compared with S$1.2 billion from the year-ago period. This included one-off expenses from the lender’s Citigroup integration costs.
The earnings missed a S$1.5 billion consensus forecast for the fourth quarter in a Bloomberg survey of two analysts. If not for the one-off integration expenses, core net profit would have been in line with the projections.
UOB’s board has recommended a final dividend of S$0.85 per share for the half-year period. This brings the full-year dividend to S$1.70 per share, representing a payout ratio of about 50 per cent.
The dividend will be paid out on May 9, after books closure on Apr 29. UOB said its scrip dividend scheme will not be applied to the final dividend.
For the full year, net profit was up 24.9 per cent to S$5.7 billion – a record high, although it missed a S$6 billion consensus forecast of five analysts surveyed by Bloomberg.
Excluding the one-off Citigroup integration costs, core net profit would be S$6.1 billion, rising 25.8 per cent on the year.
Annualised earnings per share stood at S$3.34 for FY2023, up from S$2.69 the year before.
Shares of UOB closed 0.9 per cent or S$0.27 lower at S$29.24 on Wednesday.
