UOB profits up 12% to US$648m in Q3

The growth of net interest and noninterest income boosted its earnings.

United Overseas Bank's (UOB) profits rose by 12% YoY from US$580m to US$648m in Q3.

According to OCBC Investment Research, the growth came from improvement in both net interest and noninterest income.

Fee income enjoyed strong growth and went up 12% YoY. UOB's wealth management business also led with a 40% YoY jump in contribution to US$104m.

Fund management income rose 15% YoY and credit cards' earnings improved 11%.

Net interest margin (NIM) improved from 1.69% in 3Q16 and 1.75% in 2Q17 to 1.79% in 3Q17. Non-performing loans (NPL) ratio stayed stable at 1.6%.