Group 1998: S$222.7 million (-49.0%) 1997: S$436.4 million
Bank 1998: S$239.0 million (-40.5%) 1997: S$401.6 million
Group net profit was in 1998 S$222.7 million compared to S$436.4 million in 1997 due mainly to provisions on non-performing loans (NPLs) in Malaysia, Indonesia, Thailand, Korea and the Philippines (Regional Countries). Total provisions made for 1998 were S$996.4 million compared to S$495.5 million for 1997.
Excluding the contribution from POSBank and losses at Thai Danu Bank (TDB), the decline in Group net profit would have been 27.6%.
Operating Profit
Group 1998: S$1,151.7 million (+13.0%) 1997: S$1,019.4 million
Bank 1998: S$1,109.0 million (+18.2%) 1997: S$938.1 million
Group operating profit rose by 13.0% to S$1,151.7 million in 1998, contributed mainly by an increase in net interest income.
Excluding the consolidation of POSBank and TDB, growth in Group operating profit would have been 7.9%.
Group Net Interest Income & Non-interest Income
Net Interest Income 1998: S$1,430.0 million (+42.7%) 1997: S$1,001.8 million
Non-Interest Income 1998: S$476.1 million (-6.7%) 1997: S$510.5 million
The growth in net interest income was due mainly to higher loan volume and margins;
as well as the inclusion of POSBank's net interest income from 1 July 1998 and TDB's net interest income from 1 April 1998. Excluding contributions from POSBank and TDB, growth in net interest income would have been 15.6%.
Fee and commission income declined due to lower loan-related income, stockbroking and fund management fees. Lower dividend income was the result of lower payout by affiliated companies. Other Income, which is market dependent, and rental income were higher.
Bank 
