Dah Sing Financial (00440.HK): Shareholders' profit attributable to owners increased by 23% to HKD 2.057 billion in 2025

Gelonghui, March 30 | Dah Sing Financial (00440.HK) announced its annual results for 2025. In a mixed economic backdrop, the group demonstrated resilient strength, recording a 24% increase in operating profit before impairment losses, while operating expenses saw a modest rise. The cost-to-income ratio improved to 43.3% from 47.8% last year. Despite operating in an environment of generally declining interest rates, Dah Sing Bank’s net interest margin still expanded by 24 basis points to 2.41%. This improvement reflects the group’s success in increasing current and savings deposit balances and actively implementing stringent control over funding costs. Even as the local banking sector faced margin pressure following the Federal Reserve’s rate cuts, these measures have enabled the group to expand its net interest margin.

Driven by robust growth in both interest and non-interest income, operating income increased by 15% to HKD 8.267 billion. Net interest income rose by 9% to HKD 5.901 billion, while non-interest income increased by 31% to HKD 2.366 billion. Excluding the non-cash impairment losses from goodwill arising from the acquisition of Macau Commercial Bank in 2005, operating profit after credit impairment losses increased by 47% year-on-year, mainly driven by the increase in operating income, reflecting a significant improvement in the profitability of core businesses. During the year, credit impairment losses recorded a slight decline, indicating the group’s prudent asset quality management. The group reported a 23% increase in profit attributable to shareholders to HKD 2.057 billion. A final dividend of HKD 1.42 per share is proposed, bringing the total annual dividend to HKD 2.58, an increase of 23% compared to HKD 2.10 in 2024.