DBS Group Holdings, Singapore's biggest bank, on Friday said second-quarter net profit climbed 9 percent, beating expectations with the help of 10 percent growth in loans.
The result meant Southeast Asia's biggest lender, which earns most of its profit from Singapore and Hong Kong, achieved a record first-half net profit of S$2.2 billion ($1.76 billion).
Unlike rival United Overseas Bank, which doubled its bad debt charges in the second quarter, DBS saw a 48 percent decline in similar charges.
DBS said net profit came to S$969 million for April-to-June period, up from S$887 million in the same period a year earlier and above an average forecast of S$948 million from seven analysts polled by Reuters.
DBS' shares have under-performed its rival United Overseas Bank this year due to concerns over its exposure to China's slowing economy and the debt overhang from Beijing's massive 2008 stimulus.