DBS cuts CEO’s pay by 30% due to digital disruptions.

DBS Group, Southeast Asia’s largest bank, reported record earnings for the full year in 2023, with net profit jumping 26% to a record SG$10.3 billion. However, the bank also cut the variable compensation for its senior management, including CEO Piyush Gupta, by 30% in order to hold them accountable for a number of digital disruptions throughout the year. In terms of its exposure to China, DBS stated that the bulk of its activities were “outbound” and not in the mainland. Despite the record earnings, bank profits may slow down in the second half of 2024 as central banks globally begin cutting interest rates. However, DBS remains optimistic about its performance in the coming year, citing its franchise strengths. The bank proposed a final dividend of 54 cents per share and also proposed a 1-for-10 bonus share issue. Shares of DBS jumped as much as 3% on the day of the earnings release.