iFAST Signals Strong Q3 FY2026 Financial Momentum Across Core & Digital Banking Segments

iFAST Accelerates Scale as Digital Banking Profits Surge in 3Q FY2026

iFAST Corporation Ltd expanded its operational momentum in the third quarter of 2026, delivering significant financial performance across both core wealth management and digital banking units. Group net profit rose 24.5% YoY to S$32.37 million** in 3Q FY2026, supported by a **23.0% YoY increase** in total revenue to **S$167.01 million.

The quarter showcased expanding operating leverage across the group platform. Total net revenue grew 23.6% YoY to S$110.65 million**, outpacing operating expense growth of **22.9% YoY to S$71.57 million. This operational efficiency pushed 9M2026 net profit to S$90.27 million, representing a 34.4% YoY increase and reinforcing the earnings power of the combined wealth and digital banking franchise.

iFAST Global Bank Scales Profitability with Expanding Margin Architecture

iFAST Global Bank delivered a dramatic shift in profitability as its pretax profit surged **964.7% YoY to S$3.29 million** in 3Q FY2026, up from S$0.31 million in 3Q FY2025. This drove 9M2026 banking pretax profit to S$5.90 million** (+193.5% YoY) on a **67.1% YoY increase** in 3Q FY2026 net revenue to **S$15.55 million.

This breakout performance was anchored by strong deposit scaling across Digital Personal Banking and Business Banking, with total banking deposits expanding 12.2% QoQ to S$2.04 billion. Management is targeting a Net Interest Margin (NIM) of 125 to 150 bps on its deposit franchise, alongside a broader revenue margin target of 200 bps when incorporating non-interest income from cross-border remittance fees. To further accelerate deposit scaling and client acquisition, the bank is expanding its Multi-Currency Debit Card into seven key international markets.

“iFAST Global Bank’s pretax profit is expected to exceed S$10 million for the full year of 2026, representing an increase of over 200% compared to S$3.11 million in 2025.”

Record AUA of S$36.76 Billion Supported by Retail Asset Allocation Shifts

Group Assets Under Administration (AUA) reached a record high of S$36.76 billion**, marking a **20.0% YoY increase**. B2C platform assets expanded at a faster pace of **23.4% YoY to S$13.16 billion, while B2B assets grew 18.3% YoY to S$23.60 billion. The accelerated expansion in higher-margin B2C assets provides direct support to overall platform revenue capture.

An asset class breakdown reveals a significant market rotation among wealth clients. Holdings in Stocks & ETFs surged 41.0% YoY, increasing their share of total platform AUA to 27.5% as retail clients actively traded equity markets. Conversely, Unit Trusts expanded at a steady 18.4% YoY to maintain a 55.5% share, while Bonds contracted 17.9% YoY to drop to 8.1% of total AUA.

Recurring net revenue provided dependable cash flow visibility for the platform. Between 2025 and 9M2026, asset-based recurring sources generated an average of 86.5% of total net revenue, ensuring durable earnings quality through market cycles.

Dividend Distributions Accelerate Alongside Capital Efficiency

On the back of expanding bottom-line profitability, the Board declared a third interim dividend of 3.20 cents per ordinary share. This represents a 39.1% YoY increase compared to the 2.30 cents per share paid in 3Q FY2025.

Management expects total dividends for FY2026 to reach ≥ 12.00 cents per share, setting up a minimum full-year distribution growth of ≥ +43.0% YoY.

Capital deployment remains highly efficient, backed by an impressive Return on Equity (ROE) of 27.6% for 9M2026. Expanding operating leverage ensures that profit growth scales faster than capital requirements, allowing the business to fund growth while simultaneously raising shareholder distribution rates.

Geographic Profitability Highlights Core Strength and Scale Efficiency

Geographic performance reflected high earnings execution in primary wealth hubs, balanced against strategic operational investments and ongoing drag in emerging segments. Singapore maintained its position as the core cash generator, while Malaysia demonstrated significant margin expansion.

Hong Kong served as the single largest top-line contributor, generating S$53.53 million in 3Q FY2026 net revenue**. While 3Q FY2026 pretax profit dipped slightly by **4.6% YoY to S$18.50 million, 9M2026 net revenue rose 45.8% YoY to S$168.41 million, laying the structural foundation for substantial profit realization as major digital platform initiatives continue to mature.

Capital Efficiency and Leverage Management Amid Inflow Moderation

Despite record high total platform assets, quarterly net inflows experienced a temporary moderation to S$1.24 billion** in 3Q FY2026 (-16.9% YoY). However, cumulative 9M2026 net inflows remained positive, growing **2.3% YoY to S$3.80 billion.

The Group’s balance sheet reflects active capital management. The Gross Debt-to-Equity ratio rose from 0.28 to 0.50 following corporate debt issuance, raising total debt issued to S$218.79 million as at 30 September 2026.

This increased gross debt position is fully backed by liquid balance sheet buffers. Total cash and liquid assets reached S$408.25 million**, leaving the group with a net cash and liquid asset position net of borrowings of **S$173.98 million.

Strategic Roadmap to S$100 Billion AUA and Future Catalysts

Looking toward long-term targets, management continues to execute against its strategic vision of reaching **S$100 billion in AUA by 2030**, requiring a target CAGR of **26.5% or higher**. Under management’s target scenario model, Singapore is projected to anchor the platform at **62.1%** of total assets (S$62.1 billion), while iFAST Global Bank is slated to scale to 15.0% (S$15.0 billion) and Hong Kong to **11.6%** (S$11.6 billion).

Near-term operational execution remains anchored on margin expansion, with management targeting a structural improvement in overall profit margin in 2027.

Investors should watch three core operational performance catalysts in upcoming quarters:

1. Execution by iFAST Global Bank to achieve its full-year 2026 pretax profit target of over S$10 million.
2. Re-acceleration of quarterly net inflow momentum across B2B and B2C distribution channels.
3. Continued loss reduction and operational breakeven progress in the China business.

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