The DBS Group reported an increase in net profit for the first quarter, mainly due to higher fee and commission income, and is confident of being able to generate strong returns for shareholders this year as well.

In the quarterly comparison, net income rose by 15% to 2.96 billion Singapore dollars (2.18 billion US dollars), which was higher than the median estimate of 2.54 billion Singapore dollars by three analysts surveyed by FactSet.

The total revenue increased by 13% to 5.56 billion Singapore dollars, with net interest income rising by 8% to 3.65 billion Singapore dollars.

The DBS Group, one of Southeast Asia's largest banks by assets, recorded a 23% increase in net fee and commission income to 1.04 billion Singapore dollars.

The bank, which had increased its capital distributions to shareholders last year, declared an interim dividend of 0.54 Singapore dollars per share for the first quarter. The estimated dividend payout will amount to 1.54 billion Singapore dollars.

"We are optimistic that total revenue and profits will turn out to be better than previously forecasted and that we can deliver another year of strong returns for shareholders," said CEO Piyush Gupta.