KB Financial Group, first ‘KRW 3 trillion era’ after holding started… Reclaiming on ‘Reading bank’ passing Shinhan
Cho Eun Guk | ceg4204@ | 2018-02-09 11:07:02
Last year`s net profit reached 3,311.9 billion
KB Financial Group has won in the Reading Bank competition. This is the first time since the introduction of IFRS in 2011, which enables us to compare earnings between financial holding companies. In addition, KBFG opened the era of KRW 3 trillion, surpassing KRW 3 trillion in net profits for the first time since its inception in 2008.
On the other hand, in the global market, it appears to be lagging behind Shinhan Financial.
KB Financial Group Inc. said on Tuesday that it posted net income of KRW 3.31 trillion last year. This is an increase of 54.5% (KRW 1.16 trillion) from the 2016 net profit. Compared to Shinhan Financial Group`s net profit of KRW 2.9 trillion last year, KB Financial Group is ahead of KRW 400 billion in annual earnings.
Shinhan Bank raised KRW 300 billion in one-off expenses in 4Q due to the retirement of Shinhan Bank`s voluntary retirement and additional allowance for bad debts. However, KB Financial Group, on the other hand, There was a cost.
Kookmin Bank`s earnings outpaced Shinhan Bank in its core bank subsidiary. The Kookmin Bank posted net income of 125 trillion won, up 125.6 % from the previous year, up by KRW 460 billion from Shinhan Bank (KRW 1.71 trillion).
Besides, Shinhan Financial Group`s revenues account for 90% of total revenues, while KB Financial Group`s non-banking subsidiaries such as securities, insurance, and credit card companies are even more concentrated .
Especially, KB Securities recorded a net loss of KRW 271.7 billion in FY2010, but net profit improved sharply as KB Financial Group became a wholly owned subsidiary last year. KB Capital also recorded a net profit of KRW 120.8 billion, up 24.8% over the previous year. Kookmin Card, on the other hand, recorded a net profit of 298.8 billion won, down 6.4% from the previous year.
However, KB Financial Group faces a major challenge in the global market. KB Financial Group has 40 overseas networks including 23 banks, 4 securities, insurance, and cards. Shinhan Bank has 158 banks, 6 securities, 12 cards, etc. There are a total of 178 networks and the gap is large.
Especially, Shinhan Financial Group posted a net profit of KRW 235 billion, an increase of more than 30% in its global business. However, KB Financial Group has only set its goal of increasing its portion of global revenues by 10% from group profits by 2023.
"In the past year, KB Financial Group raised profitability significantly by diversifying its profit portfolio, including securities and insurance," said a financial officer. "The impact of these influences has been the driving force behind the competition in leading banking with Shinhan Financial." "Both KB Financial Group and Shinhan Financial Group were able to demonstrate their commitment." KBFG should concentrate on diversifying its portion of revenues concentrated in banks and cards in overseas expansion. "
By Cho Eun Guk ceg4204@
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KB Financial Group has won in the Reading Bank competition. This is the first time since the introduction of IFRS in 2011, which enables us to compare earnings between financial holding companies. In addition, KBFG opened the era of KRW 3 trillion, surpassing KRW 3 trillion in net profits for the first time since its inception in 2008.
On the other hand, in the global market, it appears to be lagging behind Shinhan Financial.
KB Financial Group Inc. said on Tuesday that it posted net income of KRW 3.31 trillion last year. This is an increase of 54.5% (KRW 1.16 trillion) from the 2016 net profit. Compared to Shinhan Financial Group`s net profit of KRW 2.9 trillion last year, KB Financial Group is ahead of KRW 400 billion in annual earnings.
Shinhan Bank raised KRW 300 billion in one-off expenses in 4Q due to the retirement of Shinhan Bank`s voluntary retirement and additional allowance for bad debts. However, KB Financial Group, on the other hand, There was a cost.
Kookmin Bank`s earnings outpaced Shinhan Bank in its core bank subsidiary. The Kookmin Bank posted net income of 125 trillion won, up 125.6 % from the previous year, up by KRW 460 billion from Shinhan Bank (KRW 1.71 trillion).
Besides, Shinhan Financial Group`s revenues account for 90% of total revenues, while KB Financial Group`s non-banking subsidiaries such as securities, insurance, and credit card companies are even more concentrated .
Especially, KB Securities recorded a net loss of KRW 271.7 billion in FY2010, but net profit improved sharply as KB Financial Group became a wholly owned subsidiary last year. KB Capital also recorded a net profit of KRW 120.8 billion, up 24.8% over the previous year. Kookmin Card, on the other hand, recorded a net profit of 298.8 billion won, down 6.4% from the previous year.
However, KB Financial Group faces a major challenge in the global market. KB Financial Group has 40 overseas networks including 23 banks, 4 securities, insurance, and cards. Shinhan Bank has 158 banks, 6 securities, 12 cards, etc. There are a total of 178 networks and the gap is large.
Especially, Shinhan Financial Group posted a net profit of KRW 235 billion, an increase of more than 30% in its global business. However, KB Financial Group has only set its goal of increasing its portion of global revenues by 10% from group profits by 2023.
"In the past year, KB Financial Group raised profitability significantly by diversifying its profit portfolio, including securities and insurance," said a financial officer. "The impact of these influences has been the driving force behind the competition in leading banking with Shinhan Financial." "Both KB Financial Group and Shinhan Financial Group were able to demonstrate their commitment." KBFG should concentrate on diversifying its portion of revenues concentrated in banks and cards in overseas expansion. "
By Cho Eun Guk ceg4204@