KB Financial Group to reach almost KRW 1 trillion net profit in the 1Q… Green light for leading bank
Cho Eun Guk | ceg4204@ | 2018-04-20 10:56:01
KB Financial Group posted net income of KRW 1 trillion in the first quarter of the year, and brought bright signals to the leading bank SuSong. Especially, the non-banking sector, including securities and non-banking, grew steadily, contributing to earnings improvement. As KBFG continued to be lucrative this year, green light was turned on for Reading Bank SuSung.
KB Financial Group Inc. posted net income of KRW 968.2 billion in the first quarter. This is an increase of 11.3% (KRW 98.1 billion) from the same period of last year and 74.9% (KRW 414.5 billion) from the previous quarter.
KB Financial said, "As the profitability of banks continued to improve and synergies between affiliates became more visible, we had a solid performance." As a result of regulations, mortgage loans grew steadily as KRW-denominated loans "We have improved our cost efficiency through restructuring, cost reduction and preemptive soundness management."
During this period, interest income and commission income both increased sharply. Net interest income rose by 15.9% YoY to KRW2,143.8 billion, while net interest margin (NIM) improved by 2.00%. Net commission income also climbed 20.8% to 628.9 billion won from brokerage commissions and trust fees,
Meanwhile, Kookmin Bank, which is a core affiliate, continued its high growth. Kookmin Bank posted a net profit of KRW 690.2 billion in the first quarter, up 4% from the same period last year. Compared to the previous quarter, one-off expenses such as P / S and expected retirement expenses were extinguished and 107% surged due to one-off gains reflected in the sale of Myung Dong office building.
Also, KB Financial Group has contributed to the holding company`s earnings by posting a net profit of KRW 94.4 billion in the first quarter of this year, KB Securities also posted a net profit of 78.8 billion won, up 23.5% year-on-year.
KB Financial Group also improved its risk management business. The ratio of non-performing loans of the landlord improved by 0.18 percentage points from 0.70 percent last year and the provisioning ratio of bad debt increased by 28.5 percent to 133.3 percent. The ratio of non-performing loans of Kookmin Bank was 0.58%, which was 0.20% lower in the same period, while the provisioning provision ratio improved by 21.8% to 117.6%.
Meanwhile, KB Kookmin Card, KB Life Insurance, KB Asset Management, KB Capital and KB Savings Bank posted net income of KRW 71.7 billion, KRW 4.7 billion, KRW 11.4 billion, KRW 35.3 billion, and KRW 3.7 billion in the first quarter, respectively.
"We will continue our efforts to improve management efficiency by improving inefficient elements in the organization and accelerating the introduction of innovative systems based on a balanced portfolio in the future," said Kim Ki-hwan, chief financial officer of KB Financial Group. We will become a leading financial group that will act as a win-win financial partner through active support for small and medium-sized enterprises, promising ventures and start-up companies. "
By Cho Eun Guk ceg4204@
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KB Financial Group Inc. posted net income of KRW 968.2 billion in the first quarter. This is an increase of 11.3% (KRW 98.1 billion) from the same period of last year and 74.9% (KRW 414.5 billion) from the previous quarter.
KB Financial said, "As the profitability of banks continued to improve and synergies between affiliates became more visible, we had a solid performance." As a result of regulations, mortgage loans grew steadily as KRW-denominated loans "We have improved our cost efficiency through restructuring, cost reduction and preemptive soundness management."
During this period, interest income and commission income both increased sharply. Net interest income rose by 15.9% YoY to KRW2,143.8 billion, while net interest margin (NIM) improved by 2.00%. Net commission income also climbed 20.8% to 628.9 billion won from brokerage commissions and trust fees,
Meanwhile, Kookmin Bank, which is a core affiliate, continued its high growth. Kookmin Bank posted a net profit of KRW 690.2 billion in the first quarter, up 4% from the same period last year. Compared to the previous quarter, one-off expenses such as P / S and expected retirement expenses were extinguished and 107% surged due to one-off gains reflected in the sale of Myung Dong office building.
Also, KB Financial Group has contributed to the holding company`s earnings by posting a net profit of KRW 94.4 billion in the first quarter of this year, KB Securities also posted a net profit of 78.8 billion won, up 23.5% year-on-year.
KB Financial Group also improved its risk management business. The ratio of non-performing loans of the landlord improved by 0.18 percentage points from 0.70 percent last year and the provisioning ratio of bad debt increased by 28.5 percent to 133.3 percent. The ratio of non-performing loans of Kookmin Bank was 0.58%, which was 0.20% lower in the same period, while the provisioning provision ratio improved by 21.8% to 117.6%.
Meanwhile, KB Kookmin Card, KB Life Insurance, KB Asset Management, KB Capital and KB Savings Bank posted net income of KRW 71.7 billion, KRW 4.7 billion, KRW 11.4 billion, KRW 35.3 billion, and KRW 3.7 billion in the first quarter, respectively.
"We will continue our efforts to improve management efficiency by improving inefficient elements in the organization and accelerating the introduction of innovative systems based on a balanced portfolio in the future," said Kim Ki-hwan, chief financial officer of KB Financial Group. We will become a leading financial group that will act as a win-win financial partner through active support for small and medium-sized enterprises, promising ventures and start-up companies. "
By Cho Eun Guk ceg4204@