Samsung Card Reports Net Profit of 344.1 Billion KRW Last Year, Down 0.3% YoY

[Asia Economy Reporter Ki Ha-young] Despite the reduction in merchant fee rates last year, Samsung Card recorded a slight decrease in net profit compared to the previous year through solid management.

Samsung Card announced on the 31st that it achieved a net profit of 344.1 billion KRW last year, a 0.3% decrease compared to the previous year. A Samsung Card official explained, "Despite the impact of the merchant fee rate reduction applied from the beginning of last year, we performed well through profitability-focused business restructuring by reducing high-cost, low-efficiency marketing and cost efficiency based on digital and big data."

They also added that strengthening partnerships with discount stores such as Emart Traders, which increased personal credit sales volume and membership, helped solidify the revenue base. Personal credit sales volume increased by 4.1% year-on-year to 87.9 trillion KRW, and the number of members rose by 310,000 from the end of the previous year to 10.39 million.

Last year, the card business transaction volume recorded 122.6276 trillion KRW, down 1.2% from the previous year. By sector, it was ▲ credit sales (lump sum + installment) 105.0774 trillion KRW ▲ financial sector (long-term + short-term card loans) 16.3239 trillion KRW ▲ prepaid and check cards 1.2263 trillion KRW.

The installment lease business transaction volume was 907.3 billion KRW.

Samsung Card explained the decrease in card business transaction volume as "a result of reducing the use amount of corporate purchase cards, which have relatively low profitability, leading to a decrease in corporate credit sales usage," and added, "personal credit sales transaction volume continues to grow."

This content was produced with the assistance of AI translation services.