IBK, 3Q Cumulative Net Profit Down 13.2%... SME Loans Reach 182 Trillion (Comprehensive)

Outstanding SME Loans at 182.6 Trillion Won... Market Share Hits Record High of 23%

[Asia Economy Reporter Park Sun-mi] IBK Industrial Bank announced on the 27th that its cumulative net profit on a consolidated basis, including subsidiaries, for the third quarter of this year reached 1.1876 trillion KRW.

This performance represents a 13.2% decrease compared to 1.3678 trillion KRW in the same period last year, due to additional provisions set aside to prepare for the economic downturn. On a separate basis excluding subsidiaries, IBK Industrial Bank recorded a net profit of 976.4 billion KRW.

The outstanding balance of SME loans increased by 19.9 trillion KRW (12.2%) compared to the end of last year and by 6.1 trillion KRW (3.4%) compared to the previous quarter, reaching 182.6 trillion KRW, with a market share rising by 0.4 percentage points from the end of last year to 23.0%.

Efforts to provide timely funding to small business owners and SMEs facing financial difficulties due to the novel coronavirus disease (COVID-19) led to the highest-ever market share in the SME loan sector.

Key soundness indicators showed improvement compared to last year. The total delinquency rate improved by 0.23 percentage points year-on-year to 0.39%, and the ratio of non-performing loans below fixed status improved by 0.25 percentage points to 1.11%.

An IBK Industrial Bank official stated, “COVID-19 loan support will create a virtuous cycle of policy finance that expands the customer base and generates new growth and profit opportunities,” adding, “Despite concerns over economic slowdown, we will continue solid growth by expanding the growth base through innovative finance and systematic soundness management.”

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