Mirae Asset Daewoo, Industry's First Pre-Tax Net Profit of 1 Trillion Won Signals Positive Outlook

Accumulated 872.3 Billion KRW Until Q3
Overseas Subsidiaries Achieve 'Record High' Performance

Choi Hyun-man, Senior Vice Chairman of Mirae Asset Daewoo

[Asia Economy Reporter Song Hwajeong] Mirae Asset Daewoo has achieved a cumulative pre-tax net profit of 872.3 billion KRW up to the third quarter of this year, coming close to becoming the first in the industry to reach a pre-tax profit of 1 trillion KRW. Despite the impact of the novel coronavirus disease (COVID-19), its overseas subsidiaries recorded their highest-ever performance, driving profit growth.

According to Mirae Asset Daewoo on the 13th, the consolidated operating profit for the third quarter was 294.2 billion KRW, pre-tax net profit was 306.3 billion KRW, and net profit was 231 billion KRW. These figures represent increases of 71.6%, 59.8%, and 67.7% respectively compared to the same period last year.

For the cumulative third quarter, operating profit reached 820 billion KRW, pre-tax net profit 872.3 billion KRW, and net profit 642.2 billion KRW.

Mirae Asset Daewoo’s differentiated global business shone once again. Overseas subsidiaries recorded their highest-ever performance in the third quarter, leading profit growth. The overseas subsidiaries posted a pre-tax net profit exceeding 70 billion KRW, achieving a cumulative performance of 174.1 billion KRW. This surpasses the previous year’s full-year overseas subsidiary performance of 170.9 billion KRW. Mirae Asset Daewoo operates the largest overseas network with 11 local subsidiaries and 3 offices, maintaining stable global operations through region-specific strategies based on long-accumulated overseas business know-how.

Alongside this, the brokerage commission segment also renewed its record for the highest profit scale, as personal investor funds continued to flow into the stock market. Brokerage commission revenue for the third quarter was 232.4 billion KRW, a 179.4% increase compared to the same period last year.

A Mirae Asset Daewoo official explained, "Thanks to abundant liquidity leading to brokerage commission revenue, expanded profit contributions from overseas subsidiaries, solid asset management income, and increased financial product sales commissions, we were able to generate balanced results following the previous quarter through a stable business structure."

Mirae Asset Daewoo is closing in on becoming the first in the industry to achieve a pre-tax profit of 1 trillion KRW this year. Researcher Lim Heeyeon from Shinhan Financial Investment said, "Mirae Asset Daewoo’s operating profit for the fourth quarter is estimated at 199 billion KRW, and net profit attributable to controlling shareholders at 152 billion KRW. The consolidated net profit attributable to controlling shareholders for this year is expected to increase by 19.7% compared to the same period last year, reaching 788.9 billion KRW, making it the first single securities firm in Korea to achieve a pre-tax profit of 1 trillion KRW."

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