BNK Financial's Q3 Cumulative Net Profit 743.4 Billion Won... Up 66% Thanks to Strengthened Non-Banking Sector

[Asia Economy Reporter Kim Hyo-jin] BNK Financial Group announced on the 28th that its cumulative net profit for the third quarter of this year reached 743.4 billion KRW, an increase of 296 billion KRW (66.1%) compared to the same period last year.

The explanation is that the significant improvement in the performance of major subsidiaries, profit growth due to asset growth, and reduction in bad debt expenses through thorough soundness management drove the performance growth.

The cumulative net profits for the third quarter of BNK Busan Bank and BNK Gyeongnam Bank, the group's main affiliates, were 368.1 billion KRW and 228.9 billion KRW respectively, up 42.8% and 54.6% compared to the same period last year.

Capital recorded a net profit of 110.8 billion KRW, an increase of 47 billion KRW compared to the same period last year, and Investment Securities achieved a performance of 98.1 billion KRW, up 62 billion KRW from the previous year, due to increased fee income in the IB division and gains related to securities.

As a result of the group's strategic capital investment to strengthen the non-bank sector, the net profit of the non-bank sector centered on Capital and Investment Securities increased by 98.6% compared to the same period last year, demonstrating that the group's revenue structure is diversifying through the transition to an investment specialized financial group.

Key soundness indicators, the non-performing loan (NPL) ratio and delinquency rate, were recorded at 0.46% and 0.33%, down 0.48 percentage points and 0.28 percentage points respectively compared to the same period last year.

Jung Sung-jae, Head of Group Strategy and Finance at BNK Financial Group, said, "With the strengthening of profit capabilities of non-bank subsidiaries through the group's strategic support and the recovery of profitability in the banking sector, the group's ordinary net profit level has risen to a new level, and not only profitability but also other management indicators such as capital ratios and soundness indicators continue to improve."

He added, "Based on these management achievements, we plan to actively review shareholder return policies, including raising the dividend payout ratio compared to the previous year, so that the results of performance improvement can be returned to shareholders while strengthening our role as a regional financial institution."

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