SC Jeil Bank Q3 Consolidated Net Profit 264.3 Billion KRW... Up 44.5% Year-on-Year

[Asia Economy Reporter Song Seung-seop] SC First Bank announced on the 15th that its consolidated net profit for the third quarter increased by more than 40% compared to the same period last year. Operating profit also rose by about 20% during the same period.

As of the end of September, SC First Bank's consolidated net profit was 264.3 billion KRW, up 81.4 billion KRW (44.5%) from 182.9 billion KRW in the third quarter of last year. Operating profit reached 329.9 billion KRW, an increase of 55.0 billion KRW (20.0%) compared to 274.9 billion KRW in the same period last year.

Interest income increased by 3.9%. SC First Bank explained that despite a decline in net interest margin (NIM) due to worsening market conditions such as historically low benchmark interest rates, the steady expansion of loan assets and growth in low-cost deposits resulting from continuous strengthening of the business base contributed to this increase.

On the other hand, non-interest income decreased by 1.6%. Although the wealth management (WM) sector showed steady growth, the foreign exchange trading sector, which performed well in the same period last year, was somewhat sluggish this year.

Costs slightly increased due to rising labor expenses. The provision for loan losses decreased by 73 billion KRW due to improved corporate credit ratings and the base effect of reserves proactively accumulated last year in preparation for the economic slowdown.

Return on assets (ROA) and return on equity (ROE) rose by 0.10 percentage points and 1.85 percentage points, respectively, reaching 0.41% and 7.19%.

The ratio of non-performing loans and delinquency rate improved by 0.13 percentage points and 0.04 percentage points compared to the same period last year, recording 0.21% and 0.11%, respectively, thanks to strengthened risk management. The Bank for International Settlements (BIS) capital adequacy ratio and Tier 1 capital ratio remained stable at 16.01% and 14.24%, respectively.

Total assets reached 91.2131 trillion KRW, an increase of 8.0242 trillion KRW (9.6%) from 83.1889 trillion KRW at the end of December last year.

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