K Bank Reports Net Profit of 22.4 Billion KRW Last Year... First Annual Surplus

[Asia Economy Reporter Buaeri] K-Bank has achieved its first annual profit.

K-Bank announced on the 3rd that it posted a provisional net income of 22.4 billion KRW last year. The bank succeeded in a performance rebound through external growth, with its customers increasing more than threefold last year.

The number of K-Bank customers reached 7.17 million as of last year, an increase of about 5 million annually.

Deposit balances surged from 3.75 trillion KRW at the end of 2020 to 11.32 trillion KRW at the end of last year. Loans jumped from 2.99 trillion KRW to 7.09 trillion KRW.

Annual net interest income soared 327% compared to 2020, reaching 198 billion KRW.

Non-interest income turned from a loss of 10.2 billion KRW in 2020 to a profit of 19.6 billion KRW last year.

K-Bank explained that profitability improved as products such as the 'Plus Box' parking account service and the 'Challenge Box' lump-sum savings service, launched last year, gained popularity.

In the loan product category, the 100% non-face-to-face apartment mortgage loan surpassed a cumulative handling amount of 1 trillion KRW in just over a year since its launch, and the Jeonse loan and youth Jeonse loan products launched in September last year exceeded 200 billion KRW in handling amount within four months.

Looking at management efficiency indicators, the Cost to Income Ratio (CIR) dropped to 61% at the end of last year, unlike in 2020 when it exceeded 300%.

Seo Hoseong, CEO of K-Bank, said, "Last year, we settled the deposit and loan business on the right track while improving management efficiency. This year, based on this, we will accelerate the leap to a digital financial platform and also devote all efforts to preparing for a successful initial public offering (IPO)."

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