Hana Financial Group Reports Q1 Net Profit of 902.2 Billion KRW... Decides to Cancel 150 Billion KRW of Treasury Shares

[Asia Economy Reporter Song Seung-seop] Hana Financial Group recorded a net profit of 902.2 billion KRW in the first quarter. It also decided to cancel treasury shares worth 150 billion KRW for the first time since the establishment of the holding company.

According to Hana Financial Group's disclosure on the 22nd, net profit increased by 8.0% (66.6 billion KRW) compared to the same period last year. A Hana Financial Group official explained, "This is the result of solid growth in core profits and diversification of the revenue portfolio, despite proactive provisioning for loan losses and large one-time expenses due to special retirement at the bank and card companies."

Hana Financial Group also decided to cancel treasury shares worth 150 billion KRW, the first since the holding company was established in 2005. A Hana Financial Group official stated, "We will continue to implement various shareholder return policies to repay shareholders' trust and enhance shareholder value."

Interest income was 2.0203 trillion KRW, and core profit, including fee income of 453.5 billion KRW, amounted to 2.4737 trillion KRW. Trading and valuation gains increased by 93.4% (98.1 billion KRW) year-on-year to 203.1 billion KRW due to gains from foreign exchange trading and increased valuation gains on securities of non-bank affiliates. The representative profit indicator, net interest margin (NIM), was 1.71%.

By affiliate, Hana Bank led the performance with a net profit of 667.1 billion KRW, up 15.9% (91.6 billion KRW) during the same period. This was due to solid growth in SME-centered loan assets and an increase in low-cost deposits despite large one-time expenses such as special retirement implementation. Hana Financial Investment recorded 119.3 billion KRW, Hana Capital 91.3 billion KRW, and Hana Card 54.6 billion KRW, generally performing well.

Provision expenses increased by 72.4% (71.5 billion KRW) year-on-year to 170.1 billion KRW. The non-performing loan (NPL) coverage ratio, an asset soundness indicator, rose by 20.34 percentage points to 160.4%. The ratio of non-performing loans classified as substandard or below improved by 0.04 percentage points to 0.36%.

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