IBK Industrial Bank, H1 Net Profit 1.2264 Trillion KRW... 1.0% Increase YoY

1.2264 Trillion KRW Net Profit on a Consolidated Basis in H1 2022... SME Loan Balance 213.7 Trillion KRW
Supporting SME and Small Business Crisis Recovery and Leading Future-Oriented SME Finance in Innovation, Startups, ESG, and Green Sectors

[Asia Economy Reporter Song Hwajeong] IBK Industrial Bank of Korea announced on the 22nd that its consolidated net profit for the first half of this year increased by 1.0% compared to the same period last year, reaching 1.2264 trillion KRW.

The net profit on a separate basis recorded 1.036 trillion KRW. The bank explained, "Our efforts to support small and medium-sized enterprises (SMEs) and small business owners in overcoming crises have led to a virtuous cycle of bank growth," adding, "Following the first quarter, we also sufficiently provisioned loan loss reserves in the second quarter to proactively secure loss absorption capacity in preparation for future risks such as credit quality."

The SME loan balance increased by 9.8 trillion KRW (4.8%) compared to the end of the previous year, reaching 213.7 trillion KRW, with a market share of 22.8%. The ratio of non-performing loans classified as fixed or below decreased by 0.15 percentage points from the same period last year to 0.80%. The loan loss cost ratio and delinquency rate were 0.54% and 0.24%, respectively, indicating a stable soundness level.

An IBK official stated, "In the second half of the year, we will continue to prioritize support for SMEs and small business owners facing difficulties due to the global economic downturn," and added, "We plan to lead future-oriented SME finance by strengthening innovative finance such as fostering startups and venture companies and supplying venture capital, as well as continuously promoting ESG (environment, social, and governance) and green finance, including support for SMEs' green transition."

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