Samsung Card's Net Profit Last Year 609.4 Billion KRW... 2.1% Decrease YoY

Samsung Card announced on the 8th that its net profit on a consolidated basis last year was tentatively estimated at 609.4 billion KRW, a 2.1% decrease compared to the previous year.

Revenue increased by 5.5% year-on-year to 4.0042 trillion KRW, while operating profit decreased by 4.6% to 810 billion KRW.

The decline in net profit was due to increased financial costs caused by rising borrowing rates. Additionally, the prolonged high interest rate environment weakened customers' repayment ability, leading to an increase in workout application amounts and consequently higher bad debt expenses.

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Operating profit in the fourth quarter of last year was 238.8 billion KRW, up 4.3% compared to the same period last year. During this period, revenue and net profit were recorded at 933.3 billion KRW and 179.4 billion KRW, respectively.

The delinquency rate over 30 days slightly increased to 1.2% from 1.1% in the previous quarter.

Last year, Samsung Card's total transaction volume was 165.1808 trillion KRW, a 2.3% increase compared to the previous year. Among this, the card business transaction volume increased by 2.6% to 164.8437 trillion KRW.

A Samsung Card official stated, "This year, we expect a challenging business environment to continue amid concerns of a global economic recession, persistent high inflation, and high interest rates. We plan to shift all company strategies to be profit-centered through risk and efficiency management and aim to build a company strong in platforms and data to create future growth engines."

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