IBK Bank Q1 Net Profit Falls 7.5% to 753.4 Billion Won

IBK Bank reported a net profit of 750 billion won for the first quarter, down 7.5% from the same period last year. This decline was attributed to a base effect following the record-high results in the first quarter of last year, as well as increased foreign exchange losses stemming from the Iran-Middle East war. However, interest income rebounded and the bank continued to improve its asset quality, leading to an overall recovery in financial strength.

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According to IBK Bank on April 24, 2026, consolidated net profit for the first quarter was 753.4 billion won, a 7.5% decrease compared to the same period last year. On a standalone basis, net profit dropped by 12.4% to 666.3 billion won. This was attributed to both the base effect from last year’s record first-quarter results and increased foreign exchange losses caused by exchange rate fluctuations related to Iran.

Nevertheless, the bank’s income structure showed signs of improvement. Despite a sharp rise in the won-dollar exchange rate at the end of March, interest income rebounded thanks to reduced funding costs, and profit diversification was achieved through an increase in valuation gains on securities driven by expanded investment in innovative companies.

IBK Bank also increased its financial support for small and medium-sized enterprises (SMEs). As of the end of March, the outstanding balance of SME loans stood at 264.2 trillion won, up 2.4 trillion won (0.9%) from the end of last year. The SME loan market share remained at 24.4%.

Asset quality indicators remained stable. The ratio of non-performing loans stood at 1.28%, unchanged from the end of last year, while the credit cost ratio fell by 4 basis points to 0.43%. IBK Bank is also strengthening its role in policy finance. A bank official stated, "Through the IBK-style Productive Finance 30-300 Project, we will continue to support SMEs facing difficulties due to rising exchange rates and oil prices." The shareholder return policy will also be expanded. IBK Bank plans to introduce its first-ever quarterly dividend with July 31 set as the record date.

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