NongHyup Financial, Q3 Cumulative Net Profit 1.8 Trillion Won... Surpasses Last Year's Performance (Comprehensive)

NongHyup Financial, Cumulative Q3 Net Profit Reaches 1.8 Trillion Won... Record High for 3Q
Balanced Growth in Banking and Non-Banking... Expected to Gain Momentum in Global Business Expansion

[Asia Economy Reporter Kwangho Lee] NH Nonghyup Financial Group achieved a record high cumulative net profit of 1.8247 trillion KRW for the first three quarters. It has already surpassed last year's annual net profit (1.7359 trillion KRW) within just three quarters. Since Chairman Son Byunghwan's inauguration, Nonghyup Financial has been delivering unprecedented performance, and it is expected that its digital innovation and global business expansion will accelerate further.

NH Nonghyup Financial Group announced on the 25th that it achieved a cumulative net profit of 1.8247 trillion KRW for the first three quarters of this year. The net profit for the third quarter alone was 542.8 billion KRW, a 24.9% increase compared to the same period last year.

Interest income recorded 6.3134 trillion KRW, up 5.9% year-on-year, driven by an increase in low-cost deposits and growth in loan assets. Non-interest income was 1.5331 trillion KRW, a 30.2% increase compared to the same period last year.

Fee income reached 1.4265 trillion KRW, up 17.7% year-on-year. Gains from securities and foreign exchange derivatives also increased by 33.6% year-on-year to 1.0983 trillion KRW, reflecting strategic asset management in response to increased volatility.

Asset soundness indicators showed a non-performing loan ratio of 0.37% and a loan loss provision coverage ratio of 176.30%, maintaining a favorable trend. Profitability indicators recorded a return on equity (ROE) of 10.57% and a return on assets (ROA) of 0.60%.

The core subsidiary, Nonghyup Bank, posted a net profit of 1.2375 trillion KRW, a 10.9% increase compared to the same period last year. Interest income rose 8.2% year-on-year, and credit loss provisions decreased by 30.4%. Asset quality indicators also improved, with a non-performing loan ratio of 0.30% and a loan loss provision coverage ratio of 187.89%.

Among non-bank affiliates, NH Investment & Securities recorded a net profit of 742.5 billion KRW, up 48.1% year-on-year. Other non-bank affiliates such as NH Nonghyup Life Insurance (114.2 billion KRW), NH Nonghyup Property & Casualty Insurance (87.6 billion KRW), and NH Nonghyup Capital (90.8 billion KRW) also maintained growth, driving NH Nonghyup Financial Group’s profit increase.

An NH Nonghyup Financial Group official stated, "In the fourth quarter, we plan to strategically respond to increased market volatility in interest rates and exchange rates and continue strengthening risk management for potential non-performing assets. We will focus on key tasks such as securing core growth engines through qualitative growth and improving high-efficiency management structures, and based on this, we intend to enhance support capabilities for agriculture and rural areas."

Meanwhile, the global business expansion and digital innovation initiatives announced by Chairman Son Byunghwan at his inauguration are expected to gain further momentum supported by strong performance. Especially since next year marks the 10th anniversary of the establishment of NH Nonghyup Financial Group, it is anticipated that all affiliates will mobilize their capabilities fully.

In fact, on the 5th, Chairman Son personally presided over the Global Strategy Council meeting, reviewing the global business performance of each affiliate and sharing future market conditions and current challenges. He urged affiliates to focus on expanding networks and strengthening business capabilities at overseas branches to achieve the mid-to-long-term global business goals of NH Nonghyup Financial Group: a net profit of 160 billion KRW and securing 28 overseas branches in 13 countries.

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