Korea Capital, a specialized financial company, continued its six-year streak of net profit growth despite an unstable financial environment.
On the 21st, Korea Capital announced that it recorded an operating profit of 82.1 billion KRW and a net profit of 66.2 billion KRW last year. Operating profit decreased by 7.6% compared to the previous year, but net profit increased by 1.7%.
The company increased its allowance for loan losses by about 30 billion KRW compared to the previous year, accumulating over 100 billion KRW. Although operating profit declined due to increased interest expenses, the company explained that it succeeded in maintaining stability and growth by expanding non-interest income in corporate and investment finance.
A Korea Capital official said, "Despite the industry downturn caused by high interest rates, real estate PF risks, and increased allowance requirements, we are focusing on strengthening our fundamentals through thorough risk management and flexible portfolio management that responds to market changes."
The leverage ratio, a financial safety indicator, was recorded at 6.4 times. This comfortably meets the leverage ratio requirement of less than 8 times, which will be enforced starting next year, thanks to securing financial resources through the issuance of 100 billion KRW in perpetual bonds last year.
Based on solid profitability, Korea Capital will pay a cash dividend of 28 KRW per share this year.
A company representative explained, "Although the entire financial sector experienced ups and downs last year, we achieved steady performance growth by thoroughly managing the soundness of each business division. This year, we will strengthen the retail sector while overcoming visible risk factors."
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