Daol Investment & Securities Reports Operating Profit of 2.5 Billion KRW in Q3, Turning Positive Year-on-Year

Net Income Turns Positive at 4.6 Billion Won

Daol Investment & Securities announced on the 14th that its consolidated operating profit for the third quarter turned positive to 2.5 billion KRW, compared to an operating loss of 32.4 billion KRW in the same period last year.

Net profit for the same period also turned positive to 4.6 billion KRW, compared to a net loss of 40.6 billion KRW in the same period last year. Revenue decreased by 4.5% to 281.5 billion KRW from 294.9 billion KRW in the same period last year.

Daol Investment & Securities emphasized that it is significant to have posted a profit in a market environment that is not favorable to small and medium securities firms, such as the strengthening of real estate project financing (PF) business feasibility evaluation standards.

Daol Investment & Securities explained, "In the case of securities, bad debt expenses related to real estate PF have significantly decreased and operating capabilities are gradually recovering, so ordinary profit has turned positive since September," adding, "The affiliated savings bank has also continuously reduced the scale of real estate PF loans, significantly lowering bad debt expenses."

They continued, "We have continuously reduced exposure related to real estate PF and sufficiently provisioned for bad debts, substantially eliminating real estate PF risks," and stated, "Currently, we are focusing all efforts on expanding the business base to recover performance and stabilize management."