NH Investment & Securities announced on the 10th that its net profit for the year increased by 24% year-on-year to 686.6 billion KRW, achieving balanced growth across all business sectors. Operating profit also rose by 24% during the same period, reaching 901.1 billion KRW.
NH Investment & Securities explained that despite the contraction of investment sentiment due to increased volatility in the financial markets, it achieved excellent results. Although the average daily trading volume in the domestic stock market decreased by 2.5% compared to the previous year, brokerage commission income increased by 6.6% to 458.9 billion KRW due to a rise in overseas stock contracts. In particular, assets in the overseas stock sector grew significantly, with overseas stock contract amounts increasing by approximately 27 trillion KRW and entrusted assets rising by 6.4 trillion KRW.
In the corporate finance (IB) sector, fee income, investment management, and interest income all improved overall. Notably, by providing a service package that links tender offers to acquisition financing and introducing the country’s first online tender offer subscription system, NH Investment & Securities secured a dominant market share in the tender offer market last year. As a result, IB-related revenue increased to 381.7 billion KRW compared to the previous year.
In the asset management sector, improved operating conditions such as declining bond interest rates generated earnings of 887.6 billion KRW. NH Investment & Securities stated that it will continue to reduce profit and loss volatility and strengthen its management capabilities through restructuring of the management process and improvement of monitoring systems to sustain stable profit generation.
Additionally, NH Investment & Securities plans to build a stable profit structure through business portfolio restructuring and achieve target returns by meeting capital returns centered on core businesses such as IB, WM (wealth management), and asset management, while adding new business income.
An NH Investment & Securities official said, "We will establish a growth system that exceeds the market through organic linkage between business sectors and strive for mutual growth with various stakeholders," adding, "We also plan to continue efforts to enhance shareholder value."
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