iM Securities is concentrating all its efforts on recovery and leap forward. Since the beginning of the year, it has been accelerating its 'Leap Management' to achieve a turnaround to profitability and sustainable growth.
According to iM Securities on the 12th, it strengthened financial stability by setting aside a large provision of approximately 306 billion KRW last year alone. It also pushed for a high-intensity restructuring to break away from the chronic deficit structure in the retail sector. The existing 21 branches were consolidated into 11 mega centers, and a voluntary retirement program was implemented to reduce about 20% of the workforce, promoting high-intensity management efficiency by enhancing organizational virtuous cycles and dynamism.
Moreover, last year iM Securities laid the foundation for a turnaround through fierce renewal. In August, along with the company name change, it announced a new vision of 'Better Value, Shared Future' and core values the company should pursue, such as 'Customer Value, Corporate Value, Employee Value.' It selected the ‘Top 10 Future Innovation Tasks,’ including retail innovation and strengthening real estate PF management, and executed detailed missions, dedicating all efforts to reorganizing the business foundation for a new leap and building a base for recovery.
iM Securities plans to solidify revenue stability by expanding its business portfolio through innovation in each business sector and maximize the company’s capital efficiency by achieving qualitative and revenue growth across all business divisions.
First, it plans to accelerate efforts to achieve the goal of the 'first year of profitability turnaround in the retail sector.' To become a comprehensive asset management private banker (PB) house, it will promote team-based sales. Moving away from the existing individual-centered sales approach, it aims to strengthen organizational capabilities through team-based sales. By forming teams considering each employee’s strengths, it plans to provide comprehensive asset management services and enhance team capabilities to improve profitability. Additionally, it intends to expand its sales scale by actively hiring specialists in loan brokerage and mediation, continuously increasing low-risk revenue.
It will also pursue a turnaround in the real estate project financing (PF) sector, which has faced difficulties. iM Securities has proactively set aside large provisions and reduced the absolute exposure scale in the real estate PF sector. As of the end of last year, contingent liabilities stood at 485.1 billion KRW, down 46% compared to the end of 2023 and 58% compared to the end of 2022 when the real estate PF crisis began in earnest. The ratio of contingent liabilities to equity capital was 42%, a 24 percentage point decrease from the end of 2023, laying the groundwork for normalization.
This year, it plans to continue strengthening management of existing business sites, focusing on restructuring and normalization-capable sites and post-management of written-off assets. It also plans to expand new business in the real estate sector by establishing a real estate finance headquarters and adding a dedicated mediation center to the existing real estate organization, aiming to expand stable revenue through business structure diversification and sales force expansion.
Stability in the asset management division will also be enhanced. By improving the management method of proprietary funds, it will strengthen responsible management. Moving away from a model operated mainly by external personnel, it plans to develop and internalize its own operation system, such as developing a ‘system-based operation model’ centered on internal regular staff, pursuing qualitative improvement of profits.
Sung Mu-yong, CEO of iM Securities, said, "2025 will be a year to secure revenue stability in each business division and achieve a turnaround to profitability through leap management pursuing sustainability."
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