Korea Citibank Reports 82.4 Billion KRW Net Profit in Q1, Up 12.4% Year-on-Year

Korea Citibank announced on May 15 that it recorded a net profit of 82.4 billion KRW in the first quarter of this year. This represents a 12.4% increase compared to the same period last year, when the figure was 73.3 billion KRW.

As of the end of March this year, the Bank for International Settlements (BIS) capital adequacy ratio and the Common Equity Tier 1 (CET1) ratio stood at 34.74% and 33.71%, respectively. Compared to the same period last year, when these ratios were 32.74% and 31.67%, they have increased by 2.00 percentage points and 2.04 percentage points, respectively.

Total revenue for the first quarter was 268.5 billion KRW. Non-interest income, mainly from corporate banking?including revenue from foreign exchange, derivatives, and securities?rose by 37.7% year-on-year. In contrast, interest income fell by 31.6% compared to the same period last year, due to a decrease in loan assets and a decline in net interest margin in the consumer banking segment.

Expenses amounted to 155.6 billion KRW, marking a 9.2% decrease year-on-year. Credit loss expenses were 5.7 billion KRW, down 82.3% compared to the same period last year, mainly due to a reduction in credit loss expenses in the consumer banking segment.

As the phased termination of the consumer banking segment continues, customer loan assets decreased by 23.2% year-on-year to 8.4 trillion KRW, while deposits decreased by 0.3% year-on-year to 18.2 trillion KRW.

In the first quarter of this year, return on assets (ROA) and return on equity (ROE) were 0.72% and 5.92%, respectively, up by 0.02 percentage points and 0.90 percentage points compared to the same period last year.

President Yoo stated, "Despite the rapidly increasing uncertainties in the domestic and global business environment, we have achieved solid results. Non-interest income centered on corporate banking is growing rapidly, and our efforts to improve cost efficiency and to manage credit risk in a stable and proactive manner are producing visible results." He added, "Based on Citigroup's unrivaled global network, we will continue to provide optimal products and solutions to support our customers' stable global financial transactions and business activities."