Meritz Financial Group announced on August 13 that it recorded a consolidated net profit of KRW 1.3584 trillion in the first half of this year. This represents a 2.3% increase compared to the previous record high of KRW 1.3275 trillion in the first half of last year.
The total assets amounted to KRW 124.2453 trillion, and the return on equity (ROE) reached an industry-leading 26.3%.
By subsidiary, Meritz Fire & Marine Insurance posted a first-half net profit of KRW 987.3 billion, a 1% decrease compared to the same period last year. However, on a quarterly basis, it achieved a record high of KRW 524.7 billion.
Meritz Securities recorded a net profit of KRW 443.5 billion, marking a 19.9% increase year-on-year.
Meritz Financial explained that these results were due to its active response in profitable markets, such as identifying new demand and customers following the introduction of the new international accounting standard (IFRS 17).
For the first half of the year, insurance profit and investment profit were KRW 724.2 billion and KRW 604.8 billion, respectively. The investment return on asset management was 4.5%.
The new contract Contractual Service Margin (CSM) increased by KRW 373.1 billion in the second quarter, and the CSM balance at the end of the first half was KRW 11.2482 trillion.
The provisional solvency ratio (K-ICS) stood at 238.9%.
Meritz Financial stated, "The background behind our strong performance despite a challenging business environment is our unwavering commitment to the group's core principle of 'generating solid profits through outstanding performance in our core business.'"
Meritz Fire & Marine Insurance explained, "We maintain the principle of 'maximizing total value,' which means pushing sales volume to the limit as long as margins are properly secured," adding, "Our focus on total value has led to simultaneous growth in both sales and profitability."
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