Up 65% Year-on-Year
Second-Quarter Net Profit Also Hits Record 21.7 Billion Won
Internet-only bank Toss Bank recorded its highest-ever half-year profit in the first half of this year.
On August 29, Toss Bank announced through its 2025 first-half business disclosure that its net profit reached 40.4 billion won. This represents a 65.03% increase from the same period last year (24.5 billion won), marking the largest half-year performance in its history. Second-quarter (April to June) net profit was 21.7 billion won, more than double the 9.7 billion won recorded in the second quarter of last year, also setting a new quarterly record.
The main driver of Toss Bank's net profit growth in the first half of this year was net interest income. Toss Bank’s net interest income for the first half amounted to 416.9 billion won, a 13.8% increase from the same period last year (366.3 billion won). The net interest margin (NIM) rose to 2.57%, up 0.10 percentage points from 2.47% a year earlier.
Non-interest income, excluding fee expenses, posted a deficit of 27 billion won. However, this is an improvement from the 29.8 billion won deficit in the same period last year.
A Toss Bank representative explained, “Although our customer-facing fee structure is mostly free, the diversification of revenue sources such as wealth management, PLCC (private label credit cards), and joint loans, along with growth in scale, are improving the non-interest segment’s profit structure.”
The volume of loans and deposits continues to grow. As of the end of the second quarter, the outstanding loan balance stood at 15.13 trillion won, up 350 billion won from 14.78 trillion won at the end of the second quarter last year. The deposit balance also increased by 1.52 trillion won during the same period, from 28.53 trillion won to 30.05 trillion won.
Asset quality has generally improved. The delinquency rate at the end of the second quarter was 1.20%, down 0.07 percentage points from 1.27% a year earlier. The ratio of substandard and below loans also fell from 1.23% to 0.98%.
Toss Bank’s Bank for International Settlements (BIS) capital adequacy ratio stood at 16.35%.
A Toss Bank representative stated, “Despite unavoidable limits to loan growth and ongoing economic uncertainties, we were able to achieve meaningful results by strengthening our core banking competitiveness and platform power. With a solid foundation in place, we will continue to drive customer-centric innovation based on our newly launched products and services, and remain committed to inclusive finance.”
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