H1 net profit reaches 295.6 billion won

[iM Financial Group]
[iM Financial Group]

iM Financial Group posted total operating profit of 1.11 trillion won ($756 million) in the first half of this year, up 4.4 percent from the same period last year, driven by expansion in corporate lending and improved earnings at its securities unit. Net profit edged down year-on-year, however, due to one-time costs from a change in the education tax rate and increased loan-loss provisioning.

The group said Monday that net profit attributable to controlling shareholders reached 295.6 billion won in the first half. Interest income rose 4.1 percent year-on-year over the period, supported by growth in corporate loans at iM Bank and expansion of operating assets at iM Capital.

Total operating profit also grew 4.4 percent, boosted by higher fee income at iM Securities on the back of a more active capital market. Net profit fell slightly from a year earlier, however, weighed down by the education tax rate change that took effect this year and higher provisioning tied to asset growth.

iM Bank, the group's flagship subsidiary, recorded net profit of 245.7 billion won in the first half. Corporate loans grew 5.9 percent over the period, pushing the won-denominated loan balance above 60 trillion won for the first time. The delinquency rate stood at 0.87 percent, the non-performing loan ratio at 0.94 percent, and the credit cost ratio at a stable 0.41 percent.

iM Capital posted first-half net profit of 39.5 billion won as its operating assets expanded 13.9 percent. iM Securities earned net profit of 44.9 billion won on a standalone basis, driven by higher fee income from increased capital market activity. iM Life also contributed to group earnings, with net profit of 18.2 billion won, up 31.9 percent year-on-year.

The board also approved an additional 30 billion won share buyback and cancellation program Monday — a 50 percent increase from the 20 billion won carried out in the second half of last year. Once completed, the cumulative total of shares bought back and canceled will reach 130 billion won. iM Financial plans to buy back and cancel a total of 150 billion won worth of shares by 2027 under a corporate value enhancement plan announced in 2024.

Cheon Byeong-gyu, executive vice president and group CFO of iM Financial Group, said the common equity tier 1 ratio improved to a record 12.27 percent in the first half. "We will manage our capital ratio stably through year-end to achieve the first milestone of our corporate value enhancement plan ahead of schedule, and continue to enhance shareholder value by actively utilizing tax-exempt dividend opportunities," he said.


forest@heraldcorp.com