Brokerage fees up 32%, investment gains up 90%

IB fees jump 62%

Total equity expands to 7.68 trillion won

An exterior view of Kiwoom Securities' headquarters [Kiwoom Securities]
An exterior view of Kiwoom Securities' headquarters [Kiwoom Securities]

Kiwoom Securities posted broad-based revenue growth across its brokerage, investment banking and asset management divisions in the third quarter. Although consolidated net profit declined, standalone operating profit rose 26% and IB fee income surged more than 60%, signaling improved earnings power in the firm's core businesses.

According to disclosures filed with the Financial Supervisory Service's DART system Friday, Kiwoom Securities recorded consolidated operating profit of 406.1 billion won ($304 million) in the third quarter, down 0.7% from a year earlier. Sales jumped 105.7% to 6.93 trillion won, but net profit for the period fell 26.0% to 238.5 billion won. The operating profit figure came in 8.9% below the market consensus of 446 billion won.

On a standalone basis, operating profit rose 26.1% year-on-year to 453.6 billion won. Net profit for the period edged down 100 million won from 275.8 billion won a year earlier to 275.7 billion won.

In the brokerage division, equity-trading commissions provided the main earnings support. Stock brokerage fees reached 244.7 billion won in the third quarter, up 32.1% from a year earlier. Derivatives commissions also grew 23.8% to 42.2 billion won.

Growth was even stronger in investment banking. IB fee income came in at 96.8 billion won in the third quarter, up 62.4% from a year earlier. The results highlighted the firm's efforts to diversify its business portfolio by reducing reliance on brokerage commissions and expanding corporate finance revenue.

Kiwoom Securities' IB business has maintained its growth trajectory over the medium to long term. IB fee income nearly tripled from 93.9 billion won in 2023 to 277 billion won in 2025. Structured finance and real estate project financing have emerged as key revenue drivers, particularly in the first half of this year. In the second quarter, structured finance and PF fees totaled 65.8 billion won, accounting for roughly 80% of total IB fees.

The asset management division also improved. Investment gains and dividend and distribution income rose 90.0% year-on-year to 140.2 billion won, contributing to the increase in standalone operating profit alongside gains in brokerage and IB.

Standalone total equity expanded 32.7% year-on-year to 7.68 trillion won.


kacew@heraldcorp.com