Total customers reached 16.07 million at the end of the quarter, up 540,000 from the end of last year.
Deposits totaled 28.22 trillion won, up 1.5% from 27.80 trillion won a year earlier. Loans rose 10.7% to 18.75 trillion won from 16.94 trillion won.
Despite a tighter stance on household lending, the bank said its strategy to expand corporate loans — mainly to sole proprietors — drove loan growth. Corporate loan balances more than doubled over the past year to 2.75 trillion won from 1.31 trillion won. The bank said net increases in corporate loan balances have expanded for five straight quarters.
Net interest income rose 15.4% to 125.2 billion won from 108.5 billion won. The net interest margin widened to 1.57% from 1.41% on loan growth, changes in the rate environment and an improved funding mix. Noninterest income increased about 4% to 14.2 billion won.
Credit loss provisions fell 7.6% to 50.1 billion won from 53.9 billion won, and the credit cost ratio improved to 1.09% from 1.31%.
The delinquency ratio edged down to 0.61% at the end of the first quarter from 0.66% a year earlier, while the ratio of substandard or below loans eased to 0.58% from 0.61%. The bank’s BIS capital ratio stood at 21.47%.
The average share of mid- to low-credit loans in the first quarter was 31.9%, and the share of new mid- to low-credit loans was 33.5%, both above regulatory thresholds of 30% and 32%, respectively.
Chief Executive Choi Woo-hyung said the first quarter was a period in which the bank strengthened its growth base by proactively expanding lending to sole proprietors. He said K Bank will further refine its corporate finance portfolio and seek competitiveness in global digital asset markets, including stablecoins, to continue differentiated innovation.
* This article has been translated by AI.
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