Hana Financial Group reported a record half-year profit exceeding 2.4 trillion won, driven by a significant increase in non-interest income from its securities subsidiary. Building on this strong performance, the company plans to expand shareholder returns by repurchasing and retiring 250 billion won worth of its own shares in the third quarter.
On July 24, Hana Financial announced that its net profit for the second quarter reached 1.1928 trillion won, a 1.67% increase from the same period last year.
For the first half of the year, the profit totaled 2.4029 trillion won, up 4.4% compared to the previous year. Despite one-time costs such as decreased insurance profits, increased provisions, and foreign exchange losses, non-interest income supported the overall results.
Commission income for the first half surged to 1.4874 trillion won, a 37.7% increase year-on-year, driven by growth in trust fees, securities brokerage fees, and investment management fees.
Interest income for the first half was 4.8082 trillion won, reflecting a 7.06% increase from the same period last year. The common equity tier 1 (CET1) capital ratio stood at 13.21%, while the Basel III capital adequacy ratio was 15.26%.
By subsidiary, Hana Bank reported a net profit of 1.0169 trillion won for the second quarter, a 6.9% decrease from the previous year. However, commission income rose to 614.3 billion won, up 22.4% year-on-year.
Hana Securities showed the most significant growth, with a net profit of 273.1 billion won, a 155.7% increase from the previous year. Additionally, Hana Card reported a net profit of 125.9 billion won, Hana Capital 104.5 billion won, and Hana Life 14.6 billion won.
With this record performance, Hana Financial has also announced plans for value enhancement. The return on equity (ROE) target has been raised from over 10% to 12%, and the shareholder return rate target is set at over 50%. A new shareholder return framework linking ROE and risk-weighted asset (RWA) growth will also be introduced. The CET1 target has been adjusted to over 13%, with excess capital to be used for shareholder returns.
The board of directors has resolved to expand shareholder returns by repurchasing and retiring 250 billion won worth of shares in the third quarter and declaring a quarterly cash dividend of 1,155 won per share, a 26.5% increase from the same period last year.
On July 24, Hana Financial announced that its net profit for the second quarter reached 1.1928 trillion won, a 1.67% increase from the same period last year.
For the first half of the year, the profit totaled 2.4029 trillion won, up 4.4% compared to the previous year. Despite one-time costs such as decreased insurance profits, increased provisions, and foreign exchange losses, non-interest income supported the overall results.
Commission income for the first half surged to 1.4874 trillion won, a 37.7% increase year-on-year, driven by growth in trust fees, securities brokerage fees, and investment management fees.
Interest income for the first half was 4.8082 trillion won, reflecting a 7.06% increase from the same period last year. The common equity tier 1 (CET1) capital ratio stood at 13.21%, while the Basel III capital adequacy ratio was 15.26%.
By subsidiary, Hana Bank reported a net profit of 1.0169 trillion won for the second quarter, a 6.9% decrease from the previous year. However, commission income rose to 614.3 billion won, up 22.4% year-on-year.
Hana Securities showed the most significant growth, with a net profit of 273.1 billion won, a 155.7% increase from the previous year. Additionally, Hana Card reported a net profit of 125.9 billion won, Hana Capital 104.5 billion won, and Hana Life 14.6 billion won.
With this record performance, Hana Financial has also announced plans for value enhancement. The return on equity (ROE) target has been raised from over 10% to 12%, and the shareholder return rate target is set at over 50%. A new shareholder return framework linking ROE and risk-weighted asset (RWA) growth will also be introduced. The CET1 target has been adjusted to over 13%, with excess capital to be used for shareholder returns.
The board of directors has resolved to expand shareholder returns by repurchasing and retiring 250 billion won worth of shares in the third quarter and declaring a quarterly cash dividend of 1,155 won per share, a 26.5% increase from the same period last year.
* This article has been translated by AI.
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