Woori Financial Group reported a net profit of 1.04 trillion won for the third quarter of this year, marking the second consecutive quarter of exceeding 1 trillion won in earnings. Excluding one-time gains from last year's acquisition of an insurance company, cumulative net profit increased by 18.7%, driven by steady growth in both interest and non-interest income, resulting in record high cumulative net operating income.
On October 23, Woori Financial announced that its consolidated net profit for the third quarter was 1.04 trillion won, a decrease of 15.7% compared to the same period last year. The cumulative net profit for the third quarter stood at 2.66 trillion won, down 4.9% from the previous year. However, when excluding one-time factors such as bargain purchase gains from the acquisition of Dongyang Life and ABL Life, cumulative net profit rose by 18.7%.
Both interest and non-interest income saw balanced growth, leading to improved operating performance. The cumulative net operating income for the third quarter reached 8.68 trillion won, a 6.2% increase from the previous year, setting a new record.
Cumulative interest income was 7.03 trillion won, up 4.5% from the same period last year, influenced by an expansion in corporate financing. As of the end of September, Woori Bank's won-denominated loans amounted to 313 trillion won, a 4.1% increase from the end of last year.
Non-interest income also rose to 1.64 trillion won, a 13.9% increase year-on-year. The integration of the insurance company and expanded collaboration among affiliates contributed to this revenue growth. Notably, collaboration between the bank and securities division intensified, resulting in investment banking fees more than doubling compared to the same period last year.
Alongside revenue growth, cost efficiency and soundness indicators also improved. The cumulative operating profit for the third quarter was 3.54 trillion won, a 19.5% increase from the previous year. The selling and administrative expense ratio decreased by 0.8 percentage points to 42.3%, while the loan loss expense ratio fell by 0.10 percentage points to 0.42%. The return on equity (ROE) for common stock rose from 9.0% in the first half to 9.9% for the cumulative third quarter.
The Woori Financial Board of Directors approved a cash dividend of 220 won per share for the third quarter. Woori Financial aims to maintain a common equity tier 1 (CET1) capital ratio of over 13% while continuing its shareholder return policy.
Woori Bank, the group's main subsidiary, reported a third quarter net profit of 1.03 trillion won, a 22% increase from the previous quarter, achieving the highest quarterly performance on record. The cumulative net profit for the third quarter was 2.40 trillion won. The expansion of corporate financing and effective cost and soundness management contributed to this performance improvement.
Cumulative net profits for non-bank subsidiaries included Woori Card at 133.7 billion won, Dongyang Life at 121.6 billion won, Woori Financial Capital at 114.6 billion won, Woori Investment Securities at 28.2 billion won, and Woori Asset Management at 25.4 billion won.
A Woori Financial representative stated, "As a result of pursuing solid growth centered on high-quality assets, we have recorded net profits exceeding 1 trillion won for two consecutive quarters. We will continue to enhance shareholder returns through improved ROE."
* This article has been translated by AI.
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