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South Korean Banks Register Record Mid-Year Profits on Non-Interest Income Gains

They are strengthening shareholder returns through hefty dividends accompanied by large-scale share repurchases

Overview

  • KB Financial Group reported a first-half net profit of 3.44 trillion won, marking a 23.8% year-on-year increase
  • Key affiliate KB Kookmin Bank delivered a 2.19 trillion won H1 profit, up 45.3% after recovering from last year’s Hong Kong ELS losses
  • Shinhan Financial Group posted a 1.55 trillion won Q2 net profit, up 8.7%, and its accumulated H1 profit rose 10.6% to 3.37 trillion won, beating analyst forecasts
  • Hana Financial Group logged a record Q2 net profit of 1.18 trillion won driven by a 10% rise in non-interest income and unveiled a 200 billion won share buyback plan
  • All three lenders boosted non-interest income, reflecting a sector-wide shift toward fee-based operations and diversified revenue streams