NH Investment & Securities reported that its net profit for the first quarter of this year was 208.2 billion won, a decrease of 7.7% compared to the same period last year. However, this figure represents an improvement of 89.2% compared to the previous quarter, which recorded 110 billion won.
During this period, revenue and operating profit amounted to 3.3566 trillion won and 289 billion won, representing increases of 5.2% and 4.4%, respectively, compared to the same period last year.
NH Investment & Securities noted that, with an increase in market transaction volume during the first quarter of this year, brokerage (commission trading) and financial product sales revenue increased compared to the previous quarter. However, revenue from overseas stock contracts and commissions slightly declined due to intensified competition and a shrinking market.
The investment banking (IB) institutional sector emphasized that it has acted as the lead on two out of four public offerings conducted this year, solidifying its market position. However, revenue from non-market asset evaluations decreased, leading to a decline in IB revenue compared to the previous quarter.
In the asset management institutional sector, revenue from both investment operations and interest income decreased due to expanded market volatility. NH Investment & Securities explained that it aims to generate stable revenue by restructuring its operational processes and improving its monitoring systems to mitigate profit and loss volatility and enhance operational capabilities.
A representative from NH Investment & Securities said, “We will strive to meet the required capital returns in the IB, wealth management (WM), and asset management core businesses through enhanced corporate value and push toward achieving our target return rates through new business revenues.” They added, “We will continue our efforts to establish a high-speed growth system that exceeds the market by linking between business sectors, allowing various stakeholders and the company to grow together.”