The four major financial groups (KB, Shinhan, Hana, Woori) recorded their highest ever earnings, generating more than 10 trillion won in the first half of this year. Despite the heightened uncertainty both domestically and internationally and a downward trend in market interest rates, both interest income and non-interest income increased simultaneously, leading the financial sector to an unexpected boom.
According to the financial sector on the 27th, the net profit of the four major financial institutions in the first half of the year was approximately 10.3254 trillion won. This marks an increase of 979.8 billion won (10.5%) compared to the same period last year (9.3456 trillion won). KB, Shinhan, and Hana Financial Group recorded double-digit growth rates in net profit compared to the previous year, setting a new all-time high for the first half of this year.
KB Financial's net profit for the first half of the year was 3.4357 trillion won, an increase of 23.8% compared to the same period last year (2.7744 trillion won). This widened the gap in net profit over Shinhan Financial, maintaining the top position in financial holding net profit for the first half of this year. Shinhan Financial's net profit for the first half was 3.0374 trillion won, representing a 10.6% increase from the same period last year (2.7470 trillion won).
Hana Financial reported a net profit of 2.3010 trillion won, an increase of 11.2% compared to the same period last year (2.0687 trillion won). Woori Financial was the only one among the four major financial groups whose performance declined in the first half of the year. Woori Financial's net profit for the first half was 1.5513 trillion won, down 11.6% from the same period last year (1.7555 trillion won). However, in terms of net profit for the second quarter alone, it recorded 934.6 billion won, a 0.3% increase compared to the second quarter of last year, setting an all-time high for the second quarter.
Starting from the second half of last year when the benchmark interest rate cuts began, concerns about declining profitability arose. However, the four major financial institutions generated more than 21 trillion won solely from 'interest business' in the first half of this year. The interest income of the four major financial groups in the first half reached 21.0924 trillion won, an increase of 281.8 billion won (1.4%) compared to the same period last year (20.8106 trillion won).