BNK Financial Group announced on the 6th that its annual net income for the previous year was 802.7 billion won.
This marks an increase of 162.9 billion won (25.5%) compared to the same period last year (639.8 billion won). The rise was largely due to increased non-interest income from interest and securities gains, while a reduction in provision for future bad debts also contributed significantly.
Looking at the results by institutional sector, the banking sector achieved a net income of 771.8 billion won, an increase of 135.6 billion won compared to the previous year (Busan Bank 76.4 billion won, Gyeongnam Bank 59.2 billion won).
The non-banking sector also recorded a net income of 167.9 billion won, an increase of 24.9 billion won compared to the previous year (capital 18.2 billion won, investment securities 5.2 billion won, savings banks 0.8 billion won, asset management 1.4 billion won).
The group's asset soundness indicator, the ratio of non-performing loans, remained stable at 1.18%, the same level as the previous quarter, while the delinquency rate improved by 4 basis points to 0.94% compared to the previous quarter. The common equity capital ratio, an indicator of capital adequacy, rose by 4 basis points to 12.35% despite year-end dividends, thanks to proper profit realization and active management of risk-weighted assets (RWA).
Meanwhile, the BNK Financial Group board of directors resolved to distribute cash dividends at a rate of 26%, with 650 won per share (including an interim dividend of 200 won). To enhance shareholder value, the group also decided to buy back and retire its own shares worth 40 billion won, which is 5% of its net income.
Kwon Jae-jung, vice president of BNK Financial Group, said, "To expand shareholder returns, we plan to carry out a buyback and retirement of our own shares in the first half of this year at a scale much larger than last year's total (33 billion won)," and added, "We will continue to expand the shareholder return policy within a stable range of increasing dividends per share."