Industrial Bank of Korea recorded a net profit of 1.5086 trillion won (consolidated) in the first half of this year, it said on the 24th. This is an 8.2% increase compared to the same period last year and marks the highest performance for the first half on record.
The net profit based on the bank's separate financial statements increased by 5.4% to 1.3272 trillion won compared to the same period last year.
The balance of loans to small and medium-sized enterprises increased by 11.3 trillion won (4.6%) from the end of last year, reaching 258.5 trillion won. The market share rose to an all-time high of 24.43%.
Interest income was 8.1597 trillion won, a decrease of 6.2% from the same period last year (8.6945 trillion won). Among this, loan interest was 6.5826 trillion won, down 6% from last year (7.037 trillion won). Non-interest income increased by 217.6% to 402.3 billion won compared to last year (126.7 billion won).
The return on equity (ROE) based on consolidated financial statements rose slightly to 8.78% from 8.07% in the same period last year. The return on assets (ROA) also increased to 0.64% from 0.58% last year.
The overall delinquency rate rose to 0.91% from 0.78% in the same period last year. The delinquency rate for corporate loans was 9.93%, and the delinquency rate for household loans was 0.65%, up 0.7% and 0.56%, respectively, compared to last year.
The non-performing loan ratio, a health indicator, slightly increased to 1.37% from 1.34% last year. The Industrial Bank of Korea noted that due to proactive provision increases and soundness management, the loan loss rate decreased by 0.41% compared to the same period last year (0.48%).
The current loan loss rate also slightly decreased to 0.41% from 0.44% last year. The Basel III ratio was 14.94%, a slight increase from 14.69% in the same period last year.
IBK Capital's net profit was 142 billion won, up 3.2% from last year (137.6 billion won), while IBK Securities reported 25 billion won, down 14.4% from last year (29.2 billion won). IBK Insurance saw a decrease to 14.5 billion won compared to last year's figure of 78.8 billion won, representing a drop of 29.3%.