Shinhan Card announced on the 25th that it recorded a net profit of 246.6 billion won for the first half of this year, which is a decrease of 35% compared to the same period last year.
For the second quarter, Shinhan Card reported a net profit of 110.9 billion won, a drop of 42.9% compared to the previous year. Shinhan Card noted that the increase in expense due to a rise in risks from unfavorable external conditions such as sluggish domestic demand and economic recession, along with delays in stabilizing arrears, contributed to this result.
Additionally, while the trend of stabilizing funding rates is improving funding conditions, the cost of funding remains high due to relatively low interest rates on maturing debts. However, the company anticipates that this will gradually ease as the possibility of interest rate cuts increases in the future.