The Korean Federation of Community Credit Cooperatives (KFCC) said on the 19th that MG Capital, a subsidiary acquired in February, swung to a profit, posting cumulative net income of 29.7 billion won in the third quarter.
The Korean Federation of Community Credit Cooperatives (KFCC) carried out a paid-in capital increase of 200 billion won for MG Capital in May. As a result, MG Capital's credit rating was upgraded from A- to A0. The asset size, which had decreased to 2.4289 trillion won in the first quarter, expanded to 2.7952 trillion won in the third quarter.
Soundness indicators also improved. At the end of the third quarter, the substandard-and-below loan ratio was 3.09%, down 7.92 percentage points from the previous year (11.01%). The arrears rate also fell to 3%, down 3.78 percentage points from the previous year (6.78%).