JB Financial Group, led by Chairman Kim Ki-hong, made an announcement on April 27 that it had recorded net profit of 132.3 billion won ($119 million) in the first quarter of 2021. This is a 37.1% year-on-year increase, which is the largest performance in the first quarter.
In major management indicators, the group recorded a controlling stake of ROE 14.0% and a group-linked ROA of 1.03%, maintaining the industry's highest profitability indicators for the second consecutive year.
In particular, the ratio of common stock capital (temporary) rose 0.59% points year-on-year to 10.24%, maintaining a stable double-digit ratio since the early introduction of Basel III's final plan. The BIS ratio (provisional) also achieved 13.22 percent, up 0.27 percentage points from a year earlier.
In addition, as a result of preemptive risk management policies against uncertain economic conditions at home and abroad, the non-performing loan ratio reflecting asset soundness was 0.24% points higher than the same period last year and the default rate was 0.09% points higher than the same period last year.
The loan-loss ratio (group-based) also recorded 0.20%, an improvement of 0.10 percentage point from a year earlier, leading to a downward stabilization trend of overall asset soundness indicators.
In addition, operating profit expense ratio (CIR), an indicator of management efficiency, reached an all-time low of 44.9%.
Despite the worsening business environment such as low growth and low interest rates caused by the spread of Covid-19, group affiliates continued to enjoy solid profits based on profitability-oriented internal management.
Jeonbuk Bank (separate basis) showed net profit of 38.1 billion won, up 28.8% year-on-year, while Gwangju Bank (separate basis) continued its stable net profit trend, achieving 52.1 billion won, up 11.6% year-on-year.
JB Asset Management achieved a net profit of 1.4 billion won. In particular, JB Woori Capital (on a consolidated basis) recorded net profit of 45.2 billion won, up 75.3% year-on-year, contributing the most to the group's profit growth.
