On June 24, JB Financial Group held the 10th anniversary ceremony at Taekwondowon in Muju, South Korea under the slogan of "10 years of companionship, a new leap forward". JB Financial Group will celebrate its 10th anniversary on the 1st of next month.
The event, held under the theme "10 years of companionship, a new leap forward," was attended by approximately 3,500 executives and employees. Among the distinguished guests were Kim Ki-hong, the chairman of JB Financial Group, Baek Jong-il, president of Jeonbuk Bank, Ko Byeong-il, president of Gwangju Bank, Park Chun-won, CEO of JB Woori Capital, Choi Won-chul, CEO of JB Asset Management, and Lee Gu-wook, CEO of JB Investment.
The ceremony provided an opportunity to reflect on the remarkable 10-year journey of JB Financial Group, which will officially mark its 10th anniversary next month. The group has grown from its modest beginnings and has become a formidable "Small but Strong Financial Group."
JB Financial Holdings received approval from the Financial Services Commission to establish a holding company on June 19, 2013. Over the past decade, the group has achieved impressive growth. Initially consisting of two subsidiaries, JB Financial Group has expanded to include 10 companies, with the addition of a holding company.
JB Financial Group emerged as the first financial holding company in the southwest region when it launched in July 2013, starting with Jeonbuk Bank. Subsequently, JB Woori Capital, a subsidiary of the holding company, was incorporated. The group continued its expansion by acquiring JB Asset Management in March 2014 and Kwangju Bank in October of the same year. Finally, JB Investment joined the group last year, consolidating the control of five subsidiaries: Jeonbuk Bank, Kwangju Bank, JB Woori Capital, JB Asset Management, and JB Investment.
The group has also made significant strides in its global operations. In 2016, JB Financial Group acquired "Phnom Penh Commercial Bank (PPCBank)," a commercial bank in Cambodia, marking its entry into the international market.
Furthermore, it established "JB Capital Myanmar," a local corporation of JB Woori Capital Myanmar. In late 2019, the group acquired a Vietnamese securities firm owned by the global investment bank Morgan Stanley, resulting in the establishment of JB Securities Vietnam (JBSV).
JB Financial Group stands out among local financial institutions as the first to establish a comprehensive financial system encompassing banks, securities, and capital overseas. In 2021, the group further expanded its international presence by establishing an asset management company, "JB PPAM," in Cambodia.
The group's total assets, which amounted to 16.1861 trillion won in its first year, have grown more than threefold, exceeding 60 trillion won in the first quarter of this year. The net profit for the previous year reached a record high of 601 billion won, representing a significant increase from the initial 27.1 billion won during the group's launch.
JB Financial Group has consistently demonstrated strong financial performance and stability. The Common Equity Tier 1 (CET1) ratio, a measure of capital adequacy, surpassed the recommended level of 9.5% set by the Financial Supervisory Service. It recorded 12.32% in March this year, following continuous increases from 10.05% in 2020 and 10.30% in 2021.
The return on equity (ROE), a crucial metric, reached an impressive 13.88%, while the return on total assets (ROA) stood at 1.05%. These figures represent substantial growth compared to the initial values of 6.44% and 0.39% for ROE and ROA, respectively, during the launch.
Furthermore, the company achieved remarkable efficiency in its operations, as evidenced by the decline in the Cost-to-income ratio (CIR) from 52.3% in 2018 to a historic low of 37.9% last year. This achievement can be attributed to the company's focus on revenue expansion and diligent cost control efforts. The continuous improvement in this ratio resulted in a nearly doubled total shareholder return rate, which rose from 14.5% in 2018 to 27% last year.
Since assuming the position of Chairman in 2019, Kim Ki-hong has been steering the company towards profitability-centered qualitative growth and proactive risk management. His leadership is guided by the group's vision of becoming a small yet resilient "Small but Strong Financial Group" that emphasizes both youthfulness and strength.
"Although internal and external economic conditions are uncertain, we plan to continue the group's growth through stable growth based on thorough risk management, profitable management, and synergy expansion among affiliates," said Chairman Kim.
