Seoul: KB Financial Group announced on Thursday that its net profit for the third quarter increased by 3.3 percent compared to the same period last year, attributing the growth to a rise in interest income. The company's net income for the third quarter reached 1.65 trillion won (approximately US$1.2 billion), up from 1.62 trillion won a year ago, as detailed in its regulatory filing.
According to Yonhap News Agency, the reported earnings surpassed market expectations, with analysts projecting an average net profit of 1.56 trillion won, as per a survey conducted by Yonhap Infomax, the financial data firm of Yonhap News Agency. This performance was largely fueled by a 4.7 percent year-on-year increase in net interest income, which totaled 3.34 trillion won. However, the company experienced a 23.4 percent decline in non-interest income, including fees and commissions, which amounted to 1.02 trillion won.
Despite the rise in net profit, KB Financial Group's operating profit saw a 1.3 percent decline year-on-year, standing at 2.33 trillion won for the third quarter. Additionally, sales fell by 3.3 percent to 14.97 trillion won. Over the first nine months of the year, the cumulative net profit surged by 16.6 percent from the previous year, reaching 5.12 trillion won, marking an all-time high for the period.
The group's flagship entity, KB Kookmin Bank, reported a net profit of 1.18 trillion won in the third quarter, representing a 5.8 percent increase from the previous year.