JB Financial Group (175330) Q3 2024 earnings summary

Executive summary

• Net income for 3Q24 reached KRW193bn, up 15.4% year-over-year, with cumulative 3Q24 net income at KRW563bn, up 14.1% year-over-year.

• Achieved sector-leading profitability with ROE at 14.7% and ROA at 1.18% for 3Q24.

• Total operating income for 3Q24 was KRW564bn, up 6.4% year-over-year, driven by robust top-line growth and stable cost efficiency.

• Board approved a 3Q24 dividend payout of KRW105 per share.

Financial highlights

• Earnings per share (EPS) for 3Q24 rose 15.1% year-over-year, with a four-year CAGR of 17.5%.

• Cost-to-income ratio improved to 34.3%, down 1.5 percentage points year-over-year.

• Group's credit cost ratio for 3Q24 was 0.83%, improving by 32bp quarter-over-quarter.

• CET1 ratio for 3Q24 was 12.68%, up 23bp year-over-year, indicating strong capital adequacy.

• Non-interest income declined 29.2% quarter-over-quarter due to lower fee income, but was up 59.4% year-over-year.

Outlook and guidance

• Double-digit ROE is expected for 2024, marking six consecutive years of sector-leading returns.

• Stable CET1 ratio supports continued shareholder return enhancements.