Shin Kong Financial (2888) Q1 2025 earnings summary

Executive summary

• Report covers Q1 2025 consolidated results for Shin Kong Financial Holding Co., Ltd. and subsidiaries, reviewed by Deloitte & Touche with no material misstatements found.

• Merger with Taishin Financial Holdings Co., Ltd. approved, effective July 24, 2025; Shin Kong FHC will be dissolved post-merger.

Financial highlights

• Q1 2025 consolidated net loss of NT$12.52 billion, compared to net income of NT$3.09 billion in Q1 2024.

• Total comprehensive loss of NT$25.66 billion, versus comprehensive income of NT$15.34 billion in Q1 2024.

• Basic and diluted loss per share of NT$0.71, compared to earnings per share of NT$0.20 and NT$0.19 in Q1 2024.

• Total assets at March 31, 2025 were NT$5.19 trillion, up from NT$5.08 trillion a year earlier.

• Net interest income rose to NT$28.57 billion from NT$28.03 billion year-over-year.

• Net loss from life insurance business widened to NT$33.35 billion from NT$29.06 billion year-over-year.

• Foreign exchange gain of NT$21.97 billion, up sharply from NT$1.23 billion in Q1 2024.

Outlook and guidance

• Merger with Taishin Financial Holdings expected to close July 24, 2025, with share exchange ratios specified for ordinary and preferred shareholders.

• SKLIC’s capital adequacy ratio improved to over 200% by end of 2024, with ongoing strategies to further strengthen capital.