SC First Bank posted cumulative net profit of more than 500 billion won through the third quarter, up nearly 67 percent from a year earlier. The improvement was driven by an expansion in non-interest income on strong wealth management performance and a partial reversal of provisions related to Hong Kong H-index equity-linked securities (ELS). Third-quarter net profit fell, while the delinquency ratio rose.

SC First Bank said on Thursday its nine-month net profit rose 2.0222 trillion won, or 66.51 percent, from a year earlier to 506.2 billion won. Third-quarter net profit came to 81.8 billion won, down 14.26 percent from 95.4 billion won a year earlier.

Non-interest income for the first nine months rose 54.2 percent from a year earlier to 418.5 billion won. The bank said improved wealth management performance, driven by an increase in high-net-worth clients and a stock market rally, contributed to the gain.

Interest income for the period rose 3.69 percent to 942.4 billion won. Net interest margin (NIM) fell 0.27 percentage points, but growth in customer loans offset the decline. Selling and administrative expenses increased 2.73 percent to 732.9 billion won due to higher personnel and operating costs.

Total loans stood at 44.41 trillion won as of end-September, up 1.44 percent from a year earlier. The bank cited expanded funding demand from corporate finance clients. The delinquency ratio rose 0.19 percentage points to 0.64 percent from 0.45 percent a year earlier.

Return on assets (ROA) was 0.58 percent and return on equity (ROE) was 12.06 percent, improving by 0.14 percentage points and 4.74 percentage points, respectively.

SC First Bank also decided a 150 billion won interim dividend the previous day. It was the first interim dividend in 3 years since an interim dividend of 200 billion won in 2023. The bank said its Bank for International Settlements (BIS) total capital ratio stood at 20.28 percent and its common equity Tier 1 ratio at 17.83 percent after the dividend, both above regulatory requirements.