K-Bank's first-quarter results improved sharply on the back of expanded corporate lending.

K-Bank said on Wednesday it posted net profit of 33.2 billion won in the first quarter, more than doubling from a year earlier. Asset growth and improved profitability driven by the expansion of corporate loans were the main factors behind the rise in earnings.

Net interest income rose 15.4 percent to 125.2 billion won. Profitability improved as net interest margin rose to 1.57 percent from 1.41 percent. Non-interest income also edged up to 14.2 billion won on increased card income, partnership fees and platform income.

Asset quality indicators improved. Credit loss provisions fell 7.6 percent to 50.1 billion won and the credit cost ratio declined to 1.09 percent. The delinquency ratio fell to 0.61 percent and the ratio of substandard or worse loans eased to 0.58 percent.

Capital adequacy was also stable, with the BIS ratio standing at 21.47 percent at the end of the first quarter.

The number of customers rose 540,000 from the end of last year to 16.07 million. Deposits outstanding increased by 420.0 billion won to 28.22 trillion won. Balances grew across product lines, including parking accounts, demand deposits and savings products.

Loans outstanding rose 10.7 percent from a year earlier to 18.75 trillion won. Corporate loans in particular more than doubled to 2.75 trillion won from 1.31 trillion won, leading the growth trend.

K-Bank CEO Woo-hyung Choi (최우형) said it strengthened its growth base by expanding lending to sole proprietors. He said it will further advance its corporate finance portfolio and secure competitiveness in the global digital asset market, including stablecoins.