iM Financial Group posted 295.6 billion won in net profit for the first half of this year. Total operating profit increased on the back of asset growth in corporate loans and non-bank units, but net profit fell from a year earlier due to a change in the education tax rate and higher provisioning.

iM Financial said on July 27 that first-half net profit attributable to controlling shareholders came to 295.6 billion won, down 4.4 percent from a year earlier. Second-quarter net profit was 141.1 billion won, down 9.0 percent from a year earlier.

Total operating profit for the first half rose 4.4 percent from a year earlier to 1.11 trillion won. Interest income increased 4.1 percent as iM Bank's corporate loans and iM Capital's operating assets grew. As capital markets became more active, iM Securities' contribution from non-interest income also expanded.

First-half net profit at iM Bank, the group's main unit, was 245.7 billion won, down 4.2 percent.

Among the non-bank units, iM Capital posted net profit of 39.5 billion won as operating assets rose 13.9 percent.

iM Securities posted 44.9 billion won in net profit on a standalone basis on higher fee income. iM Life posted net profit of 18.2 billion won, up 31.9 percent from a year earlier.

The group's common equity tier 1 ratio was 12.27 percent, up 0.13 percentage points from a year earlier. Return on assets and return on equity were 0.57 percent and 9.43 percent, respectively.

The board of iM Financial Holding also approved an additional 30.0 billion won share buyback and cancellation on the day. That is 50 percent more than 20.0 billion won in the second half of last year. Once completed, cumulative share buybacks and cancellations will total 130.0 billion won. iM Financial plans to buy back and cancel a total of 150.0 billion won worth of shares by 2027.

Byung-kyu Cheon (천병규), group chief financial officer and vice president at iM Financial Holding, said the common equity tier 1 ratio improved to 12.27 percent, the highest level on record. He said the group would manage its capital ratio in a stable manner through year-end to achieve early the first target of its corporate value enhancement plan.