KB Financial Group(KB) - 2024 Q2 - Quarterly Report

Financial Performance - Total net operating revenues for the first half of 2024 reached W8,671,562 million, a significant increase compared to W8,671,562 million in the same period of 2023[5] - Net interest income for the first half of 2024 was W5,833,669 million, up from W5,365,788 million in the first half of 2023, reflecting a growth of approximately 8.7%[5] - The life insurance segment reported revenues of W205,189 million for the first half of 2024, compared to W215,461 million in the same period of 2023, indicating a decline of about 4.9%[5] - The company reported a profit for the period for the six months ended June 30, 2024, was W2,773,879 million, an increase of 13.5% from W3,014,922 million in the same period of 2023[67] - Total comprehensive income for the six months ended June 30, 2024, was W1,252,876 million, compared to W3,641,693 million in the same period of 2023, showing a decrease of 65.6%[68] - Basic earnings per share for the six months ended June 30, 2024, were W7,041, up from W3,776 in the same period of 2023, reflecting an increase of 86.0%[68] Assets and Liabilities - The total assets of the company as of June 30, 2024, amounted to W722,984,946 million, with financial assets at fair value through profit or loss totaling W77,708,742 million[9] - The total carrying amount of loans measured at amortized cost was W455,873,383 million as of June 30, 2024[9] - The company’s total financial liabilities were W623,425,366 million, with deposits accounting for W420,217,889 million[9] - Total liabilities reached W682,409,720 million, an increase from W656,864,842 million at the end of 2023, reflecting a growth of approximately 3.9%[85] - The company reported a net increase in cash and cash equivalents of W1,253,590 million for the first half of 2024, compared to W22,086 million in the same period of 2023[72] Income and Expenses - The company’s total insurance income for the first half of 2024 was W5,339,779 million, with insurance expenses amounting to W4,507,557 million, resulting in a net insurance income of W832,222 million[5] - The company experienced a net other operating expense of W690,568 million for the six months ended June 30, 2024, compared to W718,208 million in the same period of 2023, reflecting a decrease of 3.8%[67] - The company reported a provision for credit losses of W981,088 million for the six months ended June 30, 2024, compared to W1,319,485 million in the same period of 2023, indicating a decrease of 25.7%[67] Risk Management - The company has implemented risk management strategies to mitigate market risks, including interest rate and currency risks[36] - The Risk Management Department regularly measures and monitors interest rate risk and liquidity risk, ensuring compliance with established limits[51] - The Group's risk management system focuses on increasing risk transparency and managing significant risks such as credit risk, market risk, and liquidity risk[105] Investments - The company reported a net gain on financial instruments at fair value through profit or loss of W1,159,314 million for the first half of 2024[5] - Financial assets at fair value through profit or loss amounted to W33,672,956 million as of June 30, 2024, with debt securities contributing W33,401,468 million[18] - The total financial assets at fair value through other comprehensive income were W45,219,212 million, indicating a diversified investment portfolio[18] Shareholder Information - Dividends paid increased to W887,092 million in the first half of 2024, compared to W760,936 million in the same period of 2023, marking an increase of approximately 16.6%[72] - The total equity attributable to shareholders of the Parent Company increased to W57,152,838 million from W56,929,804 million at the end of 2023, reflecting a growth of about 0.4%[85] - The Parent Company's share capital remained stable at W2,090,558 million as of June 30, 2024[73] Cash Flow - For the six-month period ended June 30, 2024, the net cash flow from operating activities was W821,945.1 million, compared to W295,835.3 million in the same period of 2023, representing a significant increase[91] - Net cash inflow from investing activities was reported at (W6,368,921) million for the first half of 2024, a significant decrease from W1,725,015 million in the same period of 2023[72] - The company reported a decrease in net cash outflow from financing activities to W912,307 million, down from W4,700,986 million in the first half of 2023[72]