FY 2025 Business Results FY2025 Highlight B/S P&L Digital/SDGs Value-up Plan Appendix FY2026 Capital Policy 2026 Forecast | CET1 Ratio | (Preliminary) | Quarterly DPS + Additional DPS FY2025 Net Income / EPS | | --- | --- | --- | | 13.33% | (Δ22bp QoQ, +32bp YTD) | 4.97 Wtn / KRW 10,220 KRW 570 + 310 (Record Date: Feb 20th) | | RWA | | Share Buyback & Cancellation for 1H26 ROE / ROTCE* (FY2025) | | 353.3 Wtn | (+1.5% QoQ, +3.2% YTD) | 9.1% / 10.3% 700 Wbn (Including Jan. 200 Wbn buyback) | | Capital Ratio | ...

Core Insights - The "14th Five-Year Plan" has seen significant achievements in China's financial sector, including deepened reforms, improved financial services, and enhanced international competitiveness [3][4][5] Financial System Reform - Financial system reforms have been comprehensively deepened, with improved governance and a more robust financial institution and product system [3][4] - The banking sector's total assets reached nearly 470 trillion yuan, ranking first globally, while the stock and bond markets are second in size [3] Financial Services to the Real Economy - Over the past five years, the banking and insurance sectors provided 170 trillion yuan in new funds to the real economy, with significant growth in loans for technology and infrastructure [6] - The balance of inclusive small and micro enterprise loans reached 36 trillion yuan, 2.3 times that of the end of the 13th Five-Year Plan [6] Risk Management - Financial risks have been kept under control, with a focus on macroeconomic stability and the health of financial institutions [4][5] - The number of high-risk institutions has been significantly reduced, and over 3,600 illegal shareholders have been removed [6][7] Regulatory Enhancements - Regulatory capabilities have been strengthened, with 20,000 institutions penalized and 36,000 individuals held accountable for violations [7] - The capital market has seen a rise in direct financing, with a total of 57.5 trillion yuan raised through stock and bond markets [7][8] Capital Market Developments - The proportion of direct financing has increased, reaching 31.6%, with a notable rise in the market capitalization of technology companies [8][9] - Companies have returned 10.6 trillion yuan to investors through dividends and buybacks, reflecting a growing awareness of shareholder value [8] International Financial Integration - The capital market has expanded its openness, with the removal of foreign ownership limits and the establishment of new foreign investment mechanisms [10] - The foreign exchange market has seen improvements in efficiency and stability, with cross-border transactions reaching 14 trillion dollars in 2024, a 64% increase from 2020 [12][13]