Shinhan Financial Group reported a net income of KRW1,549.1 billion for Q2 2025, marking a 4.1% quarter-over-quarter increase. This growth was primarily driven by a significant 34.7% quarter-over-quarter improvement in noninterest income, stemming from favorable market conditions for securities and FX derivative-related gains.
The Group's profitability metrics showed strength, with Return on Equity (ROE) and Return on Tangible Common Equity (ROTCE) each rising by 0.7% to 11.4% and 12.9%, respectively. The Cost-to-Income Ratio (CIR) remained stable at 36.6% in H1 2025, demonstrating effective management of expenses.
Capital adequacy remained robust, with Shinhan's provisional CET1 ratio standing at 13.59% as of the end of June 2025, an improvement of 32 basis points quarter-over-quarter. This was supported by solid earnings and efficient Risk-Weighted Asset (RWA) management, which saw a decline of KRW4 trillion quarter-over-quarter.
In a move to enhance shareholder returns, the Board of Directors resolved a cash dividend of KRW571 per share for Q2 2025. This dividend reflects the Group's commitment to distributing value to its shareholders.
Furthermore, the Board authorized a substantial share buyback of KRW800 billion, with KRW600 billion to be executed in H2 2025 and the remaining KRW200 billion in January 2026. This authorization brings the total projected share buyback for 2025 to approximately KRW1.250 trillion, underscoring a continuous, year-round program aimed at valuation enhancement.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.