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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 UNDER
THE SECURITIES EXCHANGE ACT OF 1934
For the month of May 2023
Commission File Number: 000-53445
KB Financial Group Inc.
(Translation of registrant’s name into English)
26, Gukjegeumyung-ro 8-gil, Yeongdeungpo-gu, Seoul 07331, Korea
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F ☒ Form 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ☐
Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security holders.
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ☐
Note: Regulation S-T Rule 101(b)(7) only permits the submission in paper of a Form 6-K if submitted to furnish a report or other document that the registrant foreign private issuer must furnish and make public under the laws of the jurisdiction in which the registrant is incorporated, domiciled or legally organized (the registrant’s “home country”), or under the rules of the home country exchange on which the registrant’s securities are traded, as long as the report or other document is not a press release, is not required to be and has not been distributed to the registrant’s security holders, and, if discussing a material event, has already been the subject of a Form 6-K submission or other Commission filing on EDGAR.
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Summary of 2023 First Quarter Business Report
On May 15, 2023, KB Financial Group Inc. (“KB Financial Group” or the “Group”) filed its business report for the first quarter of 2023 (the “Business Report”) with the Financial Services Commission of Korea and the Korea Exchange. This is a summary of the Business Report translated into English.
Except where indicated otherwise, financial information contained in this summary have been prepared in accordance with the Korean equivalent of International Financial Reporting Standards (“K-IFRS”), which differ in certain important respects from generally accepted accounting principles in the United States.
All references to “KB Financial Group,” “we,” “us” or the “Company” are to KB Financial Group and, unless the context requires otherwise, its subsidiaries. In addition, all references to “Won” or “KRW” in this document are to the currency of the Republic of Korea.
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1. | Introduction to the Company |
1.1. | Business Purpose |
KB Financial Group is a financial holding company that was established in September 2008. Its main business purpose is to hold shares in companies that are engaged in financial or related services, as well as govern and manage such companies. Its consolidated subsidiaries are primarily engaged in the banking business, as well as the credit card business, the financial investment business, the insurance business and other related businesses.
1.2. | History |
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
1.3. | Overview of the Business Group |
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
1.4. | Capital Structure |
1.4.1. | Common Shares |
Changes in Capital
(As of March 31, 2023) | (Unit: Won, shares) | |||||||||||||||
Date | Type | Number of Shares Issued or Cancelled | Par Value | Price | Remarks | |||||||||||
September 29, 2008 | Common Stock | 356,351,693 | 5,000 | 48,444 | Establishment of the Company | |||||||||||
September 2, 2009 | Common Stock | 30,000,000 | 5,000 | 37,250 | % increase in number of common shares: 8.41865% | |||||||||||
October 19, 2016 | Common Stock | 31,759,844 | 5,000 | 35,474 | % increase in number of common shares: 8.22045% | |||||||||||
December 12, 2019 | Common Stock | 2,303,617 | 5,000 | — | Share Cancellation(1) | |||||||||||
February 14, 2022 | Common Stock | 3,455,426 | 5,000 | — | Share Cancellation(1) | |||||||||||
August 1, 2022 | Common Stock | 3,455,426 | 5,000 | — | Share Cancellation(1) |
Note: (1) | The cancelled shares constituted treasury shares acquired pursuant to a resolution of the board of directors of the Company within the limits of profit available for dividend payment, and as such, there was no change in paid-in capital. |
Number of Shares
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
1.4.2. Voting Rights
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
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1.5. | Dividends |
KB Financial Group aims to manage its CET1 target ratio at a minimum of around 13% (the regulatory requirement of 10.5% plus a management buffer of 250 bps), in order to meet the regulatory requirement of 10.5% even in the face of severe economic shocks and other macroeconomic variables, including fluctuations in exchange rates and interest rates.
In order to manage such CET1 target ratio, the Group plans to benchmark systemic growth indicators, such as nominal GDP growth rates, to set its mid-term goals for asset growth. However, the Group may modify such goals to better fulfill the Group’s public role and to attain sustainable growth in light of changes to the macroeconomic and regulatory environment, the importance and role of the financial industry, including banks, in the domestic economy, the Group’s public duty to maintain the stability of the social system, or the Group’s business objectives such as investments in new businesses or M&A initiatives.
Generally, the Group’s policy is to utilize the excess capital exceeding its target CET1 ratio of 13% to actively return value to its shareholders. Although the level of shareholder returns may vary depending on changes in the regulatory environment, volatility in the financial market, and the Group’s business objectives, the Group will strive to maximize its shareholder returns and shareholders’ value in every situation.
As a leading financial institution in Korea, KB Financial Group will strive to perform its public duties as a bank in times of need, such as stabilizing the financial system and supporting the soft landing of the economy during economic fluctuations. The Group will take into consideration the interests of various stakeholders, including shareholders, employees, consumers, and local communities, to achieve sustainable growth while also enhancing shareholder value.
Based on its solid fundamentals and the highest level of capital in the industry, the Group achieved a shareholder return rate of approximately 30%, including through share buybacks and cancellations. The Group plans to actively continue such progressive shareholder return policy.
KB Financial Group also plans to provide a stable payout to the shareholders, taking into consideration the global best practices for dividend stability by maintaining at least the previous year’s level of cash dividends while gradually expanding the dividend per share and engaging in share buybacks and cancellations. However, such plans may be modified depending on economic conditions, regulatory environment, or the Group’s business objectives.
(Unit: in millions of Won, except per share amounts and percentages) | ||||||||||||||||
Items | January 1, 2023 to March 31, 2023(1) | January 1, 2022 to December 31, 2022(2) | January 1, 2021 to December 31, 2021(3) | |||||||||||||
Par value per share (Won) |
| 5,000 | 5,000 | 5,000 | ||||||||||||
(Consolidated) Net income |
| 1,497,631 | 4,394,830 | 4,409,543 | ||||||||||||
(Consolidated) Earnings per share (Won) |
| 3,754 | 10,955 | 11,134 | ||||||||||||
Total cash dividends |
| 195,967 | 1,149,421 | 1,145,525 | ||||||||||||
Total stock dividends |
| — | — | — | ||||||||||||
(Consolidated) Cash dividend payout ratio (%) |
| 13.1 | 26.0 | 26.0 | ||||||||||||
Cash dividend yield (%) | Common shares | 1.1 | 5.8 | 5.2 | ||||||||||||
— | — | — | — | |||||||||||||
Stock dividend yield (%) | Common shares | — | — | — | ||||||||||||
— | — | — | — | |||||||||||||
Cash dividend per share (Won) | Common shares | 510 | 2,950 | 2,940 | ||||||||||||
— | — | — | ||||||||||||||
Stock dividend per share | Common shares | — | — | |||||||||||||
— | — | — |
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Notes: | (1) | Includes a quarterly dividend amount of Won 195,967 million (Won 510 per common share) for the first quarter of fiscal year 2023. |
(2) | Includes a quarterly dividend amount of Won 194,817 million (Won 500 per common share) in the first quarter of fiscal year 2022, a quarterly dividend amount of Won 194,817 million (Won 500 per common share) in the second quarter of fiscal year 2022, and a quarterly dividend amount of Won 194,817 million (Won 500 per common share) in the third quarter of fiscal year 2022. |
(3) | Includes a quarterly dividend amount of Won 292,226 million (Won 750 per common share) in the second quarter of fiscal year 2021. |
1.6. | Amendments to the Articles of Incorporation |
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
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2. | Business |
2.1. | Results of Operations |
(Unit: in millions of Won) | ||||||||||||||||
For the three months ended March 31, 2023 | For the three months ended March 31, 2022 | For the year ended December 31, 2022 | For the year ended December 31, 2021 | |||||||||||||
Net interest income | 2,785,593 | 2,651,511 | 11,393,422 | 11,229,572 | ||||||||||||
Interest income | 6,866,583 | 4,306,312 | 20,787,577 | 15,210,878 | ||||||||||||
Interest expense | (4,080,990 | ) | (1,654,801 | ) | (9,394,155 | ) | (3,981,306 | ) | ||||||||
Net fee and commission income | 914,006 | 957,256 | 3,514,902 | 3,625,583 | ||||||||||||
Fee and commission income | 1,334,702 | 1,334,929 | 5,125,930 | 5,323,606 | ||||||||||||
Fee and commission expense | (420,696 | ) | (377,673 | ) | (1,611,028 | ) | (1,698,023 | ) | ||||||||
Insurance service result | 380,647 | 395,876 | 1,334,090 | 556,711 | ||||||||||||
Insurance income | 2,662,112 | 2,347,579 | 10,066,863 | 16,107,858 | ||||||||||||
Insurance expense | (2,281,465 | ) | (1,951,703 | ) | (8,732,773 | ) | (15,551,147 | ) | ||||||||
Net gains on financial assets/liabilities at fair value through profit or loss | 773,407 | (325,529 | ) | (1,133,475 | ) | 995,304 | ||||||||||
Other insurance finance income | (234,030 | ) | 274,829 | 897,441 | — | |||||||||||
Net other operating expenses | (260,124 | ) | (416,307 | ) | (2,268,465 | ) | (1,923,567 | ) | ||||||||
General and administrative expenses | (1,566,286 | ) | (1,481,378 | ) | (6,643,654 | ) | (7,200,853 | ) | ||||||||
Operating profit before provision for credit losses | 2,793,213 | 2,056,258 | 7,094,261 | 7,282,750 | ||||||||||||
Provision for credit losses | (668,188 | ) | (145,849 | ) | (1,847,775 | ) | (1,185,133 | ) | ||||||||
Net operating profit | 2,125,025 | 1,910,409 | 5,246,486 | 6,097,617 |
Notes: | (1) | Based on K-IFRS (on a consolidated basis). |
(2) | KB Financial Group’s results of operations for the three months ended March 31, 2023 reflect the application of K-IFRS 1117 (Insurance Contracts), a new accounting standard that became effective on January 1, 2023. For comparison purposes, the figures for the three months ended March 31, 2022 and the year ended December 31, 2022 above have been restated retrospectively to reflect the application of K-IFRS 1117. However, the figures for the year ended December 31, 2021 have not been restated retrospectively and are based on K-IFRS 1104 (Insurance Contracts). Accordingly, such figures may not be directly comparable with the figures for the three months ended March 31, 2022 and 2023 and the year ended December 31, 2022. |
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2.2. | Sources and Uses of Funds |
2.2.1. Sources of Funds
(Unit: in millions of Won) | ||||||||||||||||||||||||||||||||||||||
For the three months ended March 31, 2023 | For the year ended December 31, 2022 | For the year ended December 31, 2021 | ||||||||||||||||||||||||||||||||||||
Average Balance | Interest Rate (%) | Ratio (%) | Average Balance | Interest Rate (%) | Ratio (%) | Average Balance | Interest Rate (%) | Ratio (%) | ||||||||||||||||||||||||||||||
Won Currency | Deposits | 333,178,666 | 0.15 | 45.79 | 333,078,280 | 1.27 | 47.87 | 309,428,469 | 0.74 | 49.09 | ||||||||||||||||||||||||||||
Certificate of deposit | 7,878,238 | 0.25 | 1.08 | 5,511,822 | 2.35 | 0.79 | 3,618,303 | 0.87 | 0.57 | |||||||||||||||||||||||||||||
Borrowings | 34,070,592 | 0.19 | 4.68 | 31,064,028 | 1.91 | 4.46 | 24,900,706 | 0.96 | 3.95 | |||||||||||||||||||||||||||||
Call money | 1,679,276 | 0.20 | 0.23 | 1,314,525 | 2.02 | 0.19 | 1,324,902 | 0.65 | 0.21 | |||||||||||||||||||||||||||||
Debentures | 56,731,876 | 0.20 | 7.80 | 58,290,290 | 2.39 | 8.38 | 57,214,310 | 1.82 | 9.08 | |||||||||||||||||||||||||||||
Others | 20,626,049 | 0.26 | 2.83 | 20,866,612 | 2.34 | 3.00 | 20,305,205 | 0.84 | 3.22 | |||||||||||||||||||||||||||||
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Subtotal | 454,164,697 | 0.17 | 62.41 | 450,125,557 | 1.52 | 64.69 | 416,791,895 | 0.91 | 66.12 | |||||||||||||||||||||||||||||
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Foreign Currency | Deposits | 36,128,590 | 0.21 | 4.97 | 34,076,754 | 2.09 | 4.90 | 26,607,162 | 1.70 | 4.22 | ||||||||||||||||||||||||||||
Borrowings | 24,575,223 | 0.21 | 3.38 | 22,970,783 | 1.90 | 3.30 | 12,976,574 | 1.16 | 2.06 | |||||||||||||||||||||||||||||
Call money | 1,865,489 | 0.17 | 0.26 | 1,572,913 | 1.87 | 0.23 | 995,957 | 0.75 | 0.16 | |||||||||||||||||||||||||||||
Debentures | 12,922,301 | 0.18 | 1.78 | 11,978,139 | 2.09 | 1.72 | 8,544,738 | 1.49 | 1.36 | |||||||||||||||||||||||||||||
Others | 1,069,816 | 0.20 | 0.13 | 1,685,165 | 1.46 | 0.24 | 2,029,862 | 0.82 | 0.32 | |||||||||||||||||||||||||||||
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Subtotal | 76,561,419 | 0.20 | 10.52 | 72,283,754 | 2.01 | 10.39 | 51,154,293 | 1.47 | 8.12 | |||||||||||||||||||||||||||||
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Others | Total shareholders’ equity | 91,446,967 | — | 12.57 | 67,612,953 | — | 9.72 | 46,705,724 | — | 7.41 | ||||||||||||||||||||||||||||
Allowances | 997,155 | — | 0.14 | 1,128,687 | — | 0.16 | 1,040,835 | — | 0.17 | |||||||||||||||||||||||||||||
Others | 104,489,953 | — | 14.36 | 104,628,576 | — | 15.04 | 114,646,087 | — | 18.18 | |||||||||||||||||||||||||||||
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Subtotal | 196,934,075 | — | 27.07 | 173,370,216 | — | 24.92 | 162,392,646 | — | 25.76 | |||||||||||||||||||||||||||||
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Total | 727,660,191 | — | 100.00 | 695,779,527 | — | 100.00 | 630,338,834 | — | 100.00 | |||||||||||||||||||||||||||||
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Notes: | (1) | Based on K-IFRS (on a consolidated basis). |
(2) | The figures for the three months ended March 31, 2023 reflect the application of K-IFRS 1117 (Insurance Contracts), a new accounting standard that became effective on January 1, 2023. The figures for the year ended December 31, 2022 above have been restated retrospectively to reflect the application of K-IFRS 1117. However, the figures for the year ended December 31, 2021 have not been restated retrospectively and are based on K-IFRS 1104 (Insurance Contracts). Accordingly, such figures may not be directly comparable with the figures for the three months ended March 31, 2023 and the year ended December 31, 2022. |
Table of Contents
2.2.2. Uses of Funds
(Unit: in millions of Won) | ||||||||||||||||||||||||||||||||||||||
For the three months ended March 31, 2023 | For the year ended December 31, 2022 | For the year ended December 31, 2021 | ||||||||||||||||||||||||||||||||||||
Average Balance | Interest Rate (%) | Ratio (%) | Average Balance | Interest Rate (%) | Ratio (%) | Average Balance | Interest Rate (%) | Ratio (%) | ||||||||||||||||||||||||||||||
Won Currency | Due from banks | 16,090,096 | 0.06 | 2.21 | 16,038,688 | 0.63 | 2.31 | 15,212,672 | 0.30 | 2.41 | ||||||||||||||||||||||||||||
Securities | 192,450,051 | 0.21 | 26.45 | 166,950,909 | 1.17 | 23.99 | 147,320,309 | 1.31 | 23.37 | |||||||||||||||||||||||||||||
Loans | 365,132,570 | 0.29 | 50.18 | 361,188,713 | 3.51 | 51.91 | 340,131,319 | 2.80 | 53.96 | |||||||||||||||||||||||||||||
Guarantee payments under payment guarantee | 2,620 | 0.01 | — | 6,891 | 0.19 | — | 5,053 | 1.31 | — | |||||||||||||||||||||||||||||
Call loan | 174,964 | 0.22 | 0.02 | 694,196 | 2.02 | 0.10 | 695,721 | 0.67 | 0.11 | |||||||||||||||||||||||||||||
Private placement corporate bonds | 963,548 | 0.24 | 0.13 | 828,547 | 3.43 | 0.12 | 882,497 | 3.02 | 0.14 | |||||||||||||||||||||||||||||
Credit cards | 22,833,012 | 0.47 | 3.14 | 22,069,290 | 6.94 | 3.17 | 19,862,308 | 7.09 | 3.15 | |||||||||||||||||||||||||||||
Others | 3,830,104 | 0.97 | 0.53 | 4,438,987 | 9.45 | 0.64 | 4,193,384 | 6.53 | 0.67 | |||||||||||||||||||||||||||||
Allowance | (3,133,394 | ) | — | (0.43 | ) | (2,814,578 | ) | — | (0.40 | ) | (2,480,441 | ) | — | (0.39 | ) | |||||||||||||||||||||||
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Subtotal | 598,343,571 | 0.27 | 82.23 | 569,401,643 | 2.94 | 81.84 | 525,822,822 | 2.51 | 83.42 | |||||||||||||||||||||||||||||
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Foreign Currency | Due from banks | 8,961,624 | 0.11 | 1.23 | 9,239,891 | 0.76 | 1.33 | 6,868,969 | 0.38 | 1.09 | ||||||||||||||||||||||||||||
Securities | 26,185,899 | 0.25 | 3.60 | 20,610,143 | 1.81 | 2.96 | 16,052,962 | 3.90 | 2.55 | |||||||||||||||||||||||||||||
Loans | 39,003,564 | 0.41 | 5.36 | 37,267,941 | 5.32 | 5.36 | 26,409,776 | 5.05 | 4.19 | |||||||||||||||||||||||||||||
Call loan | 6,640,260 | 0.24 | 0.91 | 8,829,592 | 2.12 | 1.27 | 3,275,072 | 0.45 | 0.52 | |||||||||||||||||||||||||||||
Bills bought | 2,090,828 | 0.32 | 0.29 | 2,541,838 | 2.32 | 0.37 | 1,940,984 | 0.73 | 0.31 | |||||||||||||||||||||||||||||
Allowance | (1,288,600 | ) | — | (0.18 | ) | (1,021,192 | ) | — | (0.15 | ) | (978,088 | ) | — | (0.16 | ) | |||||||||||||||||||||||
Others | 3,124,757 | — | 0.43 | 2,248,320 | — | 0.32 | 2,229,707 | — | 0.35 | |||||||||||||||||||||||||||||
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Subtotal | 84,718,332 | 0.31 | 11.64 | 79,716,533 | 3.38 | 11.46 | 55,799,382 | 3.63 | 8.85 | |||||||||||||||||||||||||||||
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Others | Cash | 1,835,666 | — | 0.25 | 1,831,093 | — | 0.26 | 1,917,967 | — | 0.30 | ||||||||||||||||||||||||||||
Fixed assets held for business | 8,519,015 | — | 1.17 | 8,077,249 | — | 1.16 | 8,130,268 | — | 1.29 | |||||||||||||||||||||||||||||
Others | 34,243,607 | — | 4.71 | 36,753,009 | — | 5.28 | 38,668,395 | — | 6.14 | |||||||||||||||||||||||||||||
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Subtotal | 44,598,288 | — | 6.13 | 46,661,351 | — | 6.70 | 48,716,630 | — | 7.73 | |||||||||||||||||||||||||||||
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Total | 727,660,191 | — | 100.00 | 695,779,527 | — | 100.00 | 630,338,834 | — | 100.00 | |||||||||||||||||||||||||||||
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Notes: | (1) | Based on K-IFRS (on a consolidated basis). |
(2) | The figures for the three months ended March 31, 2023 reflect the application of K-IFRS 1117 (Insurance Contracts), a new accounting standard that became effective on January 1, 2023. The figures for the year ended December 31, 2022 above have been restated retrospectively to reflect the application of K-IFRS 1117. However, the figures for the year ended December 31, 2021 have not been restated retrospectively and are based on K-IFRS 1104 (Insurance Contracts). Accordingly, such figures may not be directly comparable with the figures for the three months ended March 31, 2023 and the year ended December 31, 2022. |
Table of Contents
2.3. Other Information to Consider in Making an Investment Decision
2.3.1. Capital Adequacy
KB Financial Group | (Unit: in billions of Won, except percentages) | |||||||||||
As of March 31, 2023 | As of December 31, 2022 | As of December 31, 2021 | ||||||||||
Total capital (A) | 51,916 | 48,970 | 45,883 | |||||||||
Risk-weighted assets (B) | 308,255 | 302,984 | 290,914 | |||||||||
BIS ratio (A/B) | 16.84% | 16.16% | 15.77% |
Notes: | (1) Calculated in accordance with Basel III. |
(2) The figures as of March 31, 2023 are preliminary. |
Kookmin Bank | (Unit: in billions of Won, except percentages) | |||||||||||
As of March 31, 2023 | As of December 31, 2022 | As of December 31, 2021 | ||||||||||
Total capital (A) | 37,941 | 36,233 | 35,572 | |||||||||
Risk-weighted assets (B) | 204,731 | 207,558 | 203,569 | |||||||||
BIS ratio (A/B) | 18.53% | 17.46% | 17.47% |
Note: | Calculated in accordance with Basel III. |
KB Securities Co., Ltd. | (Unit: in billions of Won, except percentages) | |||||||||||
As of March 31, 2023 | As of December 31, 2022 | As of December 31, 2021 | ||||||||||
Net operating capital (A) | 4,620 | 4,554 | 3,982 | |||||||||
Total amount at risk (B) | 2,756 | 2,655 | 2,072 | |||||||||
Maintenance equity margin (C) | 134 | 134 | 134 | |||||||||
Net capital ratio (A-B)/(C) | 1,388.63% | 1,414.74% | 1,422.34% | |||||||||
Capital surplus (A-B) | 1,864 | 1,899 | 1,909 |
KB Insurance Co., Ltd. | (Unit: in billions of Won, except percentages) | |||||||||||
As of March 31, 2023 | As of December 31, 2022 | As of December 31, 2021 | ||||||||||
Available capital (A) | 10,307 | 4,608 | 4,349 | |||||||||
Required capital (B) | 5,503 | 2,684 | 2,424 | |||||||||
Capital Adequacy ratio (A/B)(2) | 187.31% | 171.66% | 179.39% |
Notes: | (1) The figures as of March 31, 2023 are preliminary. |
(2) Pursuant to the change in capital adequacy system from the Risk-Based Capital (“RBC”) system to the Korean Insurance Capital Standard (“K-ICS”) system, the capital adequacy ratio as of March 31, 2023 was calculated based on the K-ICS method, whereas the figures as of December 31, 2022 and December 31, 2021 were calculated based on the RBC method. |
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2.3.2. Overseas Credit Ratings
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
2.3.3. Domestic Credit Ratings
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
2.3.4. Early Retirement Program
To enhance productivity by improving its labor structure, Kookmin Bank implemented a voluntary early retirement program following negotiations with its labor union.
Subsidiary | Date of Retirement | Number of Retired Persons | ||
Kookmin Bank | January 28, 2019 | 615 | ||
January 20, 2020 | 462 | |||
January 30, 2021 | 800 | |||
January 21, 2022 | 674 | |||
January 18, 2023 | 713 |
2.3.5. Other Factors Affecting the Group’s Financial Condition and Results of Operations
The economic outlook for Korea and its financial services sector in 2023 and for the foreseeable future remains highly uncertain as a result of, among others, (i) volatile conditions in the Korean and global economies and financial markets resulting from fluctuations in oil and commodity prices, interest and exchange rate fluctuations, higher inflation and unemployment rates, lower consumer confidence, stock market and real estate market volatility and changes in fiscal and monetary policies, and (ii) adverse conditions in the Korean and global economies and financial markets resulting from Russia’s invasion of Ukraine and its effects on global commodity prices, as well as difficulties faced by certain banks in the United States.
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3. | Financial Information |
3.1. | Consolidated Financial Information |
3.1.1. Consolidated Statements of Financial Position
(Unit: in millions of Won) | ||||||||||||
As of March 31, 2023 | As of December 31, 2022 | As of December 31, 2021 | ||||||||||
Cash and due from financial institutions | 28,955,066 | 32,474,750 | 31,009,374 | |||||||||
Financial assets at fair value through profit or loss | 70,094,713 | 70,092,497 | 66,005,815 | |||||||||
Derivative financial assets | 8,588,694 | 9,446,580 | 3,721,370 | |||||||||
Loans measured at amortized cost | 432,189,440 | 433,038,931 | 417,900,273 | |||||||||
Financial investments | 115,454,094 | 115,452,659 | 104,847,871 | |||||||||
Investments in associates and joint ventures | 660,802 | 682,670 | 448,718 | |||||||||
Insurance assets | 152,547 | 83,304 | — | |||||||||
Reinsurance assets | 1,511,197 | 1,495,966 | — | |||||||||
Property and equipment | 4,956,299 | 4,991,467 | 5,239,898 | |||||||||
Investment property | 3,289,529 | 3,148,340 | 2,514,944 | |||||||||
Intangible assets | 1,984,608 | 1,858,470 | 3,266,357 | |||||||||
Net defined benefit assets | 474,033 | 478,934 | 100,083 | |||||||||
Current income tax assets | 219,172 | 204,690 | 98,798 | |||||||||
Deferred income tax assets | 200,714 | 188,372 | 159,093 | |||||||||
Assets held for sale | 236,818 | 211,758 | 237,318 | |||||||||
Assets of a disposal group held for sale | — | — | 171,749 | |||||||||
Other assets | 22,467,911 | 14,815,438 | 28,174,173 | |||||||||
|
|
|
|
|
| |||||||
Total assets | 691,435,637 | 688,664,826 | 663,895,834 | |||||||||
|
|
|
|
|
| |||||||
Financial liabilities at fair value through profit or loss | 11,842,172 | 12,271,604 | 12,088,980 | |||||||||
Derivative financial liabilities | 8,516,367 | 9,509,769 | 3,682,258 | |||||||||
Deposits | 387,230,486 | 393,928,904 | 372,023,918 | |||||||||
Borrowings | 67,904,471 | 71,717,366 | 56,912,374 | |||||||||
Debentures | 68,546,555 | 68,698,203 | 67,430,188 | |||||||||
Insurance contract liabilities | 47,758,509 | 45,920,012 | 57,165,936 | |||||||||
Reinsurance contract liabilities | 34,209 | 31,728 | — | |||||||||
Provisions | 942,038 | 933,701 | 808,604 | |||||||||
Net defined benefit liabilities | 88,764 | 85,745 | 225,521 | |||||||||
Current income tax liabilities | 132,181 | 998,681 | 662,672 |
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As of March 31, 2023 | As of December 31, 2022 | As of December 31, 2021 | ||||||||||
Deferred income tax liabilities | 2,931,506 | 1,574,954 | 1,470,981 | |||||||||
Other liabilities | 39,268,223 | 28,849,911 | 43,130,482 | |||||||||
|
|
|
|
|
| |||||||
Total liabilities | 635,195,481 | 634,520,578 | 615,601,914 | |||||||||
|
|
|
|
|
| |||||||
Equity attributable to shareholders of the parent company | 54,557,956 | 52,864,146 | 47,460,582 | |||||||||
Share capital | 2,090,558 | 2,090,558 | 2,090,558 | |||||||||
Hybrid securities | 5,032,803 | 4,434,251 | 2,838,221 | |||||||||
Capital surplus | 16,940,689 | 16,940,731 | 16,940,231 | |||||||||
Accumulated other comprehensive income (loss) | 1,788,167 | 1,312,522 | 1,047,274 | |||||||||
Accumulated other comprehensive income relating to assets of a disposal group held for sale | — | — | 7,671 | |||||||||
Retained earnings | 29,813,672 | 28,922,272 | 25,672,815 | |||||||||
Treasury shares | (1,107,933 | ) | (836,188 | ) | (1,136,188 | ) | ||||||
Non-controlling interests | 1,682,200 | 1,280,102 | 833,338 | |||||||||
|
|
|
|
|
| |||||||
Total equity | 56,240,156 | 54,144,248 | 48,293,920 | |||||||||
|
|
|
|
|
| |||||||
Total liabilities and equity | 691,435,637 | 688,664,826 | 663,895,834 | |||||||||
|
|
|
|
|
|
Notes: (1) | The figures as of March 31, 2023 reflect the application of K-IFRS 1117 (Insurance Contracts). The figures as of December 31, 2022 have been restated retrospectively to reflect the application of K-IFRS 1117. |
(2) | The figures as of December 31, 2021 are based on K-IFRS 1104 (Insurance Contracts). Accordingly, such figures may not be directly comparable with the figures as of March 31, 2023 and December 31, 2022. |
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3.1.2. Consolidated Statements of Comprehensive Income
(Unit: in millions of Won, except per share amounts) | ||||||||||||||||
For the three months ended March 31, 2023 | For the three months ended March 31, 2022 | For the year ended December 31, 2022 | For the year ended December 31, 2021 | |||||||||||||
Net interest income | 2,785,593 | 2,651,511 | 11,393,422 | 11,229,572 | ||||||||||||
Interest income | 6,866,583 | 4,306,312 | 20,787,577 | 15,210,878 | ||||||||||||
Interest income from financial instruments at fair value through other comprehensive income and amortized cost | 6,527,556 | 4,112,607 | 19,841,175 | 14,620,490 | ||||||||||||
Interest income from financial instruments at fair value through profit or loss | 333,477 | 188,737 | 929,735 | 590,388 | ||||||||||||
Insurance finance interest income | 5,550 | 4,968 | 16,665 | — | ||||||||||||
Interest expense | (4,080,990 | ) | (1,654,801 | ) | (9,394,155 | ) | (3,981,306 | ) | ||||||||
Interest expense | (3,639,879 | ) | (1,270,702 | ) | (7,776,631 | ) | (3,981,306 | ) | ||||||||
Insurance finance interest expense | (441,111 | ) | (384,099 | ) | (1,617,524 | ) | — | |||||||||
Net fee and commission income | 914,006 | 957,256 | 3,514,902 | 3,625,583 | ||||||||||||
Fee and commission income | 1,334,702 | 1,334,929 | 5,125,930 | 5,323,606 | ||||||||||||
Fee and commission expense | (420,696 | ) | (377,673 | ) | (1,611,028 | ) | (1,698,023 | ) | ||||||||
Insurance service result | 380,647 | 395,876 | 1,334,090 | 556,711 | ||||||||||||
Insurance income | 2,662,112 | 2,347,579 | 10,066,863 | 16,107,858 | ||||||||||||
Insurance income | 2,497,526 | 2,281,647 | 9,544,474 | 16,107,858 | ||||||||||||
Reinsurance income | 164,586 | 65,932 | 522,389 | — | ||||||||||||
Insurance expense | (2,281,465 | ) | (1,951,703 | ) | (8,732,773 | ) | (15,551,147 | ) | ||||||||
Insurance service expense | (2,083,964 | ) | (1,789,772 | ) | (7,961,019 | ) | (15,551,147 | ) | ||||||||
Reinsurance expense | (197,501 | ) | (161,931 | ) | (771,754 | ) | — | |||||||||
Net gains (losses) on financial assets/liabilities at fair value through profit or loss | 773,407 | (325,529 | ) | (1,133,475 | ) | 995,304 | ||||||||||
Net gains (losses) on financial instruments at fair value through profit or loss before applying overlay approach | 773,407 | (325,529 | ) | (1,133,475 | ) | 1,160,981 | ||||||||||
Gains (losses) on overlay adjustments | — | — | — | (165,677 | ) | |||||||||||
Other insurance finance income (expenses) from contract held | (234,030 | ) | 274,829 | 897,441 | — | |||||||||||
Net other operating expenses | (260,124 | ) | (416,307 | ) | (2,268,465 | ) | (1,923,567 | ) | ||||||||
General and administrative expenses | (1,566,286 | ) | (1,481,378 | ) | (6,643,654 | ) | (7,200,853 | ) | ||||||||
Operating income before provision for credit losses | 2,793,213 | 2,056,258 | 7,094,261 | 7,282,750 | ||||||||||||
Provision for credit losses | (668,188 | ) | (145,849 | ) | (1,847,775 | ) | (1,185,133 | ) | ||||||||
Net operating income | 2,125,025 | 1,910,409 | 5,246,486 | 6,097,617 | ||||||||||||
Net non-operating income (expenses) | (96,161 | ) | 9,276 | 160,569 | (16,011 | ) |
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For the three months ended March 31, 2023 | For the three months ended March 31, 2022 | For the year ended December 31, 2022 | For the year ended December 31, 2021 | |||||||||||||
Share of profit (loss) of associates and joint ventures | (2,496 | ) | 8,132 | (28,755 | ) | 93,526 | ||||||||||
Net other non-operating income (expenses) | (93,665 | ) | 1,144 | 189,324 | (109,537 | ) | ||||||||||
Profit before income tax expense | 2,028,864 | 1,919,685 | 5,407,055 | 6,081,606 | ||||||||||||
Income tax expense | (529,650 | ) | (448,151 | ) | (1,506,961 | ) | (1,697,225 | ) | ||||||||
Profit for the period | 1,499,214 | 1,471,534 | 3,900,094 | 4,384,381 | ||||||||||||
Other comprehensive income (loss) for the period, net of tax | 486,208 | 213,032 | 146,661 | 222,758 | ||||||||||||
Items that will not be reclassified to profit or loss: | (44,259 | ) | (229,300 | ) | 60,938 | 871,654 | ||||||||||
Remeasurements of net defined benefit liabilities | 5,828 | (10,685 | ) | 239,701 | (45,510 | ) | ||||||||||
Share of other comprehensive income (loss) of associates and joint ventures | (2 | ) | — | 183 | 51 | |||||||||||
Gains (losses) on equity securities at fair value through other comprehensive income | (110 | ) | (217,801 | ) | (217,801 | ) | 903,398 | |||||||||
Fair value changes of financial liabilities designated at fair value through profit or loss due to own credit risk | (49,975 | ) | (814 | ) | 38,855 | 13,715 | ||||||||||
Items that may be reclassified subsequently to profit or loss: | 530,467 | 442,332 | 85,723 | (648,896 | ) | |||||||||||
Currency translation differences | 115,819 | 83,945 | 165,568 | 255,907 | ||||||||||||
Gains (losses) on debt securities at fair value through other comprehensive income | 1,525,457 | (2,331,605 | ) | (6,057,152 | ) | (924,698 | ) | |||||||||
Share of other comprehensive income (loss) of associates and joint ventures | (4,158 | ) | 77 | (545 | ) | 498 | ||||||||||
Gains (losses) on cash flow hedging instruments | (35,465 | ) | 27,996 | 26,168 | 20,864 | |||||||||||
Gains (losses) on hedging instruments of net investments in foreign operations | (30,133 | ) | (24,166 | ) | (79,085 | ) | (57,935 | ) | ||||||||
Insurance finance income (expenses) | (1,041,053 | ) | 2,686,085 | 6,030,769 | — | |||||||||||
Other comprehensive losses arising from separate account | — | — | — | (63,814 | ) | |||||||||||
Gains (losses) on overlay adjustment | — | — | — | 120,282 | ||||||||||||
Total comprehensive income for the period | 1,985,422 | 1,684,566 | 4,046,755 | 4,607,139 | ||||||||||||
Profit attributable to: | 1,499,214 | 1,471,534 | 3,900,094 | 4,384,381 | ||||||||||||
Shareholders of the parent company | 1,497,631 | 1,460,572 | 4,121,685 | 4,409,543 | ||||||||||||
Non-controlling interests | 1,583 | 10,962 | (221,591 | ) | (25,162 | ) | ||||||||||
Total comprehensive income for the period attributable to: | 1,985,422 | 1,684,566 | 4,046,755 | 4,607,139 | ||||||||||||
Shareholders of the parent company | 1,972,718 | 1,665,256 | 4,254,807 | 4,610,549 | ||||||||||||
Non-controlling interests | 12,704 | 19,310 | (208,052 | ) | (3,410 | ) |
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For the three months ended March 31, 2023 | For the three months ended March 31, 2022 | For the year ended December 31, 2022 | For the year ended December 31, 2021 | |||||||||||||
Earnings per share | ||||||||||||||||
Basic earnings per share (Won) | 3,754 | 3,691 | 10,254 | 11,134 | ||||||||||||
Diluted earnings per share (Won) | 3,669 | 3,609 | 10,021 | 10,890 |
Notes: (1) | The figures for the three months ended March 31, 2023 reflect the application of K-IFRS 1117 (Insurance Contracts). The figures for the three months ended March 31, 2022 and year ended December 31, 2022 above have been restated retrospectively to reflect the application of K-IFRS 1117. |
(2) | The figures for the year ended December 31, 2021 are based on K-IFRS 1104 (Insurance Contracts). Accordingly, such figures may not be directly comparable with the figures for the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022. |
Table of Contents
3.2. | Separate Financial Information |
3.2.1. Separate Statements of Financial Position
(Unit: in millions of Won) | ||||||||||||
As of March 31, 2023 | As of December 31, 2022 | As of December 31, 2021 | ||||||||||
Cash and due from financial institutions | 2,685,830 | 351,056 | 608,076 | |||||||||
Financial assets at fair value through profit or loss | 1,255,218 | 1,522,314 | 440,760 | |||||||||
Loans measured at amortized cost | 522,326 | 522,326 | 249,128 | |||||||||
Investments in subsidiaries | 26,741,438 | 26,741,438 | 26,741,438 | |||||||||
Property and equipment | 3,203 | 3,552 | 4,444 | |||||||||
Intangible assets | 16,167 | 16,752 | 16,673 | |||||||||
Net defined benefit assets | 3,916 | 4,288 | 221 | |||||||||
Deferred income tax assets | 9,206 | 19,904 | 5,583 | |||||||||
Other assets | 1,403,005 | 1,272,197 | 805,056 | |||||||||
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|
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|
|
| |||||||
Total assets | 32,640,309 | 30,453,827 | 28,871,379 | |||||||||
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|
|
|
|
| |||||||
Debentures | 4,548,210 | 4,956,949 | 5,552,791 | |||||||||
Current income tax liabilities | 1,087,373 | 926,573 | 570,519 | |||||||||
Other liabilities | 868,847 | 338,489 | 235,095 | |||||||||
|
|
|
|
|
| |||||||
Total liabilities | 6,504,430 | 6,222,011 | 6,358,405 | |||||||||
|
|
|
|
|
| |||||||
Share capital | 2,090,558 | 2,090,558 | 2,090,558 | |||||||||
Hybrid securities | 5,032,518 | 4,433,981 | 2,837,981 | |||||||||
Capital surplus | 14,754,747 | 14,754,747 | 14,754,747 | |||||||||
Accumulated other comprehensive loss | (5,830 | ) | (5,847 | ) | (8,330 | ) | ||||||
Retained earnings | 5,371,819 | 3,794,565 | 3,974,206 | |||||||||
Treasury Shares | (1,107,933 | ) | (836,188 | ) | (1,136,188 | ) | ||||||
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|
|
|
|
| |||||||
Total equity | 26,135,879 | 24,231,816 | 22,512,974 | |||||||||
|
|
|
|
|
| |||||||
Total liabilities and equity | 32,640,309 | 30,453,827 | 28,871,379 | |||||||||
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|
|
|
|
|
Table of Contents
3.2.2. Separate Statements of Comprehensive Income
(Unit: in millions of Won, except per share amounts) | ||||||||||||||||
For the three months ended March 31, 2023 | For the three months ended March 31, 2022 | For the year ended December 31, 2022 | For the year ended December 31, 2021 | |||||||||||||
Net interest expense | (20,054 | ) | (24,742 | ) | (92,951 | ) | (111,077 | ) | ||||||||
Interest income | 6,670 | 3,116 | 19,402 | 9,392 | ||||||||||||
Interest income from financial instruments at amortized cost | 5,551 | 2,455 | 16,525 | 6,548 | ||||||||||||
Interest income from financial instruments at fair value through profit or loss | 1,119 | 661 | 2,877 | 2,844 | ||||||||||||
Interest expense | (26,724 | ) | (27,858 | ) | (112,353 | ) | (120,469 | ) | ||||||||
Net fee and commission expense | (1,247 | ) | (767 | ) | (8,686 | ) | (8,157 | ) | ||||||||
Fee and commission income | 372 | 803 | 3,399 | 975 | ||||||||||||
Fee and commission expense | (1,619 | ) | (1,570 | ) | (12,085 | ) | (9,132 | ) | ||||||||
Net gains (losses) on financial assets at fair value through profit or loss | 45,428 | (425 | ) | (11,794 | ) | 20,250 | ||||||||||
Net other operating income | 2,192,380 | 1,671,224 | 1,871,224 | 1,620,238 | ||||||||||||
General and administrative expenses | (22,902 | ) | (22,721 | ) | (89,149 | ) | (85,417 | ) | ||||||||
Operating profit before provision for credit losses | 2,193,605 | 1,622,569 | 1,668,644 | 1,435,837 | ||||||||||||
Reversal of provision (Provision) for credit losses | — | 3 | (303 | ) | (417 | ) | ||||||||||
Operating profit | 2,193,605 | 1,622,572 | 1,668,341 | 1,435,420 | ||||||||||||
Net non-operating income (expense) | 13 | (96 | ) | 908 | 1,165 | |||||||||||
Profit before income tax | 2,193,618 | 1,622,476 | 1,669,249 | 1,436,585 | ||||||||||||
Income tax income (expense) | (10,691 | ) | 1,329 | 15,263 | 2,281 | |||||||||||
Profit for the year | 2,182,927 | 1,623,805 | 1,684,512 | 1,438,866 | ||||||||||||
Other comprehensive income (loss) for the year, net of tax | 17 | (112 | ) | 2,483 | (298 | ) | ||||||||||
Items that will not be reclassified to profit or loss: | 17 | (112 | ) | 2,483 | (298 | ) | ||||||||||
Remeasurements of net defined benefit liabilities | 17 | (112 | ) | 2,483 | (298 | ) | ||||||||||
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|
|
|
|
|
|
| |||||||||
Total comprehensive income for the year | 2,182,944 | 1,623,693 | 1,686,995 | 1,438,568 | ||||||||||||
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|
|
|
|
|
|
| |||||||||
Earnings per share | ||||||||||||||||
Basic earnings per share (Won) | 5,520 | 4,110 | 3,999 | 3,509 | ||||||||||||
Diluted earnings per share (Won) | 5,394 | 4,019 | 3,912 | 3,436 |
Table of Contents
3.3. | Other Selected Financial Data |
3.3.1. Won-denominated Liquidity Ratio
(Unit: in millions of Won, except percentages) | ||||||||||||
As of March 31, 2023 | As of December 31, 2022 | As of December 31, 2021 | ||||||||||
Current assets in Won (A) | 3,641,720 | 959,935 | 713,908 | |||||||||
Current liabilities in Won (B) | 1,426,140 | 592,727 | 317,184 | |||||||||
Liquidity ratio (A/B) | 255.36 | % | 161.95 | % | 225.08 | % |
Notes: (1) | Based on K-IFRS (on a separate basis). |
(2) | Calculated based on Won-denominated assets and liabilities due within one month. |
3.3.2. Profitability Ratios
(Unit: %) | ||||||||
For the three months ended March 31, 2023 | For the year ended | For the year ended | ||||||
Net income as a percentage of average total assets (ROA) | 0.88 | 0.60 | 0.69 | |||||
Net income as a percentage of average shareholders’ equity (ROE) | 11.31 | 9.24 | 9.80 |
Note: | Based on K-IFRS (on a consolidated basis). |
3.3.3. 20 Largest Exposures of Kookmin Bank by Borrower (As of March 31, 2023)
(Unit: in billions of Won) | ||||
Company | Credit Extended | |||
LG Display Co., Ltd. | 2,572 | |||
KB Kookmin Card Co., Ltd. | 1,287 | |||
Samsung Heavy Industries Co., Ltd. | 1,194 | |||
Hyundai Heavy Industries Co., Ltd. | 1,165 | |||
E-MART Inc. | 1,140 | |||
Samsung Electronics Co., Ltd. | 1,137 | |||
Strada Holdco L.P. | 971 | |||
Hyundai Steel Co., Ltd. | 927 | |||
SK Inc | 881 | |||
POSCO International Corporation | 842 | |||
Samsung SDI Co., Ltd. | 815 | |||
Hyundai Motor Company | 796 | |||
Hyundai Samho Heavy Industries Co.,Ltd. | 730 | |||
GS Caltex Corporation | 716 | |||
Shinhan Card Co., Ltd. | 688 | |||
SK on Co., Ltd. | 680 | |||
LG CHEM, LTD. | 675 | |||
Daewoo Shipbuilding &Marine Engineering Co., Ltd. | 656 | |||
SK hynix Inc. | 628 | |||
LOTTE Property & Development Co., Ltd. | 618 | |||
|
| |||
Total | 19,118 | |||
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|
Table of Contents
3.3.4. 10 Largest Exposures of Kookmin Bank by Chaebol Group (As of March 31, 2023)
(Unit: in billions of Won) | ||||
Group | Credit Extended | |||
SK | 5,890 | |||
Samsung | 4,699 | |||
Hyundai Motor | 4,393 | |||
LG | 4,292 | |||
Lotte | 3,332 | |||
Hyundai Heavy Industries | 3,316 | |||
Hanwha | 1,970 | |||
POSCO | 1,884 | |||
Shinsegae | 1,479 | |||
GS | 1,443 | |||
|
| |||
Total | 32,698 | |||
|
|
3.3.5. Kookmin Bank’s Loan Concentration by Industry (As of March 31, 2023)
(Unit: in billions of Won, except percentages) | ||||||||
Industry | Total Credit | Percentage of Total Credit | ||||||
Manufacturing | 55,529 | 28.0 | ||||||
Construction | 4,402 | 2.2 | ||||||
Real estate activities | 47,564 | 24.0 | ||||||
Wholesale and retail trade | 29,818 | 15.0 | ||||||
Accommodation and food service activities | 10,311 | 5.2 | ||||||
Financial activities | 6,891 | 3.5 | ||||||
Others | 43,741 | 22.1 | ||||||
|
|
|
| |||||
Total | 198,255 | 100.0 | ||||||
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Table of Contents
3.3.6. Top 20 Non-Performing Loans of Kookmin Bank (As of March 31, 2023)
(Unit: in billions of Won) | ||||||||||
Borrower | Industry | Total Credit | Allowance for Loan Losses | |||||||
Borrower A | Construction | 40.1 | 39.3 | |||||||
Borrower B | Wholesale and retail trade | 18.6 | 15.2 | |||||||
Borrower C | Manufacturing | 8.8 | 3.1 | |||||||
Borrower D | Real estate activities | 8.0 | 1.7 | |||||||
Borrower E | Professional, scientific and technical services | 7.9 | 0.8 | |||||||
Borrower F | Manufacturing | 7.0 | 3.3 | |||||||
Borrower G | Manufacturing | 6.8 | 3.9 | |||||||
Borrower H | Wholesale and retail trade | 6.0 | 0.2 | |||||||
Borrower I | Accommodation and food service activities | 6.0 | 0.5 | |||||||
Borrower J | Human health and social work activities | 5.6 | 0.2 | |||||||
Borrower K | Manufacturing | 5.1 | 1.3 | |||||||
Borrower L | Manufacturing | 5.0 | 2.8 | |||||||
Borrower M | Manufacturing | 4.8 | 2.4 | |||||||
Borrower N | Membership organizations, repair and other personal services | 4.5 | 1.8 | |||||||
Borrower O | Manufacturing | 4.4 | 0.1 | |||||||
Borrower P | Real estate activities | 4.3 | 3.3 | |||||||
Borrower Q | Real estate activities | 4.2 | 1.1 | |||||||
Borrower R | Wholesale and retail trade | 3.8 | 2.0 | |||||||
Borrower S | Manufacturing | 3.7 | 0.2 | |||||||
Borrower T | Manufacturing | 3.6 | 0.2 | |||||||
|
|
|
| |||||||
Total | — | 158.3 | 83.3 | |||||||
|
|
|
|
3.4. | Other Financial Information |
See Exhibits 99.1 and 99.2 attached hereto for our consolidated and separate financial statements and relevant notes, which have been prepared in accordance with K-IFRS and reviewed by our independent auditors as stated in their review reports. The review reports will also be available on our website at www.kbfg.com.
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4. | Independent Public Accountants |
4.1. | Audit / Review Services |
(Unit: in millions of Won) | ||||||||||||||||||||
Period | Auditor | Activity | Agreed Per Contract(1) | Actual(2) | ||||||||||||||||
Compensation(3) | Estimated Hours | Compensation(3) | Accrued Hours | |||||||||||||||||
January 1 to March 31, 2023 | Samil PricewaterhouseCoopers | Quarterly, semi-annual and annual review & audit, review of internal accounting management system (including audit of internal control over financial reporting) | 1,264 | 11,675 | 410 | 1,580 | ||||||||||||||
January 1 to December 31, 2022 | KPMG Samjong Accounting Corp. | Quarterly, semi-annual and annual review & audit, review of internal accounting management system (including audit of internal control over financial reporting) | 1,291 | 11,364 | 1,291 | 11,028 | ||||||||||||||
January 1 to December 31, 2021 | KPMG Samjong Accounting Corp. | Quarterly, semi-annual and annual review & audit, review of internal accounting management system (including audit of internal control over financial reporting) | 1,261 | 11,364 | 1,261 | 11,451 |
Notes: | (1) | Total compensation and estimated hours are established at the time of the execution of the audit and review services contract. | ||
(2) | Actual compensation and hours are accrued from January 1 of each applicable year to the date of the audit or review report issued during such year. | |||
(3) | Excluding value-added taxes. |
4.2. | Public Company Accounting Oversight Board (“PCAOB”) Audit Services |
(Unit: in millions of Won) | ||||||||||
Period | Auditor | Activity | Service Period | Compensation(1) | ||||||
January 1 to March 31, 2023 | Samil Pricewaterhouse Coopers | PCAOB audit of consolidated financial statements and internal control over financial reporting | May 1, 2023 to April 30, 2024 | 784 | ||||||
January 1 to December 31, 2022 | KPMG Samjong Accounting Corp. | PCAOB audit of consolidated financial statements and internal control over financial reporting | May 1, 2022 to April 30, 2023 | 697 | ||||||
January 1 to December 31, 2021 | KPMG Samjong Accounting Corp. | PCAOB audit of consolidated financial statements and internal control over financial reporting | May 1, 2021 to April 30, 2022 | 681 |
Note: | (1) Total compensation (excluding value-added taxes) is established at the time of the execution of the audit and review services contract. |
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4.3. | Change in Auditor |
Pursuant to the Act on External Audit of Stock Companies and the related regulations thereunder, the Securities and Futures Commission under the Financial Services Commission had designated KPMG Samjong Accounting Corp. as the external auditor for the Company for the fiscal years ended December 31, 2020, 2021 and 2022. Following the end of KPMG Samjong Accounting Corp.’s designated period as the auditor, the Company selected Samil PricewaterhouseCoopers to be its new external auditor for the fiscal years ending December 31, 2023, 2024 and 2025, in accordance with the criteria and processes set forth by relevant laws and regulations. As such, the external auditor for the Company and its subsidiaries for the fiscal year ending December 31, 2023 is Samil PricewaterhouseCoopers.
5. | Corporate Governance and Affiliated Companies |
5.1. | Board of Directors & Committees under the Board |
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
5.2. | Audit Committee |
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
5.3. | Compensation to Directors |
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
5.4. | Top 5 Highest-Paid Individuals |
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
5.5. | Affiliated Companies |
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
6. | Directors, Senior Management and Employees |
6.1. | Executive Directors |
As of March 31, 2023, we had one executive director. The name, position and the end of the term of our executive director and the number of shares of our common stock he owned as of March 31, 2023 are set forth below.
Name | Date of Birth | Position | Common Shares Owned | End of Term | ||||
Jong Kyoo Yoon | October 1955 | Chairman & Chief Executive Officer | 21,000 | November 20, 2023 |
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6.2. | Non-standing Directors |
As of March 31, 2023, we had one non-standing director. The name, position and the end of the term of our non-standing director and the number of shares of our common stock he owned as of March 31, 2023 are set forth below.
Name | Date of Birth | Position | Common Shares Owned | End of Term(1) | ||||
Jae Keun Lee | May 1966 | Non-standing Director | 1,119 | March 24, 2024 |
Note: (1) | The date designated as Mr. Jae Keun Lee’s end of term is the date of the annual general meeting of shareholders for fiscal year 2023, which is expected be held in March 2024. |
6.3. | Non-executive Directors |
As of March 31, 2023, we had seven non-executive directors. The name, position and the end of the term of our non-executive directors and the number of shares of our common stock they respectively owned as of March 31, 2023 were as follows.
Name | Date of Birth | Position | Common Shares Owned | End of Term | ||||||
Kyung Ho Kim | December 1954 | Non-executive Director | — | March 23, 2024 | ||||||
Seon-joo Kwon | November 1956 | Non-executive Director | — | March 24, 2024 | ||||||
Whajoon Cho | February 1957 | Non-executive Director | — | March 23, 2025 | ||||||
Gyutaeg Oh | February 1959 | Non-executive Director | — | March 23, 2024 | ||||||
Jungsung Yeo | April 1960 | Non-executive Director | — | March 23, 2025 | ||||||
Jaehong Choi | August 1962 | Non-executive Director | — | March 24, 2024 | ||||||
Sung-Yong Kim | March 1966 | Non-executive Director | — | March 23, 2025 |
6.4. | Senior Management |
Members of our senior management as of March 31, 2023 are as follows.
Name | Date of Birth | Position | Common Shares Owned(1) | End of Term | ||||||
Jong Hee Yang | June 1961 | Vice Chairman and Head of Retail Customer / Wealth Management & Pension / Small & Medium Enterprise Business Units | 914 | December 31, 2023 | ||||||
Yin Hur | December 1961 | Vice Chairman and Head of Global / Insurance Business Units | 13,506 | December 31, 2023 | ||||||
Dong Cheol Lee | October 1961 | Vice Chairman and Head of Digital / IT Business Units | 3,325 | December 31, 2023 | ||||||
Scott Y.H. Seo | March 1966 | Senior Managing Director and Chief Finance Officer | — | December 31, 2023 | ||||||
Cheal Soo Choi | October 1966 | Senior Executive Vice President and Chief Risk Management Officer | 4 | December 31, 2024 |
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Name | Date of Birth | Position | Common Shares Owned(1) | End of Term | ||||||
Dong Whan Han | January 1965 | Senior Executive Vice President and Head of KB Research | 1,100 | December 31, 2023 | ||||||
Se Min Kim | January 1971 | Senior Managing Director and Chief Strategy Officer | 174 | December 31, 2023 | ||||||
Bong Joong Kwon | November 1969 | Senior Managing Director and Head of IR | 286 | December 31, 2023 | ||||||
Yeo Woon Yoon | April 1967 | Senior Managing Director and Chief Human Resources Officer | 609 | December 31, 2023 | ||||||
Hye Ja Seo | September 1966 | Senior Managing Director and Chief Compliance Officer | 1,356 | December 31, 2024 | ||||||
Jin Gyu Maeng | January 1966 | Senior Managing Director and Head of Audit | 1,054 | December 31, 2023 | ||||||
Hye Sook Moon | September 1971 | Managing Director and Head of ESG Division | 652 | December 31, 2023 | ||||||
Byung Joo Oh | January 1973 | Managing Director, Insurance Business Unit | 940 | December 31, 2023 | ||||||
Jeong Rim Park | November 1963 | Head of the Capital Market Business Unit | 3,150 | December 31, 2023 | ||||||
Sung Hyun Kim | August 1963 | Head of Corporate and Investment Banking Business Unit | 15,468 | December 31, 2023 | ||||||
Hyun Seung Lee | November 1966 | Head of Asset Management Business Unit | — | December 31, 2023 | ||||||
Jin Young Kim | August 1969 | Chief Public Relations Officer | 765 | December 31, 2023 | ||||||
Mun Cheol Jeong | August 1968 | Senior Executive Vice President, Retail Customer Business Unit | 3,092 | December 31, 2023 | ||||||
Jae Young Choi | June 1967 | Senior Executive Vice President, Wealth Management and Pension Business Unit | 980 | December 31, 2023 | ||||||
Sung Ki Kwon | July 1966 | Senior Executive Vice President, Small and Medium Enterprise Business Unit | 568 | December 31, 2023 | ||||||
Nam Hoon Cho | June 1968 | Chief Global Strategy Officer | 1,000 | December 31, 2023 | ||||||
Young Suh Cho | February 1971 | Chief Digital Platform Officer | 1,000 | December 31, 2023 | ||||||
Jin Soo Yoon | February 1964 | Chief Information Technology Officer | 375 | December 31, 2023 | ||||||
Chang Hwa Yook | December 1967 | Chief Data Officer | 545 | December 31, 2023 | ||||||
Sung Pyo Jeon | August 1966 | Chief Customer Contact Officer | 976 | December 31, 2023 | ||||||
Jeong Ha | January 1967 | Senior Executive Vice President, Capital Market Business Unit | — | December 31, 2023 | ||||||
Soon Bae Kang | August 1964 | Senior Executive Vice President, Corporate and Investment Banking Business Unit | 1,290 | December 31, 2023 | ||||||
Nam Che Kang | August 1967 | Head of Global Division | 485 | December 31, 2023 | ||||||
Yoon Ha | March 1971 | Head of Customer Experience Design Center | — | December 31, 2023 | ||||||
Yoo Shim Hur | April 1973 | Head of Digital Contents Center | — | December 31, 2023 | ||||||
Ki Eun Park | September 1970 | Head of Tech Innovation Center | 258 | December 31, 2023 | ||||||
Joo Hyun Kim | November 1970 | Head of Group Cloud Center | 122 | December 31, 2023 | ||||||
Soon Young Oh | August 1977 | Head of Financial AI Center | — | December 31, 2023 | ||||||
Chan Yong Park | September 1965 | Head of Office of Planning and Coordination | 1,011 | December 31, 2023 | ||||||
Min Hyuk Kang | January 1970 | Head of Office of Capital Market Planning | 690 | December 31, 2023 |
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Note: | (1) The number of common shares owned is as of March 31, 2023 and includes those owned in the holder’s name under the employee stock ownership association’s account, and may differ from the number of shares owned as reported pursuant to Article 173 of the Financial Investment Services and Capital Markets Act. |
As of March 31, 2023, the following management also served as senior management at our subsidiaries.
Name | Subsidiary | Position | Appointment Date | |||
Jae Keun Lee | Kookmin Bank | Chief Executive Officer | January 2022 | |||
Jeong Rim Park | KB Securities | Chief Executive Officer | January 2019 | |||
Sung Hyun Kim | KB Securities | Chief Executive Officer | January 2019 | |||
Hyun Seung Lee | KB Asset Management | Chief Executive Officer | January 2018 | |||
Hye Sook Moon | Kookmin Bank | Head of ESG Division | January 2022 | |||
Jin Young Kim | Kookmin Bank | Senior Managing Director; Brand Strategy Group | January 2023 | |||
Mun Cheol Jeong | Kookmin Bank | Senior Executive Vice President; Retail Customer Group | January 2023 | |||
Jae Young Choi | Kookmin Bank | Senior Executive Vice President; Wealth Management Group | January 2023 | |||
KB Securities | Senior Executive Vice President; Wealth Management Division | January 2023 | ||||
KB Insurance | Senior Executive Vice President; WM/Pension Division | January 2023 | ||||
Sung Ki Kwon | Kookmin Bank | Senior Executive Vice President; SME and SOHO Customer Group | January 2023 | |||
Nam Hoon Cho | Kookmin Bank | Senior Managing Director; Global Business Group | January 2021 | |||
Young Suh Cho | Kookmin Bank | Senior Managing Director; DT Strategy Division | January 2021 | |||
Jin Soo Yoon | Kookmin Bank | Senior Executive Vice President; Tech Group | January 2021 | |||
Chang Hwa Yook | Kookmin Bank | Senior Managing Director; Data/AI Division | January 2023 | |||
Sungpyo Jeon | Kookmin Bank | Senior Managing Director; Smart Customer Group | January 2023 | |||
Jeong Ha | Kookmin Bank | Senior Executive Vice President; Capital Markets Group | January 2021 | |||
KB Securities | Senior Executive Vice President; Sales and Trading Group | January 2023 | ||||
Soon Bae Kang | Kookmin Bank | Senior Executive Vice President; Corporate Investment Banking Customer Group | January 2023 | |||
KB Securities | Senior Executive Vice President; Investment Banking Group | January 2023 | ||||
Nam Che Kang | Kookmin Bank | Head of Global Growth Supporting Division | January 2022 | |||
Yoon Ha | Kookmin Bank | Head of Customer Experience Design Center | January 2022 | |||
Yoo Shim Hur | Kookmin Bank | Managing Director; Digital Contents Center | January 2022 | |||
Ki Eun Park | Kookmin Bank | Senior Managing Director; Technology Innovation Division | July 2021 | |||
Joo Hyun Kim | Kookmin Bank | Head of Cloud Platform Department | February 2022 | |||
Soon Young Oh | Kookmin Bank | Managing Director; Financial AI Center | June 2022 |
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Chan Yong Park | Kookmin Bank | Senior Managing Director; Planning & Coordination Department | January 2022 | |||
Min Hyuk Kang | Kookmin Bank | Head of Trading and Capital Markets Planning Department | January 2023 | |||
KB Securities | Managing Director; Capital Markets Planning Department | January 2023 | ||||
Se Min Kim | KB Securities | Non-standing Director | June 2022 | |||
KB Life Insurance | Non-standing Director | August 2022 | ||||
Scott Y.H. Seo | KB Insurance | Non-standing Director | February 2022 | |||
KB Kookmin Card | Non-standing Director | March 2022 |
6.5. | Employees |
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
7. | Major Shareholders and Related Party Transactions |
7.1. | Major Shareholders |
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
7.2. | Changes in the Largest Shareholder |
(Unit: shares, %) | ||||||||||
Name of Largest Shareholder | Date of Change in Largest Shareholder/ Date of Change in Number of Shares Owned | Number of Shares of Common Stock(1) | Percentage of Total Issued Shares(2) | |||||||
Korean National Pension Service | December 31, 2019 | 41,468,003 | 9.97 | |||||||
Korean National Pension Service | February 1, 2020 | 41,462,588 | (3) | 9.97 | ||||||
Korean National Pension Service | October 12, 2020 | 41,402,150 | 9.96 | |||||||
Korean National Pension Service | December 31, 2020 | 41,287,280 | 9.93 | |||||||
Korean National Pension Service | June 30, 2021 | 40,626,942 | 9.77 | |||||||
Korean National Pension Service | December 31, 2021 | 37,626,516 | 9.05 | |||||||
Korean National Pension Service | January 27, 2022 | 37,188,199 | (4) | 8.94 | ||||||
Korean National Pension Service | March 31, 2022 | 36,008,504 | 8.73 | |||||||
Korean National Pension Service | June 30, 2022 | 33,830,623 | 8.20 | |||||||
Korean National Pension Service | September 30, 2022 | 32,594,691 | 7.97 | |||||||
Korean National Pension Service | October 12, 2022 | 32,457,827 | (5) | 7.94 | ||||||
Korean National Pension Service | December 31, 2022 | 32,499,151 | 7.95 | |||||||
Korean National Pension Service | March 31, 2023 | 33,572,593 | 8.21 |
Notes: | (1) | Based on our shareholder registry as of the end of each applicable year unless specified otherwise. |
(2) | Total number of shares of common stock issued as of the following dates: |
From October 19, 2016 to December 12, 2019: 418,111,537
From December 12, 2019 to February 14, 2022: 415,807,920
From February 14, 2022 to August 1, 2022: 412,352,494
After August 1, 2022: 408,897,068
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(3) | Based on disclosure made by the Korean National Pension Service in a statement of acquisition filing on February 7, 2020. |
(4) | Based on disclosure made by the Korean National Pension Service in a statement of disposal filing on February 4, 2022. |
(5) | Based on disclosure made by the Korean National Pension Service in a statement of disposal filing on November 2, 2022. |
7.3. | Employee Stock Ownership Association |
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
7.4. | Investments in Affiliated Companies |
[Not required to be disclosed in quarterly reports pursuant to Korean regulations]
7.5. | Related Party Transactions |
7.5.1. Purchase of capital securities issued by KB Securities Co., Ltd.
(Unit: in billions of Won) | ||||||||||||||
Issuer | Relationship | Type | Issue | Issue Date | Interest | Maturity Date | Use of | |||||||
KB Securities Co., Ltd. | Subsidiary | No. 1 Private Placement of Capital Securities in Won | 200 | March 31, 2022 | 4.300% | March 31, 2052 (may be extended) | Working capital | |||||||
(Unit: in billions of Won) | ||||||||||||||
Issuer | Relationship | Type | Issue | Issue Date | Interest | Maturity Date | Use of | |||||||
KB Securities Co., Ltd. | Subsidiary | No. 3 Private Placement of Capital Securities in Won | 230 | September 30, 2022 | 5.500% | September 30, 2052 (may be extended) | Working capital |
7.5.2. Purchase of capital securities issued by KB Capital Co., Ltd.
(Unit: in billions of Won) | ||||||||||||||
Issuer | Relationship | Type | Issue | Issue Date | Interest | Maturity Date | Use of | |||||||
KB Capital Co., Ltd. | Subsidiary | No. 299 Private Placement of Capital Securities in Won | 50 | March 27, 2015 | 6.548%(1) | March 27, 2045 (may be extended) | Working capital |
Note: | (1) The interest rate has increased from its initial rate due to the non-exercise of the call option. |
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(Unit: in billions of Won) | ||||||||||||||
Issuer | Relationship | Type | Issue | Issue Date | Interest | Maturity Date | Use of | |||||||
KB Capital Co., Ltd. | Subsidiary | No. 320 Private Placement of Capital Securities in Won | 50 | September 24, 2015 | 5.989%(1) | September 24, 2045 (may be extended) | Working capital |
Note: | (1) The interest rate has increased from its initial rate due to the non-exercise of the call option. |
(Unit: in billions of Won) | ||||||||||||||
Issuer | Relationship | Type | Issue | Issue Date | Interest | Maturity Date | Use of | |||||||
KB Capital Co., Ltd. | Subsidiary | No. 343 Private Placement of Capital Securities in Won | 50 | March 29, 2016 | 6.305%(1) | March 29, 2046 (may be extended) | Working capital |
Note: | (1) The interest rate has increased from its initial rate due to the non-exercise of the call option. |
(Unit: in billions of Won) | ||||||||||||||
Issuer | Relationship | Type | Issue | Issue Date | Interest | Maturity Date | Use of | |||||||
KB Capital Co., Ltd. | Subsidiary | No. 352 Private Placement of Capital Securities in Won | 50 | June 28, 2016 | 6.466%(1) | June 28, 2046 (may be extended) | Working capital |
Note: | (1) The interest rate has increased from its initial rate due to the non-exercise of the call option. |
(Unit: in billions of Won) | ||||||||||||||
Issuer | Relationship | Type | Issue | Issue Date | Interest | Maturity Date | Use of | |||||||
KB Capital Co., Ltd. | Subsidiary | No. 367 Private Placement of Capital Securities in Won | 50 | November 28, 2016 | 6.952%(1) | November 28, 2046 (may be extended) | Working capital |
Note: | (1) The interest rate has increased from its initial rate due to the non-exercise of the call option. |
(Unit: in billions of Won) | ||||||||||||||
Issuer | Relationship | Type | Issue | Issue Date | Interest | Maturity Date | Use of | |||||||
KB Capital Co., Ltd. | Subsidiary | No. 378 Private Placement of Capital Securities in Won | 50 | April 27, 2017 | 7.664%(1) | April 27, 2047 (may be extended) | Working capital |
Note: | (1) The interest rate has increased from its initial rate due to the non-exercise of the call option |
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(Unit: in billions of Won) | ||||||||||||||
Issuer | Relationship | Type | Issue | Issue Date | Interest | Maturity Date | Use of | |||||||
KB Capital Co., Ltd. | Subsidiary | No. 460 Private Placement of Capital Securities in Won | 100 | September 25, 2020 | 3.376% | September 25, 2050 (may be extended) | Working capital | |||||||
(Unit: in billions of Won) | ||||||||||||||
Issuer | Relationship | Type | Issue | Issue Date | Interest | Maturity Date | Use of | |||||||
KB Capital Co., Ltd. | Subsidiary | No. 486 Private Placement of Capital Securities in Won | 100 | February 17, 2022 | 4.495% | February 17, 2052 (may be extended) | Working capital |
7.5.3. Purchase of subordinated bonds issued by KB Savings Bank Co., Ltd.
(Unit: in billions of Won) | ||||||||||||||
Issuer | Relationship | Type | Issue | Issue Date | Interest | Maturity Date | Use of | |||||||
KB Savings Bank Co., Ltd. | Subsidiary | No. 1 Subordinated Bonds in Won | 70 | June 25, 2021 | 1.600% | June 25, 2031 | Working capital |
7.5.4. Prepayments and Loans to Subsidiaries
(Unit: in billions of Won) | ||||||||||||||
Name | Relationship | Account | Loan Amount | Current | Credit Offering | Interest | Maturity Date | |||||||
KB Investment Co., Ltd. | Subsidiary | Loans(1) | 10 | 10 | July 14, 2017 | 2.571%(2) | July 12, 2023 | |||||||
Notes: (1) Unsecured credit loans. (2) Changed from 2.239% to 2.571% upon extension of the loans on July 12, 2022. | ||||||||||||||
(Unit: in billions of Won) | ||||||||||||||
Name | Relationship | Account | Loan Amount | Current | Credit Offering | Interest | Maturity Date | |||||||
KB Investment Co., Ltd. | Subsidiary | Loans(1) | 40 | 40 | July 13, 2018 | 2.571%(2) | July 12, 2023 | |||||||
Notes: (1) Unsecured credit loans. (2) Changed from 2.239% to 2.571% upon extension of the loans on July 12, 2022. |
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(Unit: in billions of Won) | ||||||||||||||
Name | Relationship | Account | Loan Amount | Current | Credit Offering Date | Interest | Maturity Date | |||||||
KB Investment Co., Ltd. | Subsidiary | Loans(1) | 70 | 70 | March 8, 2019 | 2.630%(2) | March 8, 2024 | |||||||
Notes: (1) Unsecured credit loans. (2) Changed from 2.334% to 2.630% upon extension of the loans on March 9, 2023. | ||||||||||||||
(Unit: in billions of Won) | ||||||||||||||
Name | Relationship | Account | Loan Amount | Current | Credit Offering Date | Interest | Maturity Date | |||||||
KB Investment Co., Ltd. | Subsidiary | Loans(1) | 30 | 30 | March 9, 2020 | 2.630%(2) | March 8, 2024 | |||||||
Notes: (1) Unsecured credit loans. (2) Changed from 2.334% to 2.630% upon extension of the loans on March 9, 2023. | ||||||||||||||
(Unit: in billions of Won) | ||||||||||||||
Name | Relationship | Account | Loan Amount | Current | Credit Offering Date | Interest | Maturity Date | |||||||
KB Investment Co., Ltd. | Subsidiary | Loans(1) | 30 | 30 | July 13, 2020 | 2.571%(2) | July 12, 2023 | |||||||
Notes: (1) Unsecured credit loans. (2) Changed from 2.239% to 2.571% upon extension of the loans on July 12, 2022. | ||||||||||||||
(Unit: in billions of Won) | ||||||||||||||
Name | Relationship | Account | Loan Amount | Current | Credit Offering Date | Interest | Maturity Date | |||||||
KB Investment Co., Ltd. | Subsidiary | Loans(1) | 70 | 70 | December 20, 2021 | 2.590% | December 19, 2023 | |||||||
Note: (1) Unsecured credit loans. (2) Changed from 2.247% to 2.590% upon extension of the loans on December 19, 2022. | ||||||||||||||
(Unit: in billions of Won) | ||||||||||||||
Name | Relationship | Account | Loan Amount | Current | Credit Offering Date | Interest | Maturity Date | |||||||
KB Investment Co., Ltd. | Subsidiary | Loans(1) | 60 | 60 | July 13, 2022 | 2.571% | July 12, 2023 | |||||||
Note: (1) Unsecured credit loans. | ||||||||||||||
(Unit: in billions of Won) | ||||||||||||||
Name | Relationship | Account | Loan Amount | Current | Credit Offering Date | Interest | Maturity Date | |||||||
KB Credit Information Co., Ltd. | Subsidiary | Loans(1) | 7 | 7 | October 7, 2022 | 2.401% | October 6, 2023 |
Note: (1) Unsecured credit loans.
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(Unit: in billions of Won) | ||||||||||||||
Name | Relationship | Account | Loan Amount | Current | Credit Offering | Interest | Maturity Date | |||||||
KB Credit Information Co., Ltd. | Subsidiary | Loans(1) | 6.5 | 6.5 | December 9, 2022 | 2.399% | October 6, 2023 |
Note: | (1) Unsecured credit loans. |
(Unit: in billions of Won) | ||||||||||||||
Name | Relationship | Account | Loan Amount | Current | Credit Offering | Interest | Maturity Date | |||||||
KB Capital Co., Ltd. | Subsidiary | Loans(1) | 200 | 200 | November 25, 2022 | 2.401% | November 24, 2023 |
Note: | (1) Unsecured credit loans. |
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
KB Financial Group Inc. | ||||||||
(Registrant) | ||||||||
Date: May 15, 2023 | By: /s/ Scott Y. H. Seo | |||||||
(Signature) | ||||||||
Name: | Scott Y. H. Seo | |||||||
Title: | Senior Executive Vice President and Chief Finance Officer |