KakaoBank (323410) investor relations material

Executive summary

• Net profit reached a record high in H1 2026, rising 24% year-on-year, driven by customer growth, balanced expansion in net interest and fee income, and strong engagement across all age groups.

• Customer base grew by 920,000 in H1 2026, reaching 27.63 million at Q2 end, with new product launches and digital innovations supporting MAU and WAU momentum.

• Operates as a leading digital-only bank, leveraging AI and mobile-first strategies for operational efficiency and customer growth.

• Achieved strong credit ratings (AA+ stable) and received multiple industry awards for innovation, ESG, and customer satisfaction.

Financial highlights

• Net income for H1 2026 was KRW 328.0 billion, up 24.4% year-on-year; operating revenue reached KRW 829 billion, up 7% year-on-year.

• Total assets as of June 2026 were KRW 75.9 trillion, with deposits at KRW 67.1 trillion and loans at KRW 49.2 trillion.

• NIM was 2.13% in Q2 2026, up 13 bps quarter-on-quarter; ROE was 9.95% (annualized), and ROA was 0.86%.

• Deposit balance grew 5% year-on-year but declined 3% quarter-on-quarter due to capital market shifts; funding cost decreased to 1.82%.

• Loan balance increased 8% year-on-year and 1% quarter-on-quarter, driven by SOHO and unsecured loans.

Outlook and guidance

• Full-year NIM expected to increase by 10 bps or more, reflecting policy rate hikes.

• Deposit growth targeted at double digits for the full year, with expansion into SOHO, FX, corporate, and institutional markets.

• Asset target of KRW 100 trillion by 2027 remains on track, with expansion into corporate deposits and finance planned.

• Loan growth expected to accelerate in H2 2026 with new product launches and the acquisition of Mastern Capital.

• Plans to maintain a BIS capital ratio above major peers and increase shareholder returns up to 50% payout if capital adequacy is sustained.