KGI Financial Holding Co (2883) investor relations material

Executive summary

• First quarter 2026 net income after tax was NT$11.7 billion, with EPS of 0.69, marking a significant turnaround from a net loss of NT$6.24 billion in Q1 2025; adjusted profit (including FVOCI equity gains) was NT$26.2 billion.

• Total comprehensive income for Q1 2026 reached NT$39.28 billion, reflecting robust gains in equity instruments and favorable exchange differences.

• Adoption of IFRS 17 impacted profit recognition, especially for KGI Life's realized equity gains, and required retrospective restatement of insurance contracts.

• Cumulative profit for the first four months reached NT$17.6 billion (EPS 1.04); adjusted profit NT$37.5 billion (EPS 2.21), up 306% year-over-year.

• Total assets as of March 31, 2026, were NT$4.24 trillion, up 5% year-over-year.

Financial highlights

• Consolidated net income grew 34% year-over-year to NT$11.7 billion in Q1 2026; net revenue was NT$23.4 billion, with a 16% year-over-year decline mainly due to lower FX and financial asset gains.

• KGI Securities net income after tax grew 220% year-over-year to NT$5.9 billion in Q1, with ROE at 33%.

• KGI Life Q1 net income after tax was NT$4.8 billion; adjusted profit NT$19 billion, triple last year; FYP grew 30%, investment return 5.53%.

• KGI Bank Q1 net income after tax was NT$2.5 billion, up 23% year-over-year; ROE at 10.6%; CASA ratio at 44%; new customer acquisition up 69%.

• Group net worth at end of April increased by over NT$80 billion since last year; net asset value per share above NT$23.

Outlook and guidance

• Strategic focus on optimizing financial structure, prudent dividend policy, and leveraging the ONE KGI platform for business growth.

• KGI Life targets full-year new business CSM contribution of NT$33–35 billion.

• CSM release to income statement expected to exceed NT$15 billion in 2026, with double-digit growth targeted for next year.

• Continued expansion in digital, wealth management, and international business segments.

• Group continues to focus on risk management, capital adequacy, and compliance with evolving regulatory standards, including IFRS 17 and upcoming IFRS 18.