NH Investment & Securities (005940) Q2 2026 earnings summary

Executive summary

• Net income for 2Q26 reached W488.6bn, up 2.7% quarter-over-quarter, with operating income at W681.3bn, a 7% increase from the previous quarter.

• Total assets reached KRW 114.7 trillion as of June 2026, with equity of KRW 10.9 trillion and net profit of KRW 965.1 billion for the half-year.

• Net operating revenue for H1 2026 was KRW 2.26 trillion, with pre-tax profit of KRW 1.31 trillion.

• Brokerage, asset management, and trading all saw significant year-over-year growth, while IB fees declined.

• The company maintained strong capital adequacy, with a net capital ratio of 2,952% and a leverage ratio of 676%.

Financial highlights

• Operating revenue for 2Q26 was W12,848.2bn, with commissions received at W826.2bn.

• Net profit attributable to controlling interests was KRW 965.2 billion, up 108% year-over-year.

• Brokerage commission income surged to W445.6bn (+27.5% QoQ), and financial product sales commission rose to W76.8bn (+56.3% QoQ).

• Net fee and commission income rose to KRW 1.18 trillion, up 112% year-over-year.

• Trading-related net gains were KRW 272.0 billion, up 73% year-over-year.

Outlook and guidance

• Continued focus on expanding brokerage and financial product sales, leveraging bullish market conditions.

• The company plans to continue balanced growth across brokerage, asset management, and trading, with a focus on risk management and digital transformation.

• Risk management strategies in place to address bond yield hikes and credit spread changes.

• Dividend policy remains stable, with a payout of KRW 1,300 per common share for FY2025 and a commitment to ongoing shareholder returns.