Shinhan Financial Group Co. Ltd. - ADR

CET1 Ratio and Capital Management: As of the end of September 2025, the group's CET1 ratio was preliminarily estimated at 13.56%, which is stable despite increased risk-weighted assets (RWA). The management plans to maintain this ratio, viewing it as sufficient for current operations. However, potential economic pressures and increased regulation could affect capital levels in the future.

Profit Performance: The group's net income for Q3 2025 was KRW 1.4235 trillion, reflecting an 8.1% decline quarter-on-quarter (Q-o-Q) but showing a robust performance despite uncertainty in market conditions. Income generation has remained stable, with credit costs being well-controlled, indicating resilience against macroeconomic challenges.

Dividend and Shareholder Return Policy: The Board has resolved to issue a cash dividend of KRW 570 per share for Q3, contributing to an expected total shareholder return of KRW 2.35 trillion for 2025, encompassing KRW 1.1 trillion in cash dividends and KRW 1.25 trillion in share buybacks. This reflects a commitment to returning value to shareholders despite a declining environment.