Woori Financial Group Inc - ADR

Earnings Performance: Woori Financial Group reported a net income of KRW 3,141.3 billion for 2025, reflecting a 1.8% year-over-year (YoY) increase. The return on equity (ROE) was stable at 9.1%. The group’s net operating revenue reached KRW 10,957.4 billion, a 5% YoY growth driven by diversified revenue sources and successful insurance acquisition.

Forecast for 2026: The group is targeting a 5% growth in total assets, anticipating a moderate increase in net interest margin (NIM), expected to be stable compared to 2025 levels despite potential rate cuts by the Bank of Korea later in the year. Noninterest income is projected to grow by approximately 20%, aided by contributions from the newly acquired insurance business and the fully operational securities firm.

Capital Adequacy and Shareholder Returns: The CET1 ratio improved to 12.9% by the end of 2025, exceeding the target of 12.5%. The board approved a year-end dividend of KRW 760 per share and a KRW 200 billion share buyback plan, indicating a robust commitment to returning value to shareholders.