South Korean brokerages post higher profit in Q3

SEOUL, December 03 (AJP) - South Korean securities firms posted a combined net profit of 2.49 trillion won in the third quarter, up 37.6 percent from a year earlier but down 12.6 percent from the previous quarter, preliminary data from the Financial Supervisory Service (FSS) showed on Wednesday.

The sector’s average return on equity rose to 2.6 percent from 2.1 percent a year earlier, supported by a rebound in stock markets that lifted commission income. However, higher interest rates weighed on bond trading, dragging overall quarterly profit lower.

As of end-September, the industry’s total capital stood at 100.7 trillion won, up 4.2 trillion won over three months. The average net capital ratio increased to 920.2 percent, with all firms comfortably above the regulatory minimum of 100 percent.

* This article, published by Aju Business Daily, was translated by AI and edited by AJP.