KB Financial Group has confirmed the largest-ever first-phase shareholder return plan for 2026.
During the announcement of its performance on the 5th, the KB Financial board decided to increase the fourth quarter dividend per share for 2025 to 1,605 won, which is double the amount of the previous year at 804 won. The total cash dividend for 2025 reached 1.58 trillion won, a 32% increase from the previous year.
The annual dividend payout ratio exceeded the 25% benchmark for high-dividend companies, reaching 27%, satisfying the requirement for separate taxation of dividends.
The first-phase shareholder return plan for 2026 amounts to a total of 2.82 trillion won. KB Financial plans to utilize this for cash dividends of 1.62 trillion won and the acquisition of treasury stocks worth 1.2 trillion won. They will also pursue tax-exempt dividends based on the reduction of capital reserve funds to enhance shareholder value.
The accumulated net profit last year was 5.843 trillion won, with a return on equity (ROE) of 10.86%. Despite a decrease in interest income, non-interest business growth drove the performance. Pure fee income expanded by 6.5% year-on-year, entering the quarterly average of around 1 trillion won. However, the net profit for the fourth quarter stood at 721.3 billion won due to one-time factors such as retirement benefit costs and provisions for contingent liabilities related to equity-linked securities (ELS) fines.
Key financial soundness indicators remained at the highest levels in the industry. The common equity tier 1 (CET1) ratio was 13.79%, while the capital adequacy ratio (BIS) was 16.16%. The cost-to-income ratio (CIR) decreased to a historic low of 39.3% due to continuous cost efficiency.
Investments for productive finance and social value creation continue as well. KB Financial is leading large-scale infrastructure financing projects like the Sinan Ui Offshore Wind Power Project (3.4 trillion won) and the Yongin Semiconductor Cluster (3.3 trillion won). They have also established the 160 billion won 'KB Deep-Tech Scale-up Fund' to support innovative companies in AI and robotics.
The company is also strengthening its symbiotic management system. They aim to support a total of 17 trillion won in inclusive finance for small business owners and vulnerable groups by 2030. This includes support for refinancing second-tier financial loans with first-tier financial institutions, interest cashback, and operation of the debt counseling center (KB Hope Financial Center) to expand the role of social safety nets.