Woori Financial Group Inc. (WF) Q1 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good afternoon. I am Hanong Sung, head of IR at Woorie Financial Group. Let me first begin by thanking everyone for taking time to participate in this earnings call for Woorie Financial Group. On today's call, we have Group CFO Lee Sung Wook, Group CDO Oh Gil Jin, and Group CRO Park Chang Geun. On today's call, the Group CFO, Lee Seong-wook, will give a presentation on the earnings performance, after which we will have a Q&A session. Please note that the earnings call is being conducted with simultaneous interpretation for our overseas investors. Now, let us start our presentation on URI Financial Group's earnings for the first quarter of 2025. Good afternoon. This is Lee Sungwook, the CFO of Uri Financial Group. Let me go over the first quarter performance for 2025. Please turn to page three of the presentation material that has been disclosed on our website. First, let me talk about net income. In the first quarter of 2025, Uri Financial Group's net income was 615.6 billion won. Amid uncertainties in Korea and abroad, leading to volatility in the financial markets, we were still able to prove our solid revenue-generating capabilities on the top line. However, on the cost side, due to conservative provisionings, due to concerns about future downturns in the economy, and non-regular items such as costs related to the ERP conducted at the beginning of the year, and investments for future growth resulted in net income coming in below market expectations. When excluding these one-off costs, the group's fundamentals are still solid and the group's ROE is 9.5%. Next, let me discuss the group's net operating revenue. First quarter net operating revenue increased 2.4% YOY and 6.6% quarter-over-quarter to $2,609.5 billion. To optimize our portfolio, the group has been rebala...