SHG Earnings Prediction
The chart below shows how SHG performed 10 days before and after its earnings report, based on data from the past quarters. Typically, SHG sees a -0.15% change in stock price 10 days leading up to the earnings, and a +1.46% change 10 days following the report. On the earnings day itself, the stock moves by +0.92%. This data can give you a slight idea of what to expect for the next quarter's release.
SHG Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
3.16B
1.50%
-1.78%
Gross Margin
--
--
--
Operating Margin
43.66%
4.88%
4.03%
Net Margin
30.94%
3.93%
-5.87%
EPS
1.84
9.52%
-6.60%
No Data Available
SHG Earnings Analysis
Shinhan Financial Group Co Ltd Corporation (SHG.N) Earnings Conference Call
Positive
CIR Improvement Analysis: During Q3 of 2024, the Group's cumulative CIR improved by 1.2 percentage points year-on-year to post 37.9%, driven by higher operating profit before expenses, along with well-managed SG&A expenses.
CET1 Ratio Estimate: The CET1 ratio at the end of September 2024 is estimated to come to 13.13%.
Dividend Approval and Buybacks: The Board of Directors today approved a third quarter dividend of KRW 541 per share and resolved to undertake share buybacks totaling KRW 400 billion, which includes the amount for 2025 as well.
Credit Cost Ratio Decrease: The Group's cumulative credit cost ratio for the third quarter decreased by 4 basis points compared to the first half of the year posting 44 BPS primarily due to the baseline effective additional provisions recognized in the prior quarter related to real estate PFs and asset trust.
Interest Income Growth: The Group's interest income driven by growth in the banks and loan book which matures from the first half of the year increased to efficient ALM up 1.2% QoQ.
Negative
Trading Losses Reported: A large loss of KRW 135.7 billion was recognized in the third quarter financial statements due to significant losses incurred from trading activities at Shinhan Securities.
Non-Interest Income Decline: Non-interest income decreased by 25.6% quarter-over-quarter due to poor earnings from securities and derivatives, resulting in a recorded non-interest income of KRW 827.8 billion.
CET1 Ratio Decline: The CET1 ratio is estimated to come down to 13.13% by the end of September 2024, indicating a decline in capital adequacy.
Non-Interest Income Decline: The Group's non-interest income was down 25.6% quarter-over-quarter, reflecting a significant drop in earnings from securities and derivatives.
Credit Cost Ratio Decline: The Group's cumulative credit cost ratio for the third quarter decreased by 4 basis points compared to the first half of the year, indicating a potential increase in credit risk.
SHG FAQs
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SHG Earning Call Sentiment
Shinhan Financial Group Co., Ltd. (SHG) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
SHG.N
-2.83%Positive
The earnings call presents a mixed picture. While there are positive aspects like an increase in interest income and shareholder return plans, there are also significant concerns such as declining non-interest income, increased competition, and unclear management responses in the Q&A. The optimistic guidance on credit costs and share buyback plans are offset by declining NIM and asset quality vigilance. These mixed signals suggest a neutral market reaction, with neither strong positive nor negative sentiment expected.
