1. Jeju Bank Q2 Earnings: Key Highlights

Jeju Bank reported its Q2 2025 earnings, with revenue of KRW 92.2 billion, operating profit of KRW 2.2 billion, and net profit of KRW 5.2 billion. While net profit increased significantly compared to Q1, it remained lower than the same period last year.

2. Drivers of Performance: Analyzing Positive and Negative Factors

The increase in net profit compared to Q1 is a positive sign. However, the weaker performance year-over-year is attributed to a combination of factors, including the global economic slowdown, interest rate volatility, and rising commodity prices. The global economic slowdown, in particular, could impact Jeju Bank’s loan and deposit volumes, necessitating continuous monitoring of loan loss provisions.

  • Positive Factors: Increased net profit compared to Q1, support from Shinhan Financial Group, dominant market share in Jeju.
  • Negative Factors: Weaker performance compared to the same period last year, global economic slowdown, interest rate volatility, rising commodity prices.

3. Outlook and Investment Strategy: Focus on ‘Digital Drive 2.0’ and Risk Management

Jeju Bank’s future stock price is expected to be heavily influenced by market sentiment. In the long term, support from Shinhan Financial Group, its strong presence in the Jeju market, and the implementation of the ‘Digital Drive 2.0’ strategy could be positive factors. However, continuous monitoring of macroeconomic factors, such as the global economic slowdown, interest rate fluctuations, and commodity price changes, is necessary. Effective risk management through the ‘SCANDAL ZERO’ strategy is also crucial.

4. Investor Action Plan

Short-term investors should proceed cautiously, closely monitoring market conditions. Long-term investors should continuously monitor the success of Jeju Bank’s ‘Digital Drive 2.0’ strategy and its risk management capabilities when formulating their investment strategies.