Core profitability remains pressured by stagnant net interest margins of 0.4% and extreme earnings volatility, highlighted by a negative non-interest income of $28.9T in 2026Q1.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 |
|---|
| Net Interest Income | 44.44T | 16.08T | 12.83T | 12.18T | 11.55T | 11.23T | 9.72T | 9.2T | 8.9T | 8.25T | 6.72T | 6.2T | 6.42T | 6.52T | 7.04T | 7.1T | 6.17T | 5.36T | 6.47T | 6.1T | 5.78T | 5.84T | 6.35T | 7.65T | 6.72T | 3.62T | 1.85T | 1.43T |
| NII Growth % | 963.95% | 25.39% | 5.3% | 5.45% | 2.86% | 15.5% | 5.71% | 3.28% | 7.98% | 22.8% | 8.26% | -3.31% | -1.64% | -7.32% | -0.94% | 15.08% | 15.21% | -17.16% | 5.96% | 5.57% | -0.96% | -8.09% | -16.93% | 13.89% | 85.74% | 95.63% | 29.68% | - |
| Net Interest Margin % | 5.44% | - | 1.69% | 1.7% | 1.68% | 1.71% | 1.59% | 1.77% | 1.86% | 1.89% | 1.79% | 1.89% | 2.08% | 2.23% | 2.46% | 2.53% | 2.45% | 2.11% | 2.5% | 2.8% | 3.14% | 3.31% | 3.7% | 3.96% | 3.65% | 2.15% | 2.02% | 3.15% |
| Interest Income | 53.32T | 29.16T | 30.49T | 29.14T | 20.79T | 15.21T | 14.49T | 14.64T | 13.73T | 11.92T | 10.33T | 10.38T | 11.64T | 12.36T | 14.21T | 13.96T | 13.05T | 13.59T | 15.83T | 12.79T | 10.88T | 10.55T | 11.68T | 14.42T | 13.45T | 8.98T | 6.81T | 4.24T |
| Interest Expense | 8.88T | 13.07T | 17.66T | 16.96T | 9.24T | 3.98T | 4.76T | 5.44T | 4.83T | 3.67T | 3.62T | 4.17T | 5.22T | 5.83T | 7.17T | 6.85T | 6.88T | 8.23T | 9.36T | 6.69T | 5.1T | 4.71T | 5.33T | 6.78T | 6.73T | 5.36T | 4.96T | 2.82T |
| Loan Loss Provision | 12.09T | 12.75T | 2.04T | 3.15T | 1.85T | 1.19T | 1.04T | 670.18B | 673.69B | 548.24B | 539.28B | 1.04T | 1.23T | 1.44T | 1.61T | 1.51T | 2.87T | 2.2T | 2.31T | 18.37B | -95.31B | 606.61B | 3.73T | 7.52T | 3.89T | 1.26T | 919.92B | 306.15B |
| Non-Interest Income | -9.44T | 21.53T | 7.28T | 7.27T | 4.86T | 5.76T | 5.33T | 4.02T | 3.59T | 3.22T | 1.87T | 2.25T | 3.17T | 3.42T | 3.85T | 4.14T | 3.74T | 3.51T | 2.86T | 3T | 2.75T | 2.81T | 2.7T | 3.06T | 3.1T | 1.7T | 3.77T | -328.6B |
| Non-Interest Income % | -21.5% | 42.48% | 19.27% | 19.97% | 18.94% | 27.48% | 26.89% | 21.53% | 20.73% | 21.26% | 15.3% | 17.85% | 21.38% | 21.69% | 21.34% | 22.88% | 22.28% | 20.54% | 15.31% | 18.97% | 20.16% | 21.06% | 18.8% | 17.48% | 18.72% | 15.94% | 35.61% | -8.4% |
| Total Revenue | 43.88T | 50.69T | 37.77T | 36.41T | 25.64T | 20.97T | 19.81T | 18.66T | 17.33T | 15.14T | 12.2T | 12.63T | 14.8T | 15.78T | 18.06T | 18.1T | 16.79T | 17.1T | 18.69T | 15.79T | 13.63T | 13.36T | 14.39T | 17.48T | 16.55T | 10.68T | 10.58T | 3.91T |
| Revenue Growth % | 71% | 34.2% | 3.73% | 41.99% | 22.26% | 5.86% | 6.21% | 7.68% | 14.46% | 24.04% | -3.38% | -14.67% | -6.2% | -12.66% | -0.17% | 7.75% | -1.81% | -8.49% | 18.38% | 15.87% | 1.99% | -7.14% | -17.7% | 5.63% | 54.92% | 0.95% | 170.32% | - |
| Non-Interest Expense | 13.97T | 16.33T | 11.07T | 10.18T | 9.17T | 9.73T | 9.23T | 8.01T | 7.52T | 6.78T | 5.42T | 5.26T | 6.45T | 6.69T | 6.99T | 6.43T | 6.9T | 5.74T | 5.23T | 4.12T | 4.32T | 4.27T | 3.9T | 4.57T | 4.18T | 2.49T | 3.65T | -17.77B |
| Efficiency Ratio | 31.85% | 32.22% | 29.32% | 27.97% | 35.74% | 46.37% | 46.57% | 42.93% | 43.41% | 44.78% | 44.38% | 41.61% | 43.59% | 42.37% | 38.68% | 35.51% | 41.06% | 33.57% | 27.98% | 26.07% | 31.69% | 31.97% | 27.09% | 26.12% | 25.24% | 23.32% | 34.51% | -0.45% |
| Operating Income | 8.93T | 8.53T | 6.99T | 6.12T | 5.39T | 6.08T | 4.78T | 4.53T | 4.3T | 4.14T | 2.63T | 2.16T | 1.9T | 1.82T | 2.3T | 3.31T | 149.37B | 926.05B | 1.79T | 4.97T | 4.31T | 3.78T | 1.43T | -1.38T | 1.75T | 1.57T | 1.04T | 808.16B |
| Operating Margin % | 20.36% | 16.83% | 18.49% | 16.81% | 21.04% | 29% | 24.12% | 24.3% | 24.83% | 27.34% | 21.54% | 17.14% | 12.85% | 11.5% | 12.72% | 18.26% | 0.89% | 5.41% | 9.56% | 31.45% | 31.61% | 28.26% | 9.94% | -7.88% | 10.59% | 14.72% | 9.87% | 20.65% |
| Operating Income Growth % | - | 22.13% | 14.14% | 13.44% | -11.29% | 27.23% | 5.44% | 5.39% | 3.94% | 57.44% | 21.43% | 13.85% | 4.74% | -21.03% | -30.46% | 2112.85% | -83.87% | -48.17% | -64.02% | 15.3% | 14.07% | 164.13% | 203.73% | -178.66% | 11.44% | 50.52% | 29.23% | - |
| Pretax Income | 8.6T | 8.2T | 6.99T | 6.12T | 5.39T | 6.08T | 4.78T | 4.53T | 4.3T | 4.14T | 2.63T | 2.16T | 1.9T | 1.82T | 2.3T | 3.31T | 149.37B | 926.05B | 1.79T | 4.97T | 4.31T | 3.78T | 1.43T | -1.38T | 1.75T | 1.57T | 1.04T | 808.16B |
| Pretax Margin % | 19.6% | 16.17% | 18.49% | 16.81% | 21.04% | 29% | 24.12% | 24.3% | 24.83% | 27.34% | 21.54% | 17.14% | 12.85% | 11.5% | 12.72% | 18.26% | 0.89% | 5.41% | 9.56% | 31.45% | 31.61% | 28.26% | 9.94% | -7.88% | 10.59% | 14.72% | 9.87% | 20.65% |
| Income Tax | 2.47T | 2.35T | 1.96T | 1.59T | 1.5T | 1.7T | 1.26T | 1.22T | 1.24T | 794.96B | 438.48B | 437.39B | 486.31B | 540.59B | 519.98B | 844.57B | -70.54B | 207.48B | 453.85B | 1.21T | 1.36T | 1.09T | 432.64B | -384.92B | 597.28B | 624.95B | 449.88B | 267.5B |
| Effective Tax Rate % | 28.78% | 28.62% | 28.01% | 26.04% | 27.88% | 27.91% | 26.45% | 26.93% | 28.82% | 19.21% | 16.68% | 20.21% | 25.58% | 29.78% | 22.62% | 25.55% | -47.23% | 22.41% | 25.4% | 24.29% | 31.51% | 28.82% | 30.27% | 27.93% | 34.09% | 39.75% | 43.07% | 33.1% |
| Net Income | 6.12T | 5.85T | 5.08T | 4.59T | 4.11T | 4.41T | 3.47T | 3.31T | 3.06T | 3.31T | 2.14T | 1.73T | 1.4T | 1.27T | 1.77T | 2.41T | 146.6B | 720.64B | 1.33T | 3.76T | 2.95T | 2.69T | 996.77B | -993.12B | 1.25T | 992.3B | 594.54B | 540.66B |
| Net Margin % | 13.95% | 11.54% | 13.45% | 12.62% | 16.04% | 21.02% | 17.5% | 17.75% | 17.67% | 21.88% | 17.57% | 13.68% | 9.46% | 8.06% | 9.8% | 13.29% | 0.87% | 4.21% | 7.09% | 23.78% | 21.64% | 20.12% | 6.93% | -5.68% | 7.56% | 9.29% | 5.62% | 13.81% |
| Net Income Growth % | 6.86% | 15.21% | 10.52% | 11.73% | -6.74% | 27.13% | 4.75% | 8.17% | -7.56% | 54.47% | 24.11% | 23.32% | 10.16% | -28.15% | -26.43% | 1540.64% | -79.66% | -45.65% | -64.69% | 27.38% | 9.69% | 169.61% | 200.37% | -179.34% | 26.14% | 66.9% | 9.96% | - |
| Net Income (Continuing) | 6.13T | 5.85T | 5.03T | 4.53T | 3.89T | 4.38T | 3.52T | 3.31T | 3.06T | 3.34T | 2.19T | 1.73T | 1.42T | 1.27T | 1.78T | 2.46T | 219.91B | 718.57B | 1.33T | 3.76T | 2.95T | 2.69T | 996.77B | -993.12B | 1.15T | 947.08B | 594.54B | 540.67B |
| EPS (Diluted) | 16206.64 | 15287.00 | 12725.00 | 11217.00 | 10099.00 | 10889.00 | 8730.36 | 8388.65 | 7675.86 | 8257.00 | 5559.00 | 4376.00 | 3611.00 | 3277.00 | 4567.00 | 6533.00 | 427.00 | 2215.00 | 4012.00 | 11164.00 | 8763.92 | 8314.90 | 3250.58 | -3046.37 | 3831.61 | 4257.82 | 3365.26 | 2939.89 |
| EPS Growth % | 11.05% | 20.13% | 13.44% | 11.07% | -7.26% | 24.73% | 4.07% | 9.29% | -7.04% | 48.53% | 27.03% | 21.19% | 10.19% | -28.25% | -30.09% | 1429.98% | -80.72% | -44.79% | -64.06% | 27.39% | 5.4% | 155.8% | 206.7% | -179.51% | -10.01% | 26.52% | 14.47% | - |
| EPS (Basic) | - | 15437.00 | 12880.00 | 11483.00 | 10334.00 | 11133.00 | 8843.13 | 8450.65 | 7720.53 | 8305.00 | 5588.00 | 4396.00 | 3626.00 | 3291.00 | 4580.00 | 6548.00 | 427.00 | 2215.00 | 4012.00 | 11164.00 | 8764.88 | 8318.85 | 3252.51 | -3046.37 | 3939.63 | 4702.01 | 3977.03 | 4484.13 |
| Diluted Shares Outstanding | 377.59M | 382.22M | 383.37M | 393.33M | 398.94M | 398.58M | 394.76M | 394.02M | 398.81M | 401.04M | 385.63M | 388.09M | 387.94M | 387.99M | 387.55M | 368.18M | 343.44M | 325.4M | 330.5M | 336.35M | 336.35M | 322.95M | 306.65M | 326M | 326.67M | 240.71M | 176.67M | 183.91M |
Real estate credit exposure
As reported in recent financial statements, KB's net interest income trajectory has exhibited significant volatility, peaking at 93% growth in 2025Q4 before experiencing sharp fluctuations, suggesting that the bank's core interest-earning capacity remains highly sensitive to shifting domestic rate environments and evolving funding cost dynamics.
The erratic NII growth figures suggest that KB is struggling to maintain a consistent spread as the Bank of Korea nears the end of its tightening cycle. Investors should monitor whether the recent spikes in NII are sustainable or merely reflective of temporary balance sheet rebalancing rather than organic loan growth.
Based on the provided quarterly data, KB's net interest margin has remained largely stagnant at 0.4% for most of the observed period, indicating that the bank faces structural headwinds in expanding its net interest spread despite its dominant retail deposit franchise and low-cost funding base.
The persistent 0.4% NIM suggests that competitive pressures and regulatory constraints on lending rates are effectively capping profitability. This lack of margin expansion implies that KB may need to pivot further toward non-interest fee income to drive meaningful bottom-line growth in the current environment.
According to the company's reported figures, the efficiency ratio has fluctuated significantly, ranging from 23.5% to 40.3% over the last ten quarters, which highlights the operational challenges inherent in managing a massive, legacy-heavy branch network alongside a growing digital-first banking strategy.
The volatility in the efficiency ratio suggests that KB has yet to achieve a stable operating leverage profile, likely due to periodic spikes in personnel costs and one-off regulatory compliance expenses. Analysts should investigate whether the higher end of this range represents a new baseline for operational overhead.
As indicated by the quarterly income statements, KB's provision expense for loan losses has shown extreme variance, reaching as high as $11.1T in 2025Q4, which complicates the assessment of underlying asset quality and suggests a cautious, perhaps reactive, approach to credit risk management.
The massive swings in provision expenses appear to be driven by management's desire to front-load reserves in response to potential real estate project financing stress. This makes it difficult to determine the true credit cost trajectory, warranting further investigation into the specific loan segments driving these periodic spikes.
Based on the provided financial data, KB's net income has been heavily impacted by non-operating volatility, including a negative non-interest income of $28.9T in 2026Q1, which suggests that headline earnings may not accurately reflect the bank's core operational performance or long-term profitability potential.
The extreme distortion in recent quarters, likely linked to ELS compensation and accounting adjustments, suggests that investors should focus on pre-provision net revenue to gauge true performance. The current earnings profile appears vulnerable to one-off shocks that could continue to obscure the bank's underlying fundamental health.
Quick answers to the most common questions about buying KB stock.
KB Financial Group Inc. (KB) is profitable, generating $5.85T in net income for the fiscal year ending 2025 with a net profit margin of 11.5%.
KB Financial Group Inc. (KB) reported an operating income of $8.53T, resulting in an operating profit margin of 16.8%. This margin reflects the operational efficiency of the business before interest and taxes.
KB Financial Group Inc. (KB) generated $24.86T in gross profit for the year, representing a gross profit margin of 49.1%. This demonstrates the company's core pricing power and production efficiency.