Net interest income growth accelerated to 9.4% year-over-year in Q2 2026, but the impressive 27.7% EPS growth was heavily supported by a one-time surge in non-interest income to 45.9% of total revenue, suggesting core earnings momentum may be weaker than headline figures imply.
Shinhan Financial Group Co., Ltd. (SHG) annual income statement — 24-year revenue, gross profit & net income history
| 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 |
|---|
| Net Interest Income | 12.51T | 12.07T | 11.4T | 10.82T | 10.6T | 10.77T | 9.88T | 9.74T | 8.58T | 7.84T | 7.21T | 6.69T | 6.79T | 6.6T | 6.98T | 7.08T | 6.47T | 5.22T | 5.78T | 5.17T | 3.8T | 3.44T | 3.45T | 2.45T | 1.43T |
| NII Growth % | 35.44% | 5.82% | 5.4% | 2.09% | -1.6% | 8.97% | 1.49% | 13.49% | 9.4% | 8.85% | 7.66% | -1.43% | 2.8% | -5.37% | -1.42% | 9.38% | 23.96% | -9.66% | 11.78% | 36.17% | 10.48% | -0.46% | 41.13% | 71.06% | - |
| Net Interest Margin % | 1.49% | 1.54% | 1.54% | 1.56% | 1.59% | 1.68% | 1.63% | 1.76% | 1.87% | 1.84% | 1.82% | 1.81% | 2.01% | 2.12% | 2.29% | 2.46% | 2.41% | 2.05% | 2.21% | 2.33% | 2.27% | 2.24% | 2.49% | 1.71% | 2.21% |
| Interest Income | 28.9T | 28.58T | 29.21T | 27.58T | 20.11T | 14.72T | 14.77T | 15.71T | 13.57T | 11.8T | 11.24T | 11.13T | 12.06T | 12.59T | 14T | 13.78T | 12.91T | 12.6T | 14.73T | 12.16T | 8.48T | 7.41T | 7.45T | 5.59T | 3.74T |
| Interest Expense | 16.39T | 16.52T | 17.81T | 16.76T | 9.5T | 3.95T | 4.89T | 5.97T | 4.99T | 3.96T | 4.03T | 4.44T | 5.27T | 5.99T | 6.88T | 6.7T | 6.48T | 7.38T | 8.95T | 6.98T | 4.69T | 3.97T | 4T | 3.14T | 2.31T |
| Loan Loss Provision | 1.2T | 1.72T | 1.99T | 2.16T | 1.29T | 962.65B | 1.36T | 968.7B | -4.99T | -3.96T | -4.03T | -4.44T | -5.27T | -5.99T | -6.88T | -6.7T | -6.48T | -7.38T | -8.95T | -6.98T | -4.69T | -3.97T | -4T | -3.14T | -2.31T |
| Non-Interest Income | 7.01T | 6.1T | 6.17T | 6.22T | 4.45T | 11.03T | 10.95T | 10.79T | 2.32T | 2.8T | 2.26T | 2.27T | 788.73B | -189.64B | -1.39T | -3.95T | -1.5T | -1.68T | -4.38T | -2.24T | -940.55B | -1.3T | -1.98T | -1.97T | -1.27T |
| Non-Interest Income % | 35.93% | 33.6% | 35.1% | 36.52% | 29.6% | 50.6% | 52.56% | 52.56% | 21.26% | 26.29% | 23.84% | 25.37% | 10.41% | -2.96% | -24.79% | -126.32% | -30.19% | -47.36% | -313.93% | -76.56% | -32.93% | -60.7% | -133.8% | -414.77% | -780.91% |
| Total Net Revenue | 19.52T | 18.17T | 17.57T | 17.04T | 15.05T | 21.8T | 20.83T | 20.53T | 10.9T | 10.64T | 9.46T | 8.97T | 7.58T | 6.42T | 5.59T | 3.13T | 4.97T | 3.54T | 1.4T | 2.93T | 2.86T | 2.14T | 1.48T | 475.24B | 162.34B |
| Revenue Growth % | 8.79% | 3.42% | 3.1% | 13.21% | -30.95% | 4.65% | 1.48% | 88.37% | 2.41% | 12.47% | 5.5% | 18.33% | 18.13% | 14.7% | 78.79% | -37.08% | 40.31% | 153.78% | -52.32% | 2.52% | 33.57% | 44.82% | 210.74% | 192.74% | - |
| Non-Interest Expense | 9.64T | 9.52T | 9.55T | 8.91T | 7.42T | 15.25T | 14.72T | 14.65T | 9.2T | 9.41T | 9.15T | 9.04T | 8.77T | 8.36T | 8.49T | 4.74T | 11.41T | 10.92T | 10.5T | 9.91T | 7.54T | 6.11T | 5.47T | 72.91B | 747.35B |
| Efficiency Ratio | 49.41% | 52.38% | 54.33% | 52.31% | 49.27% | 69.97% | 70.66% | 71.35% | 84.42% | 88.45% | 96.7% | 100.77% | 115.71% | 130.37% | 151.87% | 151.4% | 229.46% | 308.17% | 752.01% | 338.36% | 264.02% | 285.7% | 370.7% | 15.34% | 460.35% |
| Operating Income | 8.67T | 6.93T | 6.03T | 5.96T | 6.37T | 5.58T | 4.75T | 4.91T | 9.42T | 4.49T | 7.15T | 7.5T | 8.02T | 8.51T | 9.94T | 10.72T | 3.09T | 8.93T | 2.18T | 3.69B | 2.03B | 2.67T | 2.3T | 3.69T | 919.85B |
| Operating Margin % | 44.42% | 38.13% | 34.32% | 35.01% | 42.3% | 25.61% | 22.82% | 23.93% | 86.42% | 42.2% | 75.58% | 83.62% | 105.82% | 132.66% | 177.8% | 342.7% | 62.13% | 252.13% | 155.82% | 0.13% | 0.07% | 124.78% | 155.72% | 776.89% | 566.61% |
| Operating Income Growth % | - | 14.93% | 1.08% | -6.31% | 14.02% | 17.46% | -3.21% | -47.85% | 109.72% | -37.21% | -4.63% | -6.5% | -5.77% | -14.42% | -7.24% | 247.1% | -65.43% | 310.64% | 58844.19% | 81.82% | -99.92% | 16.05% | -37.72% | 301.38% | - |
| Pretax Income | 8.67T | 6.93T | 6.03T | 5.96T | 6.37T | 5.58T | 4.75T | 4.91T | 4.47T | 3.8T | 3.17T | 3.14T | 2.87T | 2.68T | 3.23T | 4.34T | 3.43T | 1.57T | 2.18T | 2.99T | 2T | 2.65T | 2.15T | 548.15B | 909.69B |
| Pretax Margin % | 44.42% | 38.13% | 34.32% | 35.01% | 42.3% | 25.61% | 22.82% | 23.93% | 40.99% | 35.68% | 33.51% | 35.02% | 37.84% | 41.81% | 57.8% | 138.85% | 68.99% | 44.24% | 155.82% | 102.09% | 70.06% | 124.04% | 145.68% | 115.34% | 560.35% |
| Income Tax | 3.18T | 1.84T | 1.47T | 1.49T | 1.61T | 1.47T | 1.26T | 1.27T | 1.27T | 848.13B | 345.55B | 694.62B | 667.97B | 622.57B | 738.94B | 919.93B | 570.38B | 424.03B | 694.93B | 1.06T | 588.99B | 932.4B | 738.53B | 259.44B | 320.3B |
| Effective Tax Rate % | 36.73% | 26.62% | 24.4% | 24.93% | 25.31% | 26.35% | 26.42% | 25.84% | 28.4% | 22.34% | 10.9% | 22.12% | 23.29% | 23.21% | 22.86% | 21.18% | 16.63% | 27.05% | 31.94% | 35.42% | 29.43% | 35.15% | 34.33% | 47.33% | 35.21% |
| Net Income | 5.4T | 4.97T | 4.45T | 4.37T | 4.67T | 4.02T | 3.41T | 3.4T | 3.16T | 2.92T | 2.77T | 2.37T | 2.08T | 1.9T | 2.32T | 3.21T | 2.37T | 1.13T | 1.48T | 1.93T | 1.4T | 1.72T | 1.47B | 288.71B | 589.39B |
| Net Margin % | 27.68% | 27.36% | 25.33% | 25.63% | 31% | 18.44% | 16.39% | 16.58% | 28.97% | 27.42% | 29.33% | 26.4% | 27.46% | 29.66% | 41.53% | 102.74% | 47.69% | 32% | 106.05% | 65.93% | 49.1% | 80.44% | 0.1% | 60.75% | 363.05% |
| Net Income Growth % | 13.98% | 11.72% | 1.88% | -6.38% | 16.08% | 17.71% | 0.33% | 7.82% | 8.19% | 5.15% | 17.22% | 13.75% | 9.37% | -18.08% | -27.73% | 35.55% | 109.12% | -23.42% | -23.31% | 37.67% | -18.48% | - | -99.49% | -51.02% | - |
| Net Income (Continuing) | 5.49T | 5.08T | 4.56T | 4.48T | 4.76T | 4.11T | 3.5T | 3.64T | 3.2T | 2.95T | 2.82T | 2.45T | 2.2T | 2.06T | 2.49T | 3.39T | 2.86T | 1.14T | 1.49T | 1.93T | 1.41T | 1.72T | 1.41T | 288.71B | 589.39B |
| EPS (Diluted) | 11220.49 | 9812.00 | 8441.26 | 8047.57 | 8498.00 | 7308.05 | 6653.97 | 7000.16 | 6664.69 | 6118.00 | 5736.00 | 4789.00 | 4195.00 | 3810.00 | 4681.00 | 6065.00 | 5076.00 | 1955.00 | 2955.00 | 4175.24 | 3584.27 | 4590.12 | 3403.01 | 981.81 | 1066.16 |
| EPS Growth % | 21.49% | 16.24% | 4.89% | -5.3% | 16.28% | 9.83% | -4.95% | 5.03% | 8.94% | 6.66% | 19.77% | 14.16% | 10.11% | -18.61% | -22.82% | 19.48% | 159.64% | -33.84% | -29.23% | 16.49% | -21.91% | 34.88% | 246.61% | -7.91% | - |
| EPS (Basic) | - | 9812.00 | 8441.00 | 8048.00 | 9123.81 | 7308.05 | 6653.97 | 7000.16 | 6664.69 | 6118.00 | 5736.00 | 4789.00 | 4195.00 | 3810.00 | 4681.00 | 6195.00 | 5175.00 | 1957.00 | 2993.00 | 4260.84 | 3584.27 | 4879.70 | 3797.15 | 991.79 | 1066.16 |
| Diluted Shares Outstanding | 481.57M | 496.53M | 506.23M | 519.21M | 508.78M | 534.05M | 500.34M | 477.35M | 473.65M | 474.2M | 474.2M | 474.2M | 474.2M | 474.2M | 474.2M | 488.92M | 488.92M | 476.22M | 432.39M | 416.88M | 391.32M | 374.46M | 354.84M | 294.13M | 276.33M |
Quick answers to the most common questions about buying SHG stock.
For fiscal year 2025, Shinhan Financial Group Co., Ltd. (SHG) reported total revenue of $18.17T. This represents a 11092.3% increase compared to $162.34B in 2002.
Shinhan Financial Group Co., Ltd. (SHG) is profitable, generating $4.97T in net income for the fiscal year ending 2025 with a net profit margin of 27.4%.
Shinhan Financial Group Co., Ltd. (SHG) reported an operating income of $6.93T, resulting in an operating profit margin of 38.1%. This margin reflects the operational efficiency of the business before interest and taxes.
Shinhan Financial Group Co., Ltd. (SHG) generated $16.45T in gross profit for the year, representing a gross profit margin of 90.5%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Real estate project financing credit risk
NII Growth Accelerates on Volume
Net interest income growth accelerated to 9.4% year-over-year in the second quarter of 2026, a significant improvement from the 1.5% growth seen a year prior, suggesting that loan volume expansion is now the primary driver as the rate cycle stabilizes.
The acceleration in NII growth, despite a flat net interest margin, indicates that the bank is successfully growing its earning asset base. This volume-driven expansion appears to be a strategic response to the end of the domestic rate hike cycle, positioning the bank to capture market share. Investors should monitor whether this growth is sustainable or if it involves taking on riskier loan segments to maintain momentum.
NIM Stability Masks Funding Pressure
Shinhan's net interest margin has remained remarkably stable at 0.4% for ten consecutive quarters, a trend that may indicate effective asset-liability management but also suggests limited upside from rate movements in the current environment.
The persistent NIM stability is notable given the volatility in the broader rate environment. This could imply a well-hedged balance sheet or a strategic decision to prioritize volume over spread expansion. However, it also means the bank's core earnings power is not benefiting from any favorable rate dynamics, placing greater emphasis on fee income and cost control for profitability improvement.
Fee Income Surge Drives Revenue Mix
Non-interest income surged to 45.9% of total revenue in Q2 2026, a substantial increase from 39.4% a year ago, highlighting the growing importance of the bank's diversified fee-generating businesses like credit cards and securities.
The significant jump in the fee income ratio appears to be a key positive development, validating the bank's strategy of building a diversified financial ecosystem. This shift reduces earnings volatility tied to interest rates and suggests the non-banking segments are gaining scale. The sustainability of this mix shift is critical, as transaction-based fees can be cyclical and sensitive to market activity.
Provision Volatility Clouds Earnings
Provision expense has been highly volatile, ranging from zero in Q2 2026 to $642.6 billion in Q4 2024, making it the single largest swing factor in quarterly net income and warranting close scrutiny of underlying asset quality trends.
The erratic provision charges, particularly the zero provision in the latest quarter, create significant noise in the underlying earnings trend. This volatility likely reflects management's forward-looking provisioning under IFRS 9 and specific workout activities, possibly related to real estate project financing. The absence of a provision in Q2 2026 may indicate improved asset quality forecasts, but it also makes year-over-year profitability comparisons challenging.
Q4 2024 Marks a Profitability Trough
The fourth quarter of 2024 represented a clear inflection point, with net income plunging to $406.1 billion and the efficiency ratio spiking to 72.9%, likely due to elevated provisions and seasonal factors that have since normalized.
This quarter stands out as the weakest in the dataset, with net income dropping sharply and profitability metrics deteriorating. The subsequent recovery in 2025 suggests this was a temporary trough rather than a structural shift. However, the event underscores the bank's vulnerability to periodic credit cost spikes and highlights the importance of monitoring quarterly provisioning trends for signs of recurring stress.
Fee Surge May Mask Underlying NII Weakness
The impressive 27.7% EPS growth in Q2 2026 was heavily supported by a one-time surge in non-interest income, which may obscure the fact that core net interest income growth, while positive, is not yet strong enough to drive sustainable earnings expansion on its own.
While the headline earnings growth is strong, the composition raises questions. The fee income spike to 45.9% of revenue is unusually high and may not be repeatable each quarter. If fee income normalizes, the bank's earnings growth would rely more heavily on the modest NII growth and cost control. This dependency on potentially volatile fee streams represents a key risk to the durability of the current earnings trajectory.