(LEAD) Shinhan Financial reports record high 2021 earnings on higher interest income, strong non-banking biz

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SEOUL, Feb. 9 (Yonhap) -- Shinhan Financial Group Co., a major South Korean financial holding firm, on Wednesday reported record high annual earnings for 2021 on increased interest income and strong performance in its non-banking businesses.

Net income came to 4.02 trillion won (US$3.4 billion) last year, up 17.7 percent from a previous record high annual net profit of 3.41 trillion won tallied a year earlier, according to the data provided by the company.

The strong earnings results are attributed to increased interest income and robust performance in the non-banking sector, including card and securities areas.

The company earned 9.05 trillion won in net interest income last year, up 11 percent from a year earlier.

The increased interest-linked earnings came as the Bank of Korea raised its key policy rate twice last year, which led to a rise in lending rates of local banks and an increase in their profitability.

Shinhan Bank and Shinhan Card, its major affiliates, also saw their 2021 earnings jump 20 percent and 11.3 percent on-year to 2.49 trillion won and 675 billion won, respectively.

In the fourth quarter of last year, however, Shinhan Financial reported that its net profit inched down 1 percent on-year to 459.8 billion won.

kokobj@yna.co.kr
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