[KB] KB Financial Group: Q3 2026 Earnings Test Bank Margin and Fee Records

KB Financial Group (KB) is one of Korea's largest financial holding companies, built around Kookmin Bank's deposit and lending business and also owning credit card, securities, life insurance and non-life insurance units[1]. Ahead of KB Financial Group's Q3 2026 earnings, the company has scheduled its third-quarter earnings conference for 2026-10-29 at 16:00 Korea time, covering 3Q26 (quarter ended 2026-09-30)[2]. In the latest disclosed quarter, 2Q26, profit attributable to shareholders was KRW 1,992.2 billion, up 14.60% year on year, bringing the first half to KRW 3,884.6 billion, up 13.07%[3]; quarterly net interest income was KRW 3,143.4 billion, net fee and commission income KRW 1,601.9 billion and the provision for credit losses KRW 519.7 billion[4]. KB does not publish numeric profit guidance. On its July 23 call, management said group net interest margin should improve gradually in the second half and end 2026 slightly above the prior year, full-year credit cost should land in the early-to-mid 40 basis-point range and full-year ROE should exceed 11%[5]; it put 2026 total shareholder return at KRW 3.52 trillion[6] and said second-half fee income should hold above the 2025 level[7]. The Drillr earnings calendar, updated 2026-10-24, shows a 3Q26 sell-side consensus of USD 3.66 of earnings per ADS and USD 3.53 billion of revenue; the same source shows 2Q26 actual earnings of USD 3.79 per ADS against a USD 3.51 estimate, although its revenue figure is a vendor aggregate in US dollars that does not match K-IFRS operating revenue[8].

Three things matter most in this report. The first is whether Kookmin Bank's margin stops falling: the bank's 2Q26 net interest margin fell 3 basis points quarter on quarter to 1.74%, group net interest income slipped from the first quarter and bank profit fell 3.17% year on year, so the third-quarter margin direction decides whether the banking business, which earns most of the group's profit, contributes growth again[9][10]. The second is whether record fees and KB Securities' profit can hold: 2Q26 net fees were about KRW 570 billion higher than a year earlier and KB Securities' quarterly profit rose 180.59%, so if that came mainly from a trading-volume peak, a third-quarter pullback would cut straight into group profit[4][11]. The third is whether capital can carry shareholder returns: the common equity Tier 1 (CET1) ratio was 13.74% at the end of June, and only about KRW 180 billion of capital above the 13.5% threshold remained after the KRW 700 billion buyback, so the end-of-September ratio sets how much room is left for more at year end[9][12].

Company Background and Business Structure

KB Financial Group is a holding company created in 2008 around Kookmin Bank. It was established on September 29, 2008 through a comprehensive stock transfer in which each Kookmin Bank share was exchanged for one holding-company share, and Kookmin Bank ADS holders received one group ADS for each ADS they owned[13]. Kookmin Bank itself was founded by the Korean government in 1963 as Citizens National Bank and was originally limited to serving the general public and small and medium-sized enterprises[14]. At the end of 2025 the group had consolidated total assets of KRW 798 trillion, deposits of KRW 462 trillion, equity of KRW 61 trillion and 771 bank branches[1], plus about 39.0 million retail customers, more than half of Korea's population[15].

Banking still earns most of the profit, but the non-bank units now account for a meaningful share. The group reports seven segments: retail banking, corporate banking and other banking (mainly treasury) inside Kookmin Bank, plus credit cards, securities, life insurance and non-life insurance. In 2025 segment profit after tax was KRW 1,445 billion in retail banking, KRW 1,540 billion in corporate banking, KRW 839 billion in other banking, KRW 329 billion in cards, KRW 677 billion in securities, KRW 139 billion in life insurance and KRW 779 billion in non-life insurance; with KRW 721 billion from other units, the total before consolidation adjustments was KRW 6,469 billion[16]. The three banking segments together earned KRW 3,824 billion, about 59% of segment profit, and securities and non-life insurance were the two largest non-bank contributors[16].

The loan book leans toward corporate and mortgage lending, and real estate and manufacturing are the largest industry exposures. At the end of 2025 total loans were KRW 497.4 trillion, including corporate loans of KRW 238.4 trillion (47.9%), mortgage and home-equity loans of KRW 142.8 trillion (28.7%), other consumer loans of KRW 58.8 trillion (11.8%) and credit card loans of KRW 23.1 trillion (4.7%); retail and card lending together made up 45.2%, and KB describes itself as Korea's largest private-sector mortgage lender[15]. At June 30, 2026, manufacturing was 28.0%, real estate activities 25.9% and wholesale and retail trade 13.9% of Kookmin Bank's KRW 244.3 trillion of total credit[17]. Kookmin Bank and KB Securities are both wholly owned, and the bank's interim dividend is paid entirely to the holding company[18][19]; Kookmin Bank also held a 4.9% stake in the internet-only lender Kakao Bank[20].

Financial History and Current Position

On an annual basis, KB's profit has risen for three straight years, but net interest income growth has slowed sharply. Profit attributable to shareholders rose from KRW 4,594.8 billion in 2023 to KRW 5,078.2 billion in 2024 and KRW 5,833.2 billion in 2025, a 14.9% increase in the latest year; operating income before provisions rose from KRW 9,531.4 billion to KRW 10,880.6 billion over the same span, while provisions for credit losses were KRW 3,146.4 billion, KRW 2,044.3 billion and KRW 2,362.9 billion[21]. Net interest income was KRW 13,073 billion in 2025, only 1.9% higher than a year earlier, and group net interest margin fell from 2.02% to 1.95% because average interest-earning assets grew 5.4%, faster than interest income[22]. Net fee and commission income was KRW 4,098.3 billion and general and administrative expenses KRW 7,064.6 billion in 2025[23].

In the first half of 2026, profit growth came mainly from fees and lower provisions rather than from interest income. Profit attributable to shareholders was KRW 3,884.6 billion, made up of KRW 1,892.4 billion in the first quarter and KRW 1,992.2 billion in the second, a 5.27% sequential increase[3]. First-half net interest income was KRW 6,478.3 billion, only 1.7% above KRW 6,368.7 billion a year earlier; net fee income jumped from KRW 1,966.0 billion to KRW 2,961.2 billion and provisions fell from KRW 1,310.7 billion to KRW 1,013.0 billion, while net insurance income dropped from KRW 849.9 billion to KRW 755.7 billion and G&A rose 8.9% to KRW 3,654.4 billion[23]. In the second quarter alone, net interest income of KRW 3,143.4 billion was close to KRW 3,106.5 billion a year earlier, while net fee income of KRW 1,601.9 billion was more than 50% above the year-earlier KRW 1,031.9 billion[4]. By subsidiary, Kookmin Bank's 2Q26 profit attributable fell 3.17% to KRW 1,124.4 billion, while KB Securities' rose 180.59% to KRW 449.9 billion[10][11].

The balance sheet expanded noticeably in the first half, capital ratios edged down, and shareholder returns continued on schedule. At June 30, 2026 total assets were KRW 866.9 trillion (KRW 797.9 trillion at the end of 2025), loans at amortized cost KRW 505.4 trillion, deposits KRW 486.3 trillion, borrowings KRW 77.9 trillion and debentures KRW 80.5 trillion[24]. Risk-weighted assets rose from KRW 357.00 trillion at the end of 2025 to KRW 369.75 trillion, and the BIS total capital ratio fell from 16.20% to 15.91%[25]; the preliminary CET1 ratio was 13.74%, against 13.82% at the end of 2025[9][26]. The board declared a 2Q26 cash dividend of KRW 1,155 per share, about KRW 405.5 billion in total[27], and KB completed a KRW 600 billion buyback on July 14[28].

Operating Model

KB's revenue starts with loan volume times spread, and the spread responds to rate changes with a lag. Net interest income roughly equals average interest-earning assets times net interest margin, and the largest asset is won lending: in 1H26 the group's average won loans were KRW 420.9 trillion at a 4.06% yield, against KRW 410.8 trillion at 4.19% for full-year 2025[29]; on the funding side, average won deposits were KRW 389.1 trillion at a 1.90% cost, down from 2.07% in 2025[30]. Loan yields fell 13 basis points while deposit costs fell 17 basis points, which shows liability costs still catching up with asset yields; in 2Q26 group net interest margin was 1.94%, down 5 basis points quarter on quarter, and the bank margin was 1.74%[9]. The 20-F notes that during the rate increases from August 2021 to the first quarter of 2023, loans repriced faster than deposits and bank spreads widened[31]; that means rate hikes help the margin first through loan yields, with deposit costs following later.

Fees, costs and provisions drive the profit swings outside the spread. Fees come from KB Securities' brokerage, wealth management and investment banking, and from the bank's trust, securities-agency and bancassurance sales: retail banking net fees rose 37.6% to KRW 333 billion in 2025[32], and securities segment net fees rose 20.5% to KRW 951 billion, mainly because Korean stock-market trading volume increased[33]. Operating profit equals revenue minus G&A and credit provisions; the group cost-to-income ratio was 36.2% in the first half and cumulative credit cost was 39 basis points[9]. Management attributed most of the 2Q26 G&A increase to performance pay at KB Securities tied to the strong stock market[7], so costs rise alongside fees when fees surge. Regulatory provisions are a separate one-off variable: KB recognized KRW 333.0 billion of other provisions for ELS, LTV penalties and other matters in 2025, after KRW 744.8 billion of expense in 2024 for voluntary compensation linked to the Hang Seng China Enterprises Index ELS[34].

For a bank holding company, distributable cash depends on capital rather than accounting operating cash flow. Subsidiaries pass profit up as dividends; for example, Kookmin Bank declared a KRW 1,399.2 billion interim dividend, scheduled to be paid in full to the holding company on July 22, 2026[18]. The holding company then distributes under its value-up plan: in the first phase, capital above a 13% CET1 ratio at year end funds the next year's returns, and in the second phase capital above 13.5% CET1 in the second half becomes additional return capacity, paid through equal quarterly dividends plus buybacks[35]. At the same time, the group reinvests capital from mature subsidiaries in growth businesses and injected about KRW 1 trillion into KB Securities in July[19]. Profit therefore first accumulates as CET1 and is then turned into buybacks or dividends at year end, with quarterly profit, risk-weighted asset growth and the exchange rate together setting how tight that chain is.

Industry and Competitive Position

KB operates in a market where competition is intense and spreads are constrained by policy. The 20-F says competition in Korean finance is intense and likely to stay that way, banks are refocusing on retail and SME customers, and retail lending and cards face market saturation, interest-rate competition, pressure to cut merchant fees and higher marketing costs[36]. Internet-only banks run without branches and can offer higher deposit rates or lower loan rates at lower cost; Kookmin Bank holds 4.9% of one of them, Kakao Bank[20]. The 20-F also warns that changes in regulation or competitive strategy could force banks to adjust a pricing strategy aimed at maximizing spreads[31].

KB's advantages are a large retail customer and deposit base and more capital-market income than a pure bank. About 39.0 million retail customers and 771 branches form one of the most extensive banking networks in Korea[1]; in the first half, won deposits supplied 47.70% of the group's funding at an average cost of only 1.90%[30]; and the securities segment contributed KRW 677 billion of after-tax profit in 2025[16]. The limit of this comparison is that the available material covers only KB's own disclosures, so the spreads, costs and market shares of other bank-led groups and internet-only banks cannot be quantified on the same basis.

Core Debates

After Kookmin Bank's margin slipped 3bp in 2Q26, will it turn up in 3Q26 and bring group net interest income back to quarter-on-quarter growth?

The bank margin is the largest part of KB's profit and the weakest part of its 2Q26 results. The three banking segments generated about 59% of segment profit in 2025[16], yet Kookmin Bank's 2Q26 profit attributable fell 3.17% year on year to KRW 1,124.4 billion[10] while group profit rose 14.60%[3]. Group net interest income was KRW 3,143.4 billion in 2Q26, below KRW 3,334.8 billion in 1Q26 (derived as the first half minus the second quarter)[4][23], as the bank margin fell 3 basis points to 1.74%[9].

The evidence shows asset yields falling faster than funding costs, but management describes the pressure as temporary. The average won loan yield in 1H26 was 4.06%, down from 4.19% in 2025[29], while the won deposit cost fell from 2.07% to 1.90%[30]. Management attributed the 2Q26 margin decline to lower-spread productive-finance lending and to funding raised ahead of expected second-half rate hikes[12], and guided to a gradual second-half improvement with a slight full-year increase[5]; the alternative comes from a risk management itself listed, namely that intensifying corporate-loan competition is pushing down loan yields and the margin[37]. The transmission runs from base-rate hikes and won loan repricing, plus fading prefunding costs, to a bank margin recovering from 1.74%; applied to about KRW 385 trillion of won loans, that would show up in net interest income and Kookmin Bank profit and then in group net income.

What remains unresolved is whether the margin can recover faster than corporate-loan price competition erodes it. In 3Q26, watch the bank margin's quarterly change against 1.74%, group net interest income against KRW 3,143.4 billion, won loan growth against 1.6% quarter on quarter in 2Q26 (won loans were KRW 385 trillion at the end of June, with corporate loans of KRW 201 trillion, up 2.2%, and household loans of KRW 184 trillion), and Kookmin Bank's profit against its 3.17% year-on-year decline in 2Q26[9]. If the bank margin keeps falling in 3Q26 and net interest income grows only through volume, the view that the margin dip was a temporary cost would be weakened.

With group fees and KB Securities' profit at records in 2Q26, can 3Q26 hold that level, or was it a trading-volume peak?

Fees were the main source of KB's profit growth in the first half of 2026, so their durability decides whether growth continues. Group net fee income was KRW 1,601.9 billion in 2Q26, against KRW 1,031.9 billion a year earlier[4] and KRW 1,359.3 billion in 1Q26 (derived as the first half minus the second quarter)[23]. KB Securities' 2Q26 profit attributable was KRW 449.9 billion, up 180.59%[11], and it contributed about 21% of group net income in the first half[9], while Kookmin Bank's profit declined.

Management guidance and new capital argue for a durable level, while the cyclical source of the revenue argues against it. The 20-F attributes the 20.5% rise in 2025 securities segment net fees, to KRW 951 billion, to higher Korean stock-market trading volume[33]; management said that although capital-market volatility makes precise forecasting difficult, second-half fee income should hold above 2025, with planned corporate and investment banking deals, productive-finance business and a pickup in equity and debt underwriting offsetting any weakness in trading volume[7]. The group also injected about KRW 1 trillion into KB Securities in July[19]. The alternative is that this surge was turnover-driven and cyclical: 2Q26 G&A was KRW 1,889.5 billion, up 8.0%[4], mainly because of KB Securities' performance pay[7], so if markets quiet down, brokerage and trading income would fall first while costs would not fall as quickly.

What remains unresolved is how much of the 2Q26 fee line is repeatable investment banking and wealth management income and how much was a trading-volume peak. In 3Q26, watch group net fees against the 1H26 quarterly average of KRW 1,480.6 billion, KB Securities' profit against KRW 449.9 billion in 2Q26, and whether G&A grows faster than fees[23][11]. If fees fall clearly in 3Q26 and move back toward the 2025 quarterly average of about KRW 1,024.6 billion, the view that KB has reached a new fee plateau would be falsified.

Credit cost was only 39bp in 1H26; will SME and self-employed stress push it past the full-year guide, and will the Hong Kong ELS penalty come in above or below the provision?

Lower provisions were an important source of 2Q26 profit growth, and the full-year guide itself implies higher provisions in the second half. The 2Q26 provision for credit losses was KRW 519.7 billion, against KRW 655.1 billion a year earlier[4] and KRW 493.3 billion in 1Q26 (derived as the first half minus the second quarter)[23]. Cumulative credit cost was 39 basis points in the first half, 15 basis points better than a year earlier[9], while management's full-year guide is the early-to-mid 40 basis-point range[5], above the first-half level.

The evidence of credit stress centers on SMEs, the self-employed and vulnerable borrowers, but the low first-half provisions may also reflect conservative earlier provisioning. Management said it would keep a conservative provisioning stance[5] and warned that FX volatility, high interest rates and the Middle East situation create downside risk for asset quality among SMEs, small-business owners and marginal borrowers[37]; the half-year report also lists high Korean loan delinquency rates as a factor[38], real estate activities make up 25.9% of Kookmin Bank's credit[17], and the card segment's provisions were KRW 765 billion in 2025[39]. The alternative is that the first half benefited from earlier conservative provisioning and write-offs, so 3Q26 provisions stay near KRW 520 billion and the full-year guide proves cautious; on ELS, KB recognized KRW 333.0 billion of other provisions in 2025 for ELS, LTV penalties and other matters[34], and a final regulatory decision was expected in late July, with no potential reversal included in first-half results[12]. There are two transmission paths: FX, rate and geopolitical stress raises delinquencies among SME, self-employed and card borrowers and flows into credit provisions, while the regulator's ELS and LTV decision flows through other provisions in non-operating items and ultimately into profit before tax.

What remains unresolved is whether second-half credit cost returns to the guided range or stays below it, and whether the ELS outcome brings an extra charge or a reversal. In 3Q26, watch provisions against KRW 519.7 billion in 2Q26, cumulative nine-month credit cost against the full-year guide, and any additional charge or reversal against the KRW 333.0 billion ELS and LTV provision[4][5][34]. If SME, self-employed and card delinquencies rise and provisions break above the guided range, the view that low first-half credit cost can persist would be falsified.

With a KRW 700bn buyback under way, can CET1 stay above 13.5% at the end of 3Q26 and leave room for more at year end?

The capital ratio sets the size of KB's shareholder returns, and the current cushion is thin. KB plans KRW 3.52 trillion of shareholder returns for 2026, including a first round of KRW 2.82 trillion announced in February, and the second-round buyback draws on capital above the 13.5% CET1 threshold[6]. The CET1 ratio was 13.74% at June 30[9], risk-weighted assets grew 3.6% in the first half[25], and about KRW 180 billion of surplus capital remained after the KRW 700 billion buyback[12].

Profit funds the buyback, but management has kept its timing flexible, and the capital ratio also depends on FX and asset growth. Profit attributable was KRW 1,992.2 billion in 2Q26, up 14.60%[3]; the KRW 600 billion first-half buyback finished on July 14 after acquiring 3,581,623 shares at an average KRW 167,522[28], and the KRW 700 billion trust buyback runs from July 24 to December 16[40]. Management said it still intends to return all CET1 capital above the threshold to shareholders by fiscal year end, but will keep flexibility over the choice between buybacks and dividends and over timing because of seasonal fourth-quarter capital pressure and FX volatility[12]; the value-up plan specifies that capital above 13.5% CET1 in the second half becomes additional return capacity[35]. The alternative is that FX-inflated risk-weighted assets or weaker profit pull CET1 toward 13.5%, shrinking the residual surplus and the size of any year-end top-up. The transmission runs from quarterly profit, less dividends and buybacks, set against risk-weighted asset growth and FX effects, to the CET1 ratio, and from there to the surplus above 13.5% and the year-end buyback or dividend decision.

What remains unresolved is whether capital generated from 3Q26 profit can outpace risk-weighted asset growth. In 3Q26, watch the end-of-September CET1 ratio against 13.74% at the end of June and the 13.5% threshold, risk-weighted asset growth against 1.1% quarter on quarter in 2Q26[9], the third-quarter dividend against KRW 1,155 per share[27], and progress on the KRW 700 billion trust buyback[40]. If FX volatility inflates risk-weighted assets and pushes CET1 close to 13.5%, room for additional year-end returns would shrink and the view that capital is sufficient to support a top-up would be weakened.

Risks and Falsifiers

A leadership transition could reopen the pace of capital returns. KB's board has called an extraordinary general meeting for November 20, 2026 to appoint Jae Keun Lee as an executive director[41], and the exposure is the KRW 3.52 trillion of shareholder returns planned for 2026 and the allocation of capital between the bank and the non-bank units[6]. The risk would be falsified if the new leadership reaffirms the value-up return framework and the 13.5% CET1 surplus rule after the meeting[35].

Higher insurance loss ratios could keep weighing on insurance income. Group net insurance income was KRW 755.7 billion in the first half, against KRW 849.9 billion a year earlier[23]; the non-life segment's net insurance income fell 29.8% in 2025, mainly because incurred claims rose[42], and management acknowledged higher long-term and auto loss ratios in the first half, with the second quarter improving only on lower loss ratios and reversals of contractual service margin impairments[9]. The risk would be falsified if 3Q26 net insurance income returns to or exceeds the 1H25 quarterly pace of about KRW 424.9 billion.

Corporate-loan price competition and funding costs could keep Kookmin Bank's margin falling after 2Q26. The exposure is the group's KRW 3,143.4 billion of 2Q26 net interest income and Kookmin Bank's KRW 1,124.4 billion of profit; management lists corporate-loan competition as a risk to loan yields[37], and the 20-F warns that rate competition can erode retail and SME lending profitability[36]. The risk would be falsified if the bank margin rises at least 2 basis points quarter on quarter in 3Q26.

Cooler capital markets could pull KB Securities' brokerage and trading income back down. The exposure is the group's KRW 1,601.9 billion of 2Q26 net fees and KB Securities' KRW 449.9 billion of profit; management acknowledged that capital-market volatility makes securities earnings uncertain[37], and the 20-F shows that 2025 securities fee growth came mainly from trading volume[33]. The risk would be falsified if 3Q26 net fees are at or above KRW 1,480.6 billion.

Stress among SME, self-employed and card borrowers could lift provisions above the guided range. The exposure is the KRW 1,013.0 billion first-half provision for credit losses and operating profit[23]; the half-year report lists high Korean loan delinquency rates and FX and rate volatility as uncertainties[38], and the card segment's provisions already reached KRW 765 billion in 2025[39]. The risk would be falsified if 3Q26 provisions are at or below KRW 519.7 billion.

Won volatility could inflate foreign-currency risk-weighted assets and push CET1 toward the 13.5% threshold. The exposure is the 13.74% CET1 ratio at the end of June and the roughly KRW 180 billion of surplus capital available for year-end returns[12]; risk-weighted assets already rose from KRW 357.00 trillion to KRW 369.75 trillion in the first half[25]. The risk would be falsified if CET1 is at or above 13.7% at the end of September.

What to Watch Next

• Bank margin: Kookmin Bank's margin was 1.74% in 2Q26, down 3 basis points, and group net interest income was KRW 3,143.4 billion. Watch the 3Q26 margin direction and won loan growth against 1.6% quarter on quarter; a rise of at least 2 basis points would confirm the recovery view, and a further decline would falsify it.
• Fee durability: group net fees were KRW 1,601.9 billion and KB Securities' profit KRW 449.9 billion in 2Q26. Watch 3Q26 fees against G&A growth; fees at or above KRW 1,480.6 billion would confirm the higher plateau, and a slide toward about KRW 1,024.6 billion would falsify it.
• Credit cost and ELS: 2Q26 provisions were KRW 519.7 billion, 1H26 credit cost was 39 basis points, and ELS and related provisions stand at KRW 333.0 billion. Watch 3Q26 provisions, nine-month credit cost and any ELS charge or reversal; provisions at or below KRW 519.7 billion would confirm the benign view, and a break above the full-year guide would falsify it.
• Capital and buyback room: CET1 was 13.74% at the end of June, risk-weighted assets KRW 369.75 trillion and the quarterly dividend KRW 1,155 per share. Watch end-of-September CET1, risk-weighted asset growth against 1.1% in 2Q26 and buyback progress; CET1 at or above 13.7% would confirm room for more, and a drift toward 13.5% would falsify it.

Conclusion

KB's core business is still Kookmin Bank's lending spread, but its 2026 first-half profit growth came mainly from securities fees and lower provisions. First-half profit attributable was KRW 3,884.6 billion, up 13.07%[3], while net interest income grew only 1.7% and net fee income jumped from KRW 1,966.0 billion to KRW 2,961.2 billion[23]; in 2Q26 the bank margin fell to 1.74% and Kookmin Bank's profit fell 3.17% year on year[9][10]. CET1 was 13.74% at the end of June, and under the KRW 3.52 trillion full-year return plan only about KRW 180 billion of capital above the threshold remained[12][6]. The central unresolved relationship is whether the bank margin can turn up before fees possibly fall back, without credit cost and risk-weighted asset growth eroding the capital cushion.

After the July 23 second-quarter release, no independent outside party published a qualifying assessment of the results themselves; later coverage focused on the buyback, share-price moves and management personnel and offered no outside interpretation of the margin, fee or capital questions. That leaves a coverage gap in outside interpretation, and the only available basis is the company's disclosures and management's call commentary, which are themselves what the third-quarter numbers will test.

If 3Q26 shows a sequential rise in the bank margin, net fees holding near KRW 1,480.6 billion, provisions at or below KRW 519.7 billion and CET1 around 13.7% at the end of September together, the view that the bank is stabilizing, the non-bank units are taking over growth and capital is sufficient for returns would be materially strengthened. Conversely, if the margin keeps falling, fees slide back toward the 2025 quarterly average, provisions break above the guided range or risk-weighted assets push CET1 toward 13.5%, the first-half growth would look more like the product of cyclical factors, and room for a year-end return top-up would narrow accordingly.

Sources

[1] KB 20-F filed 2026-04-28 · business overview and scale · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[2] KB 6-K filed 2026-10-15 · 3Q26 earnings conference notice · 2026-10-15 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526422217/0001193125-26-422217-index.htm

[3] KB 6-K filed 2026-07-23 · 1H26 preliminary group results · 2026-07-23 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526313193/0001193125-26-313193-index.htm

[4] KB 6-K filed 2026-08-14 · 2Q26 and 1H26 consolidated income statement · 2026-08-14 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526350220/0001193125-26-350220-index.htm

[5] KB earnings call 2026-07-23 · 2H26 guidance · 2026-07-23 · earnings-call · https://gateway.drillr.ai/mcp/private

[6] KB earnings call 2026-07-23 · shareholder return and capital allocation · 2026-07-23 · earnings-call · https://gateway.drillr.ai/mcp/private

[7] KB earnings call 2026-07-23 · Q&A on G&A and 2H26 fee outlook · 2026-07-23 · earnings-call · https://gateway.drillr.ai/mcp/private

[8] Drillr earnings_calendar (last updated 2026-10-24) · KB 2026-10-29 per-ADS estimates · 2026-10-24 · Drillr earnings_calendar (vendor consensus) · https://gateway.drillr.ai/mcp/private

[9] KB earnings call 2026-07-23 · 1H26 segment and group performance · 2026-07-23 · earnings-call · https://gateway.drillr.ai/mcp/private

[10] KB 6-K filed 2026-07-23 · 1H26 preliminary Kookmin Bank results · 2026-07-23 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526313193/0001193125-26-313193-index.htm

[11] KB 6-K filed 2026-07-23 · 1H26 preliminary KB Securities results · 2026-07-23 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526313193/0001193125-26-313193-index.htm

[12] KB earnings call 2026-07-23 · Q&A on NIM, ELS and excess capital · 2026-07-23 · earnings-call · https://gateway.drillr.ai/mcp/private

[13] KB 20-F filed 2026-04-28 · holding company formation · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[14] KB 20-F filed 2026-04-28 · Kookmin Bank history · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[15] KB 20-F filed 2026-04-28 · principal components of lending business · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[16] KB 20-F filed 2026-04-28 · results by principal business segment 2023-2025 · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[17] KB 6-K filed 2026-08-14 · Kookmin Bank loan concentration by industry · 2026-08-14 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526350220/0001193125-26-350220-index.htm

[18] KB 6-K filed 2026-06-18 · Kookmin Bank interim dividend to holding company · 2026-06-18 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526274878/0001193125-26-274878-index.htm

[19] KB 6-K filed 2026-06-26 · KB Securities capital increase · 2026-06-26 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526283744/0001193125-26-283744-index.htm

[20] KB 20-F filed 2026-04-28 · internet-only bank competition · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[21] KB 20-F filed 2026-04-28 · consolidated statement of comprehensive income 2023-2025 · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[22] KB 20-F filed 2026-04-28 · net interest margin 2025 vs 2024 · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[23] KB 6-K filed 2026-08-14 · 1H26 results of operations · 2026-08-14 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526350220/0001193125-26-350220-index.htm

[24] KB 6-K filed 2026-08-14 · consolidated balance sheet at June 30, 2026 · 2026-08-14 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526350220/0001193125-26-350220-index.htm

[25] KB 6-K filed 2026-08-14 · capital adequacy at June 30, 2026 · 2026-08-14 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526350220/0001193125-26-350220-index.htm

[26] KB 20-F filed 2026-04-28 · capital adequacy 2024-2025 · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[27] KB 6-K filed 2026-07-23 · 2Q26 quarterly cash dividend · 2026-07-23 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526313200/0001193125-26-313200-index.htm

[28] KB 6-K filed 2026-07-16 · completion of KRW 600bn buyback · 2026-07-16 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526305350/0001193125-26-305350-index.htm

[29] KB 6-K filed 2026-08-14 · 1H26 average won loan balance and yield · 2026-08-14 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526350220/0001193125-26-350220-index.htm

[30] KB 6-K filed 2026-08-14 · 1H26 average balances and rates · 2026-08-14 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526350220/0001193125-26-350220-index.htm

[31] KB 20-F filed 2026-04-28 · government policy pressure on margins · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[32] KB 20-F filed 2026-04-28 · retail banking segment 2025 vs 2024 · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[33] KB 20-F filed 2026-04-28 · securities segment 2025 vs 2024 · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[34] KB 20-F filed 2026-04-28 · ELS and LTV penalty provisions · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[35] KB 6-K filed 2026-08-14 · value-up shareholder return policy · 2026-08-14 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526350220/0001193125-26-350220-index.htm

[36] KB 20-F filed 2026-04-28 · competition in Korean financial industry · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[37] KB earnings call 2026-07-23 · 2H26 stated risks · 2026-07-23 · earnings-call · https://gateway.drillr.ai/mcp/private

[38] KB 6-K filed 2026-08-14 · factors affecting 2026 results · 2026-08-14 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526350220/0001193125-26-350220-index.htm

[39] KB 20-F filed 2026-04-28 · credit card segment 2023-2025 · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm

[40] KB 6-K filed 2026-07-23 · KRW 700bn treasury share trust agreement · 2026-07-23 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526313202/0001193125-26-313202-index.htm

[41] KB 6-K filed 2026-10-02 · EGM to appoint executive director · 2026-10-02 · 6-K · https://www.sec.gov/Archives/edgar/data/1445930/000119312526411212/0001193125-26-411212-index.htm

[42] KB 20-F filed 2026-04-28 · non-life insurance segment 2025 vs 2024 · 2026-04-28 · 20-F · https://www.sec.gov/Archives/edgar/data/1445930/000119312526183398/0001193125-26-183398-index.htm