Fubon Financial

Preliminary December 2020 net profit

2021.01.11

Fubon Financial reported December 2020 preliminary pre-tax profit of NT$11,761mn and net profit of NT$10,481mn. Cumulative pre-tax profit for the year was NT$103.9bn and net profit totaled NT$90.9bn, up 55% yoy, driven by growth across major subsidiaries, and EPS reached NT$8.59. Cumulative net profit of Fubon Financial, Fubon Life, Fubon Insurance, Fubon Securities and Fubob Bank (China) all reached historical high level.

• Fubon Life reported net profit of NT$8,227mn in December. Cumulative net profit was NT$61,042mn, with a strong growth of 130% yoy, driven by sound underwriting and investment performance. Cumulative FYP for FY20 reached NT$121.4bn and total premium was NT$546.3bn.

• Taipei Fubon Bank’s December net profit was NT$529mn. Net interest income remained stable. Cumulative net profit was NT$18,784mn. NPL ratio and coverage ratio as of December were 0.16% and 777%, respectively.

• Fubon Insurance reported net profit of NT$870mn in December, a significant increase of 184% yoy, mainly due to better investment performance. Cumulative net profit reached NT$5,701mn, up 30% yoy, as underwriting and investment performance remained decent. Cumulative GWP grew 8% yoy and its market share was ranked the top in the market.

• Fubon Securities reported net profit of NT$460mn in December, representing a strong growth of 365% yoy(1). Cumulative net profit was NT$4,221mn, up 64% yoy(1). Earnings growth reflected higher growth from brokerage and underwriting business alone with higher market turnover.

• Fubon Bank (China) delivered strong net profit of NT$1,889mn for FY20, up 32% yoy, mainly driven by growth in net interest income.

Net profit of Fubon Financial and its subsidiaries

(1)Note: Fubon Asset Management was a subsidiary of Fubon Securities until Dec 30 2019. For a consistent earnings comparison between year 2019 and 2020, Fubon Asset Management’s net profit is excluded.