ID :
207208
Thu, 09/15/2011 - 01:42
Auther :
Shortlink :
https://oananews.org//node/207208
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S. Korean futures firms' earnings down 14.4 pct in Q1
SEOUL (Yonhap) - South Korean futures companies saw their first-quarter earnings drop 14.4 percent from a year earlier due mainly to a decline in commission income, the financial watchdog said Thursday.
The combined net profit of seven local futures firms came to 11.9 billion won (US$10.8 million) in the April-June period, compared with 13.9 billion won in the previous year, according to the Financial Supervisory Service (FSS). The companies closed their books on March 31.
The weaker bottom line came as commission income fell amid securities firms' expansion into the futures brokerage business, the FSS noted.
Despite the on-year decline, the futures companies were all in the black in the first quarter.
Samsung Futures Inc. posted the largest net profit of 5.2 billion won and Woori Futures Co. followed with 3.3 billion won, according to the watchdog.
Meanwhile, the average net capital ratio (NCR) of local futures firms dropped 28.7 percentage points on-year to 669.7 percent on increased market-related risks, the FSS said.
An NCR measures a financial company's health by calculating the ratio between net operating capital and total amount at risk. A lower figure indicates a deterioration in financial health.
The combined net profit of seven local futures firms came to 11.9 billion won (US$10.8 million) in the April-June period, compared with 13.9 billion won in the previous year, according to the Financial Supervisory Service (FSS). The companies closed their books on March 31.
The weaker bottom line came as commission income fell amid securities firms' expansion into the futures brokerage business, the FSS noted.
Despite the on-year decline, the futures companies were all in the black in the first quarter.
Samsung Futures Inc. posted the largest net profit of 5.2 billion won and Woori Futures Co. followed with 3.3 billion won, according to the watchdog.
Meanwhile, the average net capital ratio (NCR) of local futures firms dropped 28.7 percentage points on-year to 669.7 percent on increased market-related risks, the FSS said.
An NCR measures a financial company's health by calculating the ratio between net operating capital and total amount at risk. A lower figure indicates a deterioration in financial health.
