Fubon Taiwan's Most Profitable FHC in January 2014
2014/02/25 | By Judy LiThanks to robust performance of their banking and life insurance affiliates, Fubon Financial Holding Co. and Cathay Financial Holding Co. were Taiwan's top two financial holding companies (FHCs) in January in terms of profit, with the former raking in after-tax profits of NT$6.704 billion (US$223.47 million) and the latter NT$4.03 billion (US$134.33 million).
An executive of Fubon indicates that Fubon Life Insurance Co. and Taipei Fubon Commercial Bank are two strong arms of Fubon Financial and also major moneymakers for Fubon Financial. In January Fubon Life scored profits of NT$3.275 billion (US$109.17 million) for a whopping annual rise of 78% and the profits of Taipei Fubon Bank jumped by 65% to NT$3.248 billion (US$108.27 million).
Likewise, Cathay Life Insurance Co. and Cathay United Bank, the two key affiliates of Cathay Financial, were main profit makers of Cathay Financial in January. Cathay Life, before setting aside special reserves for currency hedging, gained profits of NT$5.93 billion (US$197.67 million) in January for the highest monthly record, but dropped to NT$2.15 billion (US$71.67 million) after such appropriations.
In the same month, Taishin Financial Holding Co. witnessed its after-tax profits score a sizable growth of 37% to hit a new monthly high of NT$1.9 billion (US$63.33 million), translating into NT$0.24 (US$0.008) in earnings per share (EPS), the third highest among the FHCs. Of its affiliates, Taishin International Bank gained profits of NT$1.51 billion (US$50.33 million) during the month, surging 32.5% from the corresponding figure of last year.
However, Shin Kong Financial Holding Co. was the only FHC that suffered loss in January due to lackluster performance of its life insurer—Shin Kong Life Insurance Co., which posted sizable loss of NT$949 million (US$31.63 million), hence Shin Kong Financial's after-tax deficit of NT$447 million (US$14.9 million) for the month. (JL)
| Profitability of Taiwan's FHCs in January | ||
| FHC
| After-tax profits (NT$B.)
| EPS (NT$)
|
| Fubon
| 6.704
| 0.66
|
| Cathay
| 4.03
| 0.33
|
| Taishin
| 1.9
| 0.24
|
| CTBC Financial
| 2.873
| 0.2
|
| Mega Financial
| 2.315
| 0.19
|
| E. Sun Financial
| 1.019
| 0.18
|
| SinoPac Financial
| 1.417
| 0.17
|
| First Financial
| 1.151
| 0.13
|
| Hua Nan Financial
| 0.975
| 0.11
|
| Taiwan Cooperative Financial
| 0.776
| 0.09
|
| Yuanta Financial
| 0.838
| 0.08
|
| Jih Sun Financial
| 0.246
| 0.08
|
| Waterland Financial
| 0.132
| 0.05
|
| Shin Kong Financial
| -0.447
| -0.05
|