Financial firms earn NT$20 billion in Jan.
The China Post news staffTAIPEI, Taiwan -- Total profit posted by Taiwan's financial holding firms exceeded NT$20 billion in January, on gains they made from stocks and other investments.
February 19, 2013, 12:25 am TWN
Of the figure, over NT$10 billion came from the top three most profitable: Fubon Financial, Chinatrust Financial and Cathay Financial, which posted January net profits of NT$4.04 billion, NT$3.057 billion and NT$3.04 billion, respectively. The figure posted by Fubon represented earnings per share of NT$0.42.
Of note, the NT$3.057 billion for Chinatrust was a historic monthly high. The figures for Fubon and Cathay were the highest in six months.
Analysts attributed the high profitability to the brilliant performance of stocks that financial holding firms have investments in. At the same time, a global economic recovery has created need for wealth management, which has also boosted the business of banking units under the financial holding firms.
Meanwhile, Cathay was able to get back the NT$10 billion that it set aside as a real estate reserves fund. The NT$10 billion was to be returned in monthly installments, helping boost Cathay January earnings by over NT$800 million.
Among other financial holding firms that did well in January were China Development and Shin Kong, both of which returned to profit last month after incurring losses for sometime. E.Sun, Yuanta, Mega, Taishin, First, Jih Sun and Taiwan Cooperative saw January earnings double from those for December.