KB Financial net up 23.3%

KB Financial Group's first-quarter earnings rose 23.3 percent from 2010. This is due to improved interest margin and a fall in loan-loss reserves.

The bank's net profit amounted to 757.6 billion won or US$706.3 million for the  January-March period, compared with 614.5 billion won during the same period the previous year, the group said in a regulatory filing. It compared with a net loss of 341 billion won in the fourth quarter of last year.

Revenue declined 12.1 percent on-year to 6.44 trillion won while operating profit jumped 60.3 percent to 1 trillion won, it added.

"The group's higher net income mainly came as interest income rose amid its improved net interest margin and expenses including labor costs declined following its sweeping voluntary retirement program," the group said.