Mission Statement, Vision, & Core Values of Shinhan Financial Group Co., Ltd. (SHG)

Shinhan Financial Group Co., Ltd. isn't just a major player; they are a financial titan, posting a record accumulated net profit of KRW 4.46 trillion (about $3.1 billion) in the first three quarters of 2025 alone. But with a market capitalization hovering around $27.44 billion as of November 2025, you have to ask: what foundational principles, beyond the balance sheet, are defintely guiding this kind of sustained performance? We are going to break down the Mission Statement, Vision (More Friendly, More Secure, More Creative), and Core Values (Right, Nimble, Different) that underpin their goal of 'Compassionate Finance.' Do these guiding lights truly map to the near-term risks and opportunities in the global financial landscape, and what does that mean for your investment thesis?

Shinhan Financial Group Co., Ltd. (SHG) Overview

You need to understand the bedrock of Shinhan Financial Group Co., Ltd. (SHG) before diving into the numbers, because a diversified financial holding company like this is a collection of powerful engines. Shinhan Financial Group is one of South Korea's largest and most diversified financial institutions, tracing its origins to the founding of Shinhan Bank in 1982 and becoming the country's first private financial holding company in 2001.

The group offers a comprehensive suite of financial products and services, which is why its revenue streams are so resilient. They cover everything from commercial and retail banking through Shinhan Bank to investment banking and asset management via Shinhan Investment Corp. and Shinhan Asset Management. Plus, they are a major player in credit card services with Shinhan Card and life insurance with Shinhan Life Insurance.

For the first nine months of the 2025 fiscal year, the company's total revenue stood at KRW 48.85 trillion, a slight decline, but that figure hides a much more important internal shift. Honestly, the sheer scale of operations across banking, cards, and insurance is what makes this a defintely complex, but stable, enterprise.

• Banking: Core lending and deposit services.
• Credit Cards: Merchant fees and consumer finance.
• Insurance: Life, health, and retirement solutions.
• Asset Management: Brokerage and investment advisory.

To get a deeper look at the foundational strategy and structure, you should check out Shinhan Financial Group Co., Ltd. (SHG): History, Ownership, Mission, How It Works & Makes Money.

2025 Financial Performance: Net Income Hits Record High

The headline takeaway from the Q3 2025 results is that Shinhan Financial Group achieved a record-high accumulated net profit for the first three quarters of the year, driven by strong core earnings. For the nine months ended September 30, 2025, the consolidated net income reached KRW 4,460,943 million, which is a solid 10.3% increase from the same period a year ago. That's a powerful signal of profitability despite a challenging global economic environment.

Here's the quick math: the net profit for the third quarter alone was KRW 1.4235 trillion, a 9.8% rise year-over-year. The primary engine for this record performance was net interest income, which is the money earned from lending minus the cost of funding. This figure grew to KRW 8,840,172 million for the nine-month period. Non-interest income, from fees and securities, also spiked, rising 4.9% to KRW 3.17 trillion, showing good diversification.

The company's capital position is also rock-solid, which is crucial for a financial institution. The Common Equity Tier 1 (CET1) ratio, a key measure of a bank's ability to withstand financial stress, remained stable at 13.56% as of September 2025. Also, the Return on Equity (ROE) improved by 0.7 percentage points year-over-year to 11.1%, meaning they are using your capital more efficiently. The group is also committed to shareholder value, with an expected 2025 shareholder return of around KRW 2.35 trillion, split between cash dividends and share buybacks. That's a clear action plan for capital deployment.

Shinhan Financial Group's Industry Leadership

Shinhan Financial Group isn't just a big player; it's a recognized leader, and that brand power translates directly into customer trust and lower cost of capital over the long run. The group and its key subsidiaries secured multiple top spots in the '2025 Korea Industry Brand Power (K-BPI)' awards.

This isn't a one-off win, but a consistent trend that validates their customer-centric approach. Shinhan Financial Group itself was named the number one brand in the 'Financial Group (Holding Company)' category for the 14th consecutive year. Shinhan Bank also ranked first in the 'Bank' category for the 10th consecutive year, and Shinhan Card was number one in the 'Credit Card' category for the 14th consecutive year. This kind of sustained market dominance is rare.

The consistent leadership in core financial services-banking, credit cards, and the holding company structure-shows a deep, competitive moat. The group's focus on digital initiatives and sustainable management, which includes a commitment to achieving Net Zero by 2050 and a climate finance target of KRW 30 trillion by 2030, also positions it well for future regulatory and market trends. This is a company that is not only performing now but is also strategically planning for the next two decades. You should find out more below to understand why this success is so persistent.

Shinhan Financial Group Co., Ltd. (SHG) Mission Statement

You need a clear, authoritative view on what drives Shinhan Financial Group Co., Ltd. (SHG), one of Korea's financial powerhouses. Their mission is not just a plaque on the wall; it's the blueprint for their strategy, especially in this volatile, post-2025 market. The core mission is straightforward: Compassionate Finance, which they define as creating a win-win virtuous structure that increases the values of 'customer,' 'Shinhan,' and 'society' all together.

This mission is the fundamental reason for their existence, a commitment to a 'better world through finance'. It's a guiding star that aligns all their subsidiaries-from Shinhan Bank to Shinhan Card-under the 2025 management slogan, 'Customer-Centric Top-Tier Shinhan: Humanitas, Communitas' (humanity in finance and finance for the community). That's the high-level goal. Now, let's break down the three components that make this mission actionable.

For more on how this mission fits into the group's overall structure, check out Shinhan Financial Group Co., Ltd. (SHG): History, Ownership, Mission, How It Works & Makes Money.

1. Enhancing Customer Value: The Creative Finance Mandate

The first pillar of Compassionate Finance is delivering innovative and reliable financial solutions that genuinely help the customer. This isn't just about selling products; it's about making finance 'More Friendly, More Secure, and More Creative'. Honestly, in a digital world, if you aren't making it easier, you're losing.

Shinhan Financial Group is defintely pushing this with their digital transformation (DT) efforts. A major concrete example is the launch of the 'Shinhan Super SOL' integrated app. This super app combines the core functions of five major group services-Bank, Card, Securities, Life, and Savings Bank-into one place. That's a real-world move to simplify your financial life.

This focus on customer experience is paying off. In March 2025, Shinhan Financial Group was selected as No. 1 in the '2025 Korean Industry's Brand Power (K-BPI)' Financial Holding Group category for the 14th consecutive year. Shinhan Bank also ranked first in the 'Bank' category for 10 consecutive years. These numbers show a sustained commitment to high-quality products and services that customers actually value.

• Integrate services: Super SOL app consolidates five major financial functions.
• Prioritize convenience: Digital transformation aims for 'easier and more comfortable finance'.
• Build trust: Recognized as the top financial brand for 14 years straight.

2. Strengthening Shinhan's Value: The Sustainable Growth Engine

The second component is about increasing Shinhan Financial Group's corporate value, which is critical for shareholders and long-term stability. This is where the rubber meets the road-it requires a focus on ethical conduct, strong capital, and consistent profitability. You can't be compassionate if you aren't solvent and growing.

The latest 2025 fiscal year data confirms a strong trajectory. For the nine months ended September 30, 2025, the group reported a consolidated net income of KRW 4,460,943 million, up from KRW 4,044,079 million a year ago. Here's the quick math: that's a solid increase in profitability, driven by a net interest income of KRW 8,840,172 million for the same period.

Management is also focused on shareholder returns, a key part of corporate value. The group's shareholder return for 2025 is expected to be around KRW 2.35 trillion, combining cash dividends and a share buyback. They've set clear targets to achieve a Return on Equity (ROE) of 10 percent and a return to shareholders of 50 percent. That's a clear action plan for driving value.

3. Contributing to Societal Value: The Shared Prosperity Goal

The final, and perhaps most differentiating, component is the commitment to a 'virtuous cycle of shared prosperity' with society. This means fulfilling the fundamental role of finance-efficient resource allocation-to benefit the whole community. It's about being a responsible corporate citizen.

A concrete example of this is the 'Bring-Up & Value-Up' project, launched to support credit improvement and financial cost reduction for mid-credit customers of savings banks. This win-win project converts certain personal credit loans-with a principal of less than 50 million won and a Debt Service Ratio (DSR) less than 70%-into a new Shinhan Bank product, effectively lowering their financial burden. This is finance as a social good.

Furthermore, their commitment to environmental, social, and governance (ESG) standards is quantifiable. As part of their Zero Carbon Drive, the group has set a climate finance target of KRW 30 trillion by 2030, having already achieved KRW 18.7 trillion, or 62.3% of the target, by the end of 2024. That's a serious capital commitment to the 'Planet' part of their strategy, showing a long-term view that goes well beyond next quarter's earnings.

Shinhan Financial Group Co., Ltd. (SHG) Vision Statement

You need to know how Shinhan Financial Group Co., Ltd. (SHG) is translating its long-term goals into near-term financial performance, and the simple takeaway is this: their 'Easier, More Comfortable, and Better new finance' vision is directly underpinning a record-breaking year, with cumulative nine-month net income reaching KRW 4,460,943 million (approximately $3.1 billion) as of September 30, 2025. That's a 10.3% jump from the previous year, so the strategy is defintely working.

The Group's mission, 'A better world through finance,' is what drives this vision, focusing on what they call Compassionate Finance-a model that seeks a win-win structure for the customer, Shinhan Financial Group, and society. This isn't just corporate-speak; it's a strategic framework for capital allocation, especially when you look at how they are executing on the three core pillars of their vision.

More Friendly: The Digital Ecosystem Play

The 'More Friendly' pillar is all about making finance seamless and convenient, essentially connecting it to your everyday life through a digital ecosystem. This focus is critical because it lowers the cost-to-serve while expanding reach. Shinhan Financial Group is actively pursuing this, which is why their third-quarter 2025 net interest margin (NIM)-the spread between interest earned and paid-for the Group held steady at 1.90%. They are maintaining profitability even as they invest heavily in digital platforms to enhance customer experience.

• Improve online/offline services for easier finance.
• Connect finance closer to daily lives and businesses.
• Build a comprehensive digital ecosystem.

The push for digital innovation is not an option; it's a necessity for sustainable growth, as evidenced by the strategic goal to create a unified solution encompassing all of Shinhan's capabilities from the customer's perspective. This qualitative growth focus is why we see their non-interest income rising, which is a key sign of a successful cross-platform strategy.

More Secure: Capital Strength and Trust

The 'More Secure' component provides the necessary foundation for the 'Friendly' and 'Creative' parts to operate. It promises safe, secure, and reliable financial services, which is what makes customers comfortable enough to realize their dreams. For a financial analyst, 'secure' translates directly to capital adequacy and asset quality.

Here's the quick math on their stability: The Group's Common Equity Tier 1 (CET1) ratio-a core measure of a bank's financial strength-stood at a solid 13.56% at the end of the third quarter of 2025. This is well above regulatory minimums and is the kind of capital cushion that allows them to accelerate their Corporate Value-up Plan. A stable capital position like this is what allows management to commit to significant shareholder returns, with the 2025 full-year forecast expected to be around KRW 2.35 trillion, combining dividends and share buybacks. You can read more about the strategic context of this performance in Shinhan Financial Group Co., Ltd. (SHG): History, Ownership, Mission, How It Works & Makes Money.

More Creative: Delivering New Value

The third vision pillar, 'More Creative,' is where innovation meets expertise. Shinhan Financial Group is focused on providing new and original financial services by creatively combining their deep industry knowledge with innovative digital technology. This is the engine for future revenue growth, especially in non-banking segments.

The Group's Return on Equity (ROE) for the third quarter of 2025 was 11.1%, and their Return on Tangible Common Equity (ROTCE) was 12.5%. These numbers are strong indicators that their creative deployment of capital and technology is generating superior returns for shareholders. They are seeking opportunities for 'consolidation and expansion' beyond existing business boundaries to broaden their domain, which is a clear signal of an aggressive, creative growth mandate.

Core Values: Right, Nimble, Different

The three core values-Right, Nimble, and Different-are the behavioral standards that underpin the entire vision. They are the cultural guardrails that ensure the vision is executed ethically and effectively.

• Right: Choose the right path based on customers and the future, focusing resources on what's best for society.
• Nimble: Learn and grow constantly, speeding up execution and not fearing meaningful failure.
• Different: Respect differences and create extraordinary results by utilizing diverse talents.

This focus on 'Right' aligns with the commitment to ethical conduct and transparency, which is a non-negotiable for long-term financial stability. The emphasis on being 'Nimble' is what allows them to quickly integrate the latest digital technologies, as Chairman Jeong Sang-hyeok stressed for 2025. The goal is to move forward vigorously, not afraid of change.

What this estimate hides, however, is the constant pressure on credit costs; the Group recorded a provision for credit loss of KRW 1,065 billion in the first half of 2025, which is a reality of the current economic environment that even the most 'Secure' institution must manage. Still, the strategic alignment of their vision and values with their financial execution is clear.

Next step: Review your portfolio's exposure to the Korean financial sector, specifically looking for opportunities in the digital and wealth management segments where Shinhan Financial Group is actively expanding its competitive edge in 2025.

Shinhan Financial Group Co., Ltd. (SHG) Core Values

You're looking for the bedrock of Shinhan Financial Group Co., Ltd.'s (SHG) strategy-the core values that drive their financial decisions and shape their massive capital allocation. As an analyst, I see these values-Right, Nimble, Different-not as corporate platitudes, but as a practical framework for risk management and growth, especially given the volatility of the 2025 market environment. They translate directly into tangible programs and measurable financial commitments.

SHG's mission, 'A better world through finance,' is put into action via these three principles, which guide everything from their KRW 4,460,943 million net income for the first nine months of 2025 to their ESG strategy. It's a simple, powerful blueprint.

Right

The 'Right' value is fundamentally about ethical conduct, social responsibility, and sustainable growth for all stakeholders, including shareholders and society. It's the commitment to 'Compassionate Finance' that creates a win-win virtuous structure. For a financial giant, this means making the right choices on where to lend, invest, and how to manage capital.

In 2025, this value is most evident in their capital management and their massive inclusive finance push. The group's full-year 2025 shareholder returns are expected to reach about KRW 2.35 trillion, combining dividends and share buybacks, which shows a clear commitment to shareholder value. Plus, their capital position remains strong, with a Q3 2025 Common Equity Tier 1 (CET1) ratio of 13.56%, well above regulatory minimums. They defintely prioritize stable capital.

• Allocate KRW 110 trillion by 2030 for the 'Shinhan K-Growth! K-Finance! Project.'
• Direct KRW 12-17 trillion of this to support the grassroots economy and financially vulnerable groups.
• Target KRW 30 trillion in climate finance by 2030, supporting the Zero Carbon Drive.

Here's the quick math: A commitment of KRW 12-17 trillion to the grassroots economy is a clear signal that social value is a non-negotiable part of their financial model, not just an afterthought.

Nimble

Being 'Nimble' means constantly learning, growing, and speeding up execution. In finance, this translates to agility in adopting new technologies (fintech) and adapting quickly to market shifts, like the falling market interest rates seen in 2025. You can't be a top-tier financial group today without this speed.

SHG demonstrates this value by aggressively building out its digital ecosystem and accelerating innovation. Their vision of 'More Friendly, More Secure, More Creative Finance' relies on this speed. They are actively fostering startups, having incubated 473 companies with a total investment of KRW 1,009 million as of their latest reporting.

• Enhance digital platforms to make financial services 'easier and more convenient' for customers.
• Speed up execution by integrating innovative digital technology into new financial services.
• Maintain operational efficiency, as reflected in their Q3 2025 Cost/Income Ratio of 37.3%.

The ability to keep the Cost/Income Ratio tight while investing in new digital ventures shows a real knack for operational efficiency. That's what being nimble looks like on the balance sheet.

Different

The value 'Different' is about respecting diversity, utilizing unique talents, and creating extraordinary results through harmony. It's the drive to provide new value to customers through original and creative financial services-differentiated from the competition. This is where the Group's ESG (Environmental, Social, and Governance) framework, 'L.E.A.D ESG,' comes into play.

The differentiation strategy is a key driver for non-interest income growth, which has been a strong point in 2025. Their Q2 2025 non-interest income, including fees, ascended by 13.7% year-on-year to KRW 1,265.0 billion, showing that their creative approach is paying off. They are also actively working to diversify their leadership, with a 10.2% percentage of female management and an 18.2% share of female managers.

• Integrate climate risk into loan and investment portfolios, a differentiated approach to risk management.
• Provide new value through original financial services that creatively combine expertise and digital tech.
• Commit to diversity and inclusion, fostering a workforce that can deliver unique solutions.

What this estimate hides is the long-term competitive advantage gained from being a first-mover in integrating climate risk and social impact into core financial products. That's a sustainable edge.

For a deeper dive into how this translates into market performance and who is capitalizing on these strategic moves, you should read Exploring Shinhan Financial Group Co., Ltd. (SHG) Investor Profile: Who's Buying and Why?