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2022 ReportFACT BOOK 2021 STRENGTH IN A NEW ERA 003p Expanding the Foundation for Growth 005p Accelerating Digital Innovation 007p Creating Value Through ESG 011p Group Vision & Strategy 013p Key Milestones CONTENTS 003 Expanding : Growth Indicators 005 Accelerating : Digital Strategy 007 Creating : ESG Performance 009 Group Overview 010 Business Portfolios 011 Group Vision & Strategy 012 Corporate Governance 013 Key Milestones 014 Global Network 015 Financial Highlights 017 Consolidated Financial Statements WOORI FINANCIAL GROUP FACT BOOK 2021002 003 Expanding the Foundation for Growth Despite the challenging business environment due to the protracted pandemic, Woori Financial Group continued to post surprising earnings for every quarter in 2021. Following the transition to the Group system, it achieved outstanding profitability, growth, and asset quality. As a result, the Group became fully privatized after 23 years of persistent endeavors and was justifiably recognized in the market. In 2021, both interest income and non-interest income performed well. The interest revenue structure improved thanks to asset growth led by SME loan growth and increased low-cost deposits while non-interest income rose due to robust performance results in asset management and IB. At the same time, the Group successfully expanded the business portfolio into asset management, real estate trusts, capital, and a savings bank following the establishment of the financial group. As inter-subsidiary synergies began fully taking off, the non-banking revenue stream significantly expanded as well. Growth Indicators WOORI FINANCIAL GROUP FACT BOOK 2021 Growth Indicators Woori Financial Group's net income for 2021 increased by 98.0%, achieving a record-high figure of KRW 2,588 billion. The contribution of the non-banking sector to the Group’s overall profit expanded from 10.3% in 2019 to 17.2% in 2021. In addition, net operating revenue increased by 22.3% yearly to KRW 8,344 billion for 2021, while net interest income stood at KRW 6,986 billion (YoY +16.5%) and the non-interest income amounted to KRW 1,358 billion (YoY+65.2%). The approval of the internal ratings-based approach improved the Group’s BIS Total Capital Ratio by 1.2%p to 15.1%, laying the foundation for future acquisitions of non-bank financial companies. Net Income Net Operating Revenue Interest Income Non-interest Income 2020 1,307 6,821 5,999 822 (Unit: KRW billion, %) YoY Change +98.0% +22.3% +16.5% +65.2% 2021 2,588 8,344 6,986 1,358 Net Income 2,588 billion YoY +98.0% 1,872 billion 1,307 billion 004 390billion 4Q 2021 778billion 3Q 2021 753billion 2Q 2021 667billion 1Q 2021 WOORI FINANCIAL GROUP FACT BOOK 2021 Accelerating Digital Innovation Woori Financial Group carries out digital transformation under the banner of “Digital First, Change Everything: Becoming the No. 1 Digital Financial Service Provider.” Strengthening the Group's control tower has led to establishing a collaborative support system between subsidiaries, securing DT execution power, and enhancing the digital competitiveness of each subsidiary. Woori Financial Group provides a differentiated customer experience through unique innovation services that exceed those of tech firms and contribute to Korea’s full-scale digital era. Digital Strategy WOORI FINANCIAL GROUP FACT BOOK 2021005 Digital Strategy Woori Financial Group is continuing with its digital transformation at the enterprise level, channeling its resources into securing the Group's competitive edge in digital finance innovation. Led by the Digital Innovation Committee, the Group has achieved both quantitative and qualitative growth for its mobile platform competitiveness by expanding the customer base and improving the external evaluation of its app services. At the same time, the launch of the MyData Service has fortified the Group's data competitiveness. On top of that, the Group is leading the digital transformation of the financial sector by supporting the foundation for retaining more future users by establishing Gen MZ-specific financial platforms at the Group level. Accelerating the Group's Digital Innovation Committee-led digital transformation Diversifying channels and processes to enhance the competitiveness of digital platforms Establishing a digital foundation through the discovery of innovative companies and organic collaboration WOORI FINANCIAL GROUP FACT BOOK 2021006 007 Creating Value through ESG Woori Financial Group set 2021 as the beginning of ESG management and incorporated “Strengthening ESG Management” as the core strategy in the Group's management plans. The Group also set its ESG vision at “Good Finance for the Next” and established a “Plan Zero 100” as a mid-to-long-term ESG goal. To become a carbon neutral financial group by 2050, Woori Financial Group is developing various ESG management practices through a transition into an eco-friendly financial group and taking the lead in fulfilling its corporate social responsibility. ESG Performance WOORI FINANCIAL GROUP FACT BOOK 2021 ESG Ratings Upgrade Woori Financial Group was newly listed on the DJSI (Dow Jones Sustain- ability Indices) in the Asia Pacific Index in 2021. Also, MSCI (Morgan Stan- ley Capital International) has upgraded its rating to AA, and KCGS (Korea Corporate Governance Institute) has upgraded the Group to an A rating. AA MSCI A KCGS Financial Aid and Donations to SMEs and SOHOs Suffering from COVID-19 Challenges In October 2021, Woori Financial Group donated a total of KRW 500 million to the Korea Federation of Micro Enterprises for a COVID-stricken SMEs and SOHOs support program that helps SMEs and SOHOs suffering from plunging sales due to the protracted pandemic and the extended period of social distancing. Through this initiative, Woori Financial Group selected about 500 SOHOs that are known for their philanthropic activities to assist in the promotion of the businesses through Group channels as well as the KRW 1 million emergency relief grant. In addition, the company donated KRW 7 billion to the Community Chest of Korea. This marked an increase of KRW 4 billion from the previous year. As such, Woori Financial Group is taking the lead in fulfilling its social responsibility and carrying out well-re- spected philanthropic activities as a responsible financial institution. Independent BOD Composition for Stronger ESG Practices In January 2021, Woori Financial Group launched the Group ESG Management Council, consisting of the Chairman of the Holding Company and the CEOs of subsidiaries, to strengthen the efficient decision-making and execution of the Group's ESG management. In March of the same year, the Holding Company established an ESG Management Committee consisting of both standing and outside direc- tors. In March 2022, the Annual General Meeting of Share- holders appointed Soo-Young Song, a legal practitioner and ESG expert, as a new outside director and the first female director of the Group. She was also appointed Chair of the ESG Management Committee. ESG Performance To ensure systematic ESG management, Woori Financial Group established an ESG system within the Group in 2021, including the establishment of an ESG Management Department, an ESG Management Committee within the Board of Directors, and the operation of an ESG Management Council composed of subsidiaries’ CEOs. Through the continuous implementation of ESG management, such as expanding environmental management as well as social and financial support, the Group has obtained a high rating in domestic and international ESG evaluations, while also achieving the highest rating among Korean financial institutions in a very short period of time. Memberships and Participations to Global Initiatives Jan. 2021 CDP (Carbon Disclosure Project) and TCFD (Task Force on Climate-related Financial Disclosures) Aug. 2021 EP (Equator Principles) and PCAF (Partnership for Carbon Accounting Financials) Sep. 2021 SBTi (Science Based Targets initiative) Jan. 2022 TNFD(Task Force on Nature-related Financial Disclosures): first member in Korea Mar. 2022 Working Group for the Circular Economy of the UNEP FI (UN Environment Programme Finance Initiative) / MOU with the WWF (World Wide Fund for Nature) on reducing plastics pollution and transitioning to a circular economy WOORI FINANCIAL GROUP FACT BOOK 2021008 Group Overview Key Statistics Customers SME/SOHOs Conglomerates Key Statistics International Ratings 24.1 million 1.85 million 10 Out of 32 Large Enterprises (Total number of large enterprises where Woori Bank is the major creditor bank) Woori Bank A1 A+ A Republic of Korea Aa2 AA AA- Moody's S&P Fitch Domestic Branches Global Network Employees (Woori Bank) 768 branches 24 476 countries Network 26 Thousand Employees Assets Loans Deposits 594.4 KRW trillion (Including AUM) 332.8 KRW trillion 317.9 KRW trillion Domestic Ratings Woori Financial Group Inc. AAA AAA AAA NICE Investors Service Korea Ratings Corporation Korea Investors Service WOORI FINANCIAL GROUP FACT BOOK 2021009 Business Portfolios Group Structure Key Milestones Woori Bank Woori Card Woori Financial Capital Woori Investment Bank Woori Asset Trust Woori Savings Bank Woori Asset Management Woori Financial F&I Woori Credit Information Woori Fund Service Woori Private Equity Asset Management Woori Global Asset Management Woori FIS Woori Finance Research Institute 100% 100% 100% 58.7% 51.0% 100% 73.0% 100% 100% 100% 100% 100% 100% 100% Korea BTL Infrastructure Fund Woori America Bank Woori Bank China Limited PT Bank Woori Saudara Indonesia AO Woori Bank (Russia) Banco Woori Bank do Brazil S.A. Woori Global Markets Asia Limited (Hong Kong) Woori Bank Vietnam Limited Woori Wealth Development Bank (Philippines) Woori Finance Myanmar Woori Bank Cambodia PLC Woori Bank Europe Gmbh (Germany) Tutu Finance-WCI Myanmar Arden Woori Apparel 1st Private Equity Fund Woori-Hanwha Eureka Private Equity Fund Woori-Dino No.1 PEF First-level Subsidiary Second-level Subsidiary 99.88% 100% 100% 79.88% 100% 100% 100% 100% 51% 100% 100% 100% 100% 0.47% 0.80% 19.61% 14 16 (As of Mar. 2022) Nov. 2018 Acquired the certificate of incorporation of financial holding com- pany from the Financial Services Commission Jan. 2019 Woori Financial Group is established Feb. 2019 Aug. 2019 Sep. 2019 Woori Financial Group is listed on the Korea Exchange Woori Asset Management Corp. is incorporated as a subsidiary Woori Card Co., Ltd. and Woori Investment Bank Co., Ltd. are incor- porated as subsidiaries Dec. 2019 Woori Global Asset Management Co., Ltd. and Woori Asset Trust Ltd. are incorporated as subsidiaries Dec. 2020 Mar. 2021 Aug. 2021 Acquired Aju Capital (currently, Woori Financial Capital) Woori Savings Bank is incorporated as a subsidiary 2021 Woori Financial Capital becomes fully-owned subsidiary Jan. 2022 Woori Financial F&I is established Newly incorporated subsidiaries in 2021 Woori Financial F&I Woori Savings Bank Incorporation Jan. 7, 2022 Mar. 12, 2021 Ownership Structure 100% Woori Financial F&I is established 100% Second-tier subsidiary > First-tier subsidiary WOORI FINANCIAL GROUP FACT BOOK 2021010 Group Vision & Strategy VISION Innovate Today, Create Tomorrow Concentrating its resources and expertise as a market leader on innovating for today to deliver greater value to customers tomorrow SLOGAN The First Choice in Finance Inheriting a legacy of being the “First Bank under the Sun,” we are determined to become the most trusted and respected financial institution for customers. CORE VALUES CUSTOMERS Woori thinks of its customers and the community first. TRUST Woori builds EXPERTISE Woori has the INNOVATION Woori shapes customer trust based expertise to lead the the future through on its principles. market. innovation. Strategies for 2022 01 02 03 04 05 06 Broadening the Foundation for Growth Emerging as the No. 1 Leader in Digital Innovation Fostering Key Growth Drivers Strengthening Proactive Risk Management Upgrading the Corporate Culture, Brand, and ESG Enhancing Group Synergies and Management Efficiency WOORI FINANCIAL GROUP FACT BOOK 2021011 Corporate Governance Governance Structure As the company's top decision-making body, Woori Financial Group’s Board of Directors (BOD) sets the ultimate goals and management strategies that the holding company should pursue to grow reliably and create value in the long run. On top of Female Director Appointment formulating the company's mid- and long-term management strategy, the BOD has in place a management succession plan At the General Shareholders’ Meeting in March 2022, Woori Financial Group appointed one female independent director, that stipulates the training and appointment of competent executives to promote the company's continuous development. At someone who is by trade a legal practitioner and ESG expert, to enhance the BOD’s gender diversity and strengthen the effi- the same time, it strives to establish a desirable corporate culture and governance structure, including the formal and transpar- cient governance structure to promote sustainable growth based on ESG management. ent director nomination and director selection procedures. General Shareholders’ Meeting Board of Directors (9 directors) CEO Board of Directors Composition of BoD and Subcommittees 2021 Activities (As of Mar. 2022) Board of Directors Tenure (As of Mar. 2022) Committee for Recommending Executive Officer Candidates (All independent directors) Strategic Planning Department (BOD Office) Audit Committee (3 independent directors) Auditor’s Department Risk Management Committee (4 independent directors) Risk Management Department Compensation Committee (5 independent directors) Committee for Recommending Subsidiary Representative Director Candidates (8 directors) Management Support Department Committee for Internal Control Management (4 directors) Compliance Department ESG Management Committee (All directors) ESG Management Department Establishment of ESG Management Committee in March 2021 Name Status Appointment Sung-Tae Ro Sang-Yong Park In-Sub Yoon Chan-Hyoung Chung Yo-Hwan Shin Dong-Woo Chang Soo-Young Song Tae-Seung Son Won-Duk Lee Independent Director Independent Director Independent Director Independent Director Independent Director Independent Director Independent Director Standing Director (CEO) Non-standing Director Jan. 11, 2019 Jan. 11, 2019 Jan. 27, 2022 Jan. 11, 2019 Jan. 27, 2022 Jan. 11, 2019 Mar. 25, 2022 Jan. 11, 2019 Mar. 25, 2022 Changes to the BOD Composition ■ Standing Director(s) ■ Independent Director(s) ■ Non-standing Director Mar. 2022 Mar. 2021 Mar. 2020 Jan. 2019 (establishment) (Unit: people) 1 2 2 1 1 1 6 6 1 5 7 1 WOORI FINANCIAL GROUP FACT BOOK 2021012 Key Milestones 1899 • Emperor Gojong invested capital from the royal trea- sury for the foundation of Woori Bank’s predecessor, Daehan Cheonil Bank 1956 • The 1st Korean Bank listed on the Korea Stock Ex- change in 1956 1968 • The 1st Korean commercial bank to open an over- seas network (Tokyo Branch) 2001 2019 2021~ • Woori Financial Group was re-established • Woori Financial Group Inc. was newly listed on Korea Exchange • Acquired Tongyang Asset Management, ABL Global Asset Management and Kukje Asset Trust. 2020 • Addition of Woori Financial Capital and Woori Savings Bank into the Group • The Beginning of the Digital Tower Era: • Establishing an ESG Management Committee and a Group ESG Management Council (March 2021) • Woori Savings Bank is incorporated as a subsidiary (March 2021) • Woori Financial Capital Fully Incorporated by the Group (August 2021) • Obtained final approval for its internal ratings-based approach (IRB) (November 2021) • Woori Finance Group became fully privatized after 23 years(December 2021) Declaration of the Digital Vision and Launch of the • Woori Financial F&I is established(January 2022) Digital Innovation Committee • Proclamation of the ESG Management Principles • Declared support for the CDP and TCFD • Established Woori Finance Holdings, The 1st Financial Holding Company in Korea 2002 • Changed name to Woori Bank and CI (corporate identity) 2003 • Listed on NYSE 2014 • Acquired final approval to merge PT. Bank Woori In- donesia with Saudara Bank 2015 • Opened Woori Finance Myanmar, Global Network no. 200 (first in Korea) 2018 • Took over VisionFund Cambodia and changed name to WB Finance (410 global network) WOORI FINANCIAL GROUP FACT BOOK 2021013 Global Network Total Assets USD 35.3 billion (up 4.9% year on year) Operating Profit USD 715 million NPL Ratio 0.88% Overseas Subsidiaries Overseas Branches Representative Offices 476 Total Networks (in 24 countries) 12 Overseas Subsidiaries 14 Overseas Branches 8 Overseas Sub-branches 6 Representative Offices WOORI FINANCIAL GROUP FACT BOOK 2021014 Financial Highlights 2019 2020 2021 YoY Change Corporate Governance Growth Total Assets including AUM Loans in Won Total Equity Profitability Net Interest Income Non-Interest Income Net Income1) NIM(Bank)(%) NIM(Group)(%) Cost-to-Income Ratio(%)2) ROE(%)1) ROA(%)3) Asset Quality NPL Ratio(%) Credit Cost Ratio(%) Coverage Ratio(%) Capital Adequacy Common Equity Capital Ratio(%) Tier1 Ratio(%) BIS Total Capital Ratio 1) Net income, ROE : Based on Controlling interests 2) Cost-to-Income Ratio : Excluding ERP expense 3) ROA : Including non-controlling interests 473.8 221.5 25.5 5,894 1,046 1,872 1.44 1.70 52.0 9.29 0.57 0.45 0.15 133.6 8.4 9.9 11.9 525.9 249.3 26.7 5,999 822 1,307 1.33 1.57 55.0 5.87 0.40 0.42 0.28 153.8 10.0 11.8 13.8 594.4 273.3 28.9 6,986 1,358 2,588 1.37 1.62 47.5 10.58 0.66 0.30 0.17 192.2 11.4 13.3 15.1 (Unit: KRW trillion) 68.5 24.0 2.2 (Unit: KRW billion) 987 536 1,281 0.04 0.05 -7.5 4.71 0.26 -0.12 -0.11 38.4 Complete Privatization (Change in KDIC Stake) 17.3% 2.0% 9.3% KDIC Non-standing Director Resigned 2.2% 2.3% 2019 Apr. 2021 Block-Deal Nov. 2021 9.3% Stake Disposal Feb. 2022 Block-Deal May. 2022 Block-Deal 1.3% May. 2022 Stable Governance (As of Mar. 2022) IMM (5.6%) KIS (3.8%) Kiwoom (3.8%) Hanwha (3.2%) Fubon (4.0%) Eugene PE (4.0%) Stock Information Stock Performance 15,000 14,000 13,000 12,000 11,000 10,000 9,000 Mar. 2021 Jun. 2021 Sep. 2021 Dec. 2021 Mar. 2022 1.4 1.5 1.3 High Low Year-end (Unit: KRW) 2019 2020 2021 Mar 2022 16,000 11,750 13,700 16,100 11,100 11,600 6,320 9,730 8,800 12,600 12,800 15,350 * Woori Financial Group newly listed on the Korea Exchange in February 2019 WOORI FINANCIAL GROUP FACT BOOK 2021015 Financial Highlights Growth Assets (Unit: KRW in trillions) Loan Portfolio (Unit: KRW in trillions) NPL Ratio Asset Quality ■ Loans in Won ■ Total Assets (Including AUM) ■ Large Corp. ■ SME ■ Retail ■ Public & Others 594.4 2021 525.9 2020 473.8 2019 36.4 110.4 138.8 2.5 35.7 95.8 130.4 2.5 33.3 87.5 119.8 2.4 288 265 243 Credit Cost Ratio 273.3 249.3 221.5 2021 2020 2019 Profitability Net Income 2021 2020 2019 (Unit: KRW in billion) NIM 2,588 1,307 1,872 ■ Group ■ Bank 1.70% 1.44% 1.57% 1.33% 1.62% 1.37% Capital Adequacy Capital Adequacy Ratio 2019 2020 2021 11.9% 13.8% 15.1% Net Interest Income (Unit: KRW in billion) ROE & ROA 2021 2020 2019 1) Net income, ROE : Based on Controlling interests 2) Cost-to-Income Ratio : Excluding ERP expense 3) ROA : Including non-controlling interests 6,986 5,999 5,894 ■ ROE ■ ROA 9.29% 0.57% 2019 5.87% 0.40% 2020 10.58% 0.66% 2021 ■ BIS Ratio ■ Tier1 Ratio ■ CET1 Ratio 9.9% 8.4% 2019 11.8% 13.3% 10.0% 11.4% 2020 2021 0.45% 0.42% 0.30% 2019 2020 2021 0.15% 0.17% 0.28% 2019 2020 2021 WOORI FINANCIAL GROUP FACT BOOK 2021016 Consolidated Financial Statements Balance Sheet (Consolidated) Income Statement (Consolidated) 2019 2020 2021 2019 2020 2021 (Unit: KRW in billions) (Unit: KRW in billions) Cash Financial Assets 6,393 56,120 9,991 61,813 7,566 Net Operating Revenue 69,703 Interest Income Loans and Other Assets at Amortized Cost 293,718 320,106 361,933 Non-Interest Income Tangible Assets Intangible Assets Others Total Assets Deposits Borrowings Debentures Others Total Liabilities Common Stock Hybrid Bond Capital Surplus Retained Earnings Capital Adjustment Non-Controlling Interests Shareholders’ Equity 3,365 844 1,541 361,981 264,686 18,999 30,858 21,945 336,488 3,611 998 626 18,255 (2,249) 3,982 25,492 3,287 792 3,092 399,081 291,477 20,745 37,479 22,654 SG&A (-) PPoP Impairment in Credit Loss (-) Operating Income Non-Operating Income Income before Corp. Tax Corp. Tax (-) Net Income 3,175 785 4,022 447,184 317,900 24,755 44,654 31,024 372,355 418,334 Controlling Interest Non-controlling Interests 3,611 1,895 626 19,268 (2,347) 3,672 26,726 3,640 2,294 682 21,393 (2,168) 3,008 28,850 Total Liabilities and Shareholders’ Equity 361,981 399,081 447,184 6,940 5,894 1,046 3,766 3,174 374 2,800 (77) 2,723 685 2,038 1,872 166 6,821 5,999 822 3,956 2,865 784 2,080 (79) 2,001 486 1,515 1,307 208 8,344 6,986 1,358 4,147 4,197 537 3,660 89 3,749 942 2,807 2,588 219 WOORI FINANCIAL GROUP FACT BOOK 2021017 51, Sogong-ro(203, Hoehyeon-dong 1-ga), Jung-gu, Seoul, 04632, Korea Tel. 82+2-2125-2000 www.woorifg.com
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