Hanwha Life’s Vietnamese unit has recorded a cumulative profit in 15 years, making it the first overseas South Korean insurance business to achieve such a feat.
In the future, the life insurer aims to post a pre-tax profit of KRW100 billion from the subsidiary by 2030, as well as becoming one of the top five insurers in Vietnam.
Hanwha Life opened its Vietnam unit in 2009 after securing a license the previous year; in its first year of operation, it recorded a loss of VND35.5 billion. Last year, the insurer reported a net profit of VND502.6 billion.
This positive turn for the company comes following its disastrous Q2 results; parent company Hanwha Corp stocks plunged as its operating profits fell by as much as 77.71% YoY.
The downturn may have something to do with market saturation. In recent months, more domestic insurers have been seeking overseas expansions, including Hanwha Life and its Vietnam business.
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Source: Insurance Business