Boiler Room Equipment: HeatSponge SIDEKICK Eventually Exposed

Boiler Room Equipment, Inc, is very pleased to eventually introduce the SIDEKICK type of condensing boiler economizers for industrial and conventional warm water boilers. Fisher Capital on Boiler Room Equipment, Inc, - The Sidekick continues to be in advancement for almost a couple of years and shows an transformative growth of high-proficiency installations in the boiler market. The SIDEKICK is a warning game changer the likes of which have not been knowledgeable since the launch of the very first condensing boilers. The SIDEKICK provides the capability to combine condensing boiler efficiencies to conventional boilers on a new or retrofit basis. The SIDEKICK enables a person with a conventional boiler system the power to recognize condensing efficiency gains that normally would demand the existing boiler to be destroyed and changed with a brand new condensing boiler. Conventional, non-condensing boilers can now realize the efficiency benefits of outdoor air temperature reset controls and lower circulating hot water loop temperatures. Sidekicks also allow for duel fuel condensing applications utilizing conventional boilers. The SIDEKICK features all stainless internal construction, stainless tubes and fins, and an insulated outer casing. Inspection and clean out ports make periodic maintenance and cleaning easy.

The effectiveness of the SIDEKICK moves far beyond simply energy retrieval to the ultra-productive procedure by which it really is chosen and created. Temperature recovery for condensing purposes presents a substantial quantity of variables that creates a catalog-approach to products collection nearly impossible. Boilerroom Equipment has developed a new method of quantifying heat recovery, the Recovery Rate, and integrated this into the design. The development of the Recovery Rate variable permits a customer to customize the level of heat recovery and cost straight to the specifications of each particular application. We establish this fresh idea in heat recovery design as 3D Modularity, for modular construction in three dimensions. Based on a "Mass-Customization" approach to product development, Bruce will consider all of the application design constraints and will design a SIDEKICK enhanced to satisfy the exact overall performance needs at the most reasonably competitive selling price. Bruce has been given the ability to consider all aspects of the heat exchanger design relative to the price of the equipment and generate a fully priced proposal all in real-time; a software and engineering accomplishment that added over one thousand hours of coding and heat transfer modification to Bruce's core program. This means Bruce can handle all inquiries and generate proposals in real time by himself. The near elimination of sales and support overhead and significantly reduced project execution overhead requirements the Bruce software provides allows us to offer a product superior to any before it at pricing and responsiveness levels no conventional competitor could hope to match.

Fisher Capital Equipment Update - Market slams Fisher and Paykel on profit Warning

The share market has come down hard on Fisher & Paykel Appliances - with its shares falling 40 per cent after the company issued a profit warning today.

The whiteware manufacturer's shares, which were worth $2.94 this time last year and worth $1 on Friday, went into free fall and are currently trading at just 60 cents, a 40 cent fall.

Earlier today the company said it expected a net profit of $25 million to $30m, down up to 54 per cent on last year.

Due to the deterioration in the New Zealand dollar, Fisher & Paykel Appliances' total bank debt grew $122 from March last year to $512m at the end of January. It was predicted to be $570m by the end of March.

It is now looking at reviewing its capital structure and alternative sources of capital.

Fisher Capital Equipment Update - Market slams Fisher and Paykel on profit Warning - The market was very concerned the company had to come back with a capital raising, which was unexpected, said Hamilton, Hindin, Greene director Grant Williamson.

The home appliance market had dropped off in all areas Fisher & Paykel exported to and there did not appear to be too many signs of a turnaround in world housing at the moment, he said.

"I think investors are starting to say; how long is it going to be before conditions change for the company? I think that's the biggest concern."

Williamson said Fisher & Paykel Appliances' wares were sold into most new homes but when very few new homes being built it would have a serious effect on their sales.

A 40 per cent drop in share value was a big hit for the share price to take but that was the general state of the market.

"If any company disappoints the market then the market is very harsh on their share price and we have certainly seen that this morning with Fisher & Paykel Appliances."

The company announced it would not proceed with a capital note issue and was looking an alternative source of capital.

The directors were considering the merits of issuing equity, including to a cornerstone investor.

Williamson said he did not believe a capital notes raising would have been particularly well received.

He did not see any short term bounce in the price until there was clarification around the structure of equity raising. That was expected to be announced in early March.

"At the moment there's still a fair degree of selling in the market place, around the 60c level."- NZPA

 

Fisher Capital Management - Japan Elects a New Premier Part 1

Fisher Capital Management Eight and a half months after riding the Democratic Party of Japan’s

(DPJ) historic lower house victory into office, Prime Minister Yukio

Hatoyama announced his resignation, having haphazardly frittered

away a chest brimming with political capital.

Major newspapers said that Hatoyama was resigning mainly for

two reasons: his failure to keep his promise to relocate the functions

of US Marine Corps Air Station Futenma, Okinawa, out of Okinawa

Prefecture, and a political funding scandal that included his mother’s

provision of some ¥1.26 billion to him over years.

Following Hatoyama’s resignation, Minister of Finance Naoto Kan

was elected as the new Prime Minister, the fifth in four years.

At his inaugural press conference Kan proposed a comprehensive

reconstruction of the economy, public finance, and social security

as his priority, in addition to reforming public administration, and

conducting responsible diplomatic and defence policy.

Fisher Capital Management Report- Japan Elects a New Premier Part 1: The biggest question surrounding the once-popular new government

is whether Kan can really turn over a new leaf for the DPJ. In his

first policy speech to the Diet as prime minister, Kan sought to set

his administration apart from the previous one by vowing to build

“a strong economy, strong finances and strong social welfare”.

Kan stressed the need to jolt Japan out of its currently weak state,

which he attributed to “anaemic economic growth, ballooning

public debt and dwindling public trust in the viability of Japan's

social security system”.

Observers and practitioners believe that the government is unlikely

to announce any significant new policy initiatives, as Kan was

already one of the main architects behind the previous

administration’s economic policy, although some changes have just

been announced in the DPJ election manifesto for the Upper House

election. For instance it drops the promise of doubling monthly

child allowances to ¥26000 next year.

“I hope to carry over the torch of rebuilding Japan passed on to

me by Hatoyama”, he observed at a press conference after his

election. Alan Feldman, chief economist at Morgan Stanley in Japan,

says that “although Kan’s initial speech did include some new

elements, the main message was continuity with Hatoyama’s

economic policies. Investors are likely to welcome the innovations,

but to remain sceptical of the overall philosophy”.

However, economists believe Kan will face a mountain of challenges

both at home and abroad in the near future. First, he needs to

rebuild that political capital ahead of the upper house elections.

Public support for the DPJ has recovered sharply after his

appointment suggesting that voters have, for now, forgiven the

ruling Democrats for the previous leaders’ policy mistakes.

But it remains to be seen whether the initial popularity of the Kan

administration will translate into a strong performance, and whether

Kan will ultimately be given a strong enough mandate to push

through difficult policy decisions.

Major newspaper polls give Prime Minister approval ratings of

between 60 and 70 percent; but such ratings can be very fickle.

The election will be an uphill battle for the DPJ. The DPJ is without

one of its coalition partners, the Social Democratic Party who left

the ruling camp over Hatoyama’s failure to remove the US base

from Okinawa, as demanded by its leader, Mizuho Fukushima.

The two parties that remain, the DPJ and the People’s New Party,

hold 122 of the upper house’s 242 seats, the slimmest majority

possible. Should the coalition lose that majority in the coming

election, it would mean a split Diet — its majority would only

remain in the lower house. And that would make passing bills

extremely difficult.

Fisher Capital Management Report- Japan Elects a New Premier Part 1: Kan will have plenty on the economic front too. In terms of fiscal

policy, as a former Finance minister he has turned into a fiscal

conservative, having been a champion of funnelling revenue from

higher taxes toward government spending in order to achieve

economic growth. “Economic growth, fiscal reconstruction and

social welfare reform will be achieved together”, he told reporters.

South Korea’s Financial Supervisory Service (FSS) has launched a probe into a data breach at Hyundai Capital that affected 420,000 of its customers.

The FSS has sent investigators to Hyundai Capital, the consumer financing arm of auto maker Hyundai Motor Group and GE Capital, after the company admitted that hackers gained access to its customer database and stole personal information and passwords of its customers, theKorea Herald reported.
The data breach occurred over a two-month period. The company was contacted by one of the hackers who asked for money in return for not releasing the customers’ information. However, the data breach was only made public after the company contacted the police to investigate the blackmail.
Hyundai Capital said its internal investigation revealed names, residential registration numbers, mobile phone numbers, and email addresses, as well as passwords to loan services were obtained by the hacker.
Police said the hackers gained access to the database using servers located in the Philippines and Brazil.
The FSS is considering punitive actions against the company if violations of the country’s financial information security laws are found. The agency also plans to form a task force in coordination with other agencies to investigate information security practices throughout the financial sector, the newspaper said.

Fisher Capital Management Latest News: South Korean A&P Financial to become Takefuji’s sponsor By Fisher Capital Management Korea – April 13, 2011

TOKYO (Kyodo) — The court-appointed administrator of ailing consumer lender Takefuji Corp. said Monday it has decided to give South Korea’s A&P Financial Co. preferential negotiating rights in becoming the sponsor for its rehabilitation.
The South Korean consumer lender will be formally designated as the sponsor around the end of April after gaining approval from the Tokyo District Court.
The announcement signifies a step forward for Takefuji, which is keen on restarting its lending business as soon as possible, while A&P Financial appears eager to enter Japan’s consumer loan market.
On Sept. 28 last year, Takefuji, burdened by massive claims by customers for reimbursement of excessive interest charges, filed for bankruptcy protection with the court.
Takefuji has since been trying to find a sponsor to finance its court-backed rehabilitation in line with the Corporate Rehabilitation Law.
The Tokyo-based company was once Japan’s biggest lender with outstanding loans of around 1.77 trillion yen as of March 2002.
Takefuji saw its operations deteriorate after a 2006 Supreme Court ruling invalidated “gray area” interest charges beyond those defined by the interest rate restriction law, with the ruling inducing claims from borrowers for reimbursement of such charges.

Fisher Capital Management Latest News: S. Korea’s finance minister to attend G-20 meeting By Fisher Capital Management Korea – April 15, 2011

SEOUL, April 12 (Yonhap) — South Korea’s Finance Minister Yoon Jeung-hyun will leave for the United States this week to attend a Group of 20 (G-20) meeting, which will focus on pending global economic and financial issues, officials said Tuesday.
The G-20 finance ministers’ meeting will kick off in Washington on Thursday for a two-day run, according to the Ministry of Strategy and Finance. Yoon will leave for the meeting on Wednesday.
The meeting is the second G-20 meeting this year among finance ministers following one held in Paris in February. It is mostly aimed at setting the direction for discussions and decisions to be made during G-20 summit talks scheduled for November in France, the ministry said.
“The Washington meeting is expected to be a watershed in determining major issues and the direction of discussions for this year’s G-20 gatherings ahead of the November summit in Cannes,” the ministry said in a press release.
“With several new global issues emerging in the wake of the unrest in the Middle East and North Africa and the deadly earthquake in Japan, the G-20 meeting will also be a chance to test the global coordination ability.”
The two-day meeting will be comprised of five sessions that include discussions on how to attain strong, sustainable and balanced growth; reform the international monetary system; and better cope with fluctuations in commodity prices.
Others include how to pursue reform of financial regulations and deal with issues related to climate change and support for less-developing countries to build financial infrastructure, the ministry said.
The meeting especially offers a chance to further discuss in detail the guidelines for tackling the global trade imbalance, an issue dealt with during the February Paris talks, according to the ministry.
Yoon will have bilateral talks with his counterparts from other G-20 member countries, including the United States, France, Japan and Saudi Arabia to exchange views on pending global issues such as surging crude oil prices, the ministry said.
Meanwhile, the Washington meeting will be followed by the spring gathering of the International Monetary Fund on Saturday when global economic situations and pending issues confronting G-20 countries will be discussed, the ministry added.

Fisher Capital Management Latest NewsFraudsters target tech suppliers By Fisher Capital Management Korea – April 18, 2011

Fraudsters using municipal letterheads and fraudulent cheques have swindled goods to the value of R2 million, specifically targeting businesses dealing in technology.
A statement by the Sekhukhune District Municipality, in Limpopo, warns businesses against scammers who have been using a municipal letterhead and fake cheques.
The Government Communication and Information System (GCIS) said acting municipal manager Maureen Ntshudisane issued the warning, after companies in Mpumalanga and Gauteng complained that the municipality’s cheques had bounced.
“Council would like to warn the public to be on the alert for these miscreants that go around besmirching the name of the Sekhukhune District Municipality and, therefore, tarnishing its image.”
Millions lost
Ntshudisane said the fraudsters had been targeting businesses dealing in technology and motor vehicle parts.
Municipal spokesperson Willy Mosoma says ACC Technologies was swindled out 700 hard drives, worth R397 803, in January. In February, Mpumalanga Digital Solutions lost 30 Samsung TVs, worth R418 915, to the scammers.
Imperial Toyota, in Nelspruit, was robbed of brake sets worth R306 201, and iBurst in Sandton was swindled out of 87 laptops, worth R109 255, in March.
Mosoma says these are the cases that have been reported in 2011.
Two years running
The spokesperson says all the letterheads used in the scams were forged and the cheques were fraudulent, resulting in a fraud case having been opened with the police.
He also says the case follows two years of incidents with goods purchased and services acquired fraudulently from private companies, totalling R2 million.
“Our Risk Management Unit and the SAPS are working around the clock to find these criminals and put an end to this abnormality, said Ntshudisane.
She urged the business sector to validate all business transactions by calling the municipality on (013) 262 7300/01/02 during office hours.

Fisher Capital Management Latest News: Small-cap investors pay too much for risk By Fisher Capital Management Korea – April 18, 2011

That’s the latest warning from legendary fund manager Jeremy Grantham, chairman of fund shop GMO and one of the few people who successfully called the 2008 crash in advance.
His firm’s latest calculations predict that investors in U.S. small-cap stocks will actually lose about a fifth of their money in real terms over the next seven or so years. That’s an annualized loss of about 2.8% after inflation.
As always when it comes to predictions, there are no guarantees. But GMO’s forecasts have a good track record.
Risky assets are supposed to make you money over the medium term, as compensation for owning them. Actually paying money to take risk makes no financial sense whatsoever.
The last time Grantham’s firm warned that people were actually paying for the privilege of owning risky assets was back in 2007, just before the wheels started to come off. Grantham himself, on a recent trip to London, warned about the valuations of U.S. small-cap stocks.
You can see something similar if you just take a step back from the day-to-day action of the market and take a longer view. The Russell 2000 Index RUT +0.91% of small cap stocks has recently skyrocketed against the broader market. According to FactSet, it is now by far the highest it has been against the Standard & Poor’s 500 Index SPX +0.39% in at least a quarter century.
It isn’t hard to work out why. Since the Federal Reserve decided to flood the world with free money, under the program known as “QE2” (like the ship) or Quantitative Easing 2, money has been chasing risk and action. Small caps give you a lot of action for the money.
It’s a reckless game. Some people say it’s going to end in tears, and QE2 might be better known as Titanic 2. The Federal Reserve is due to cease QE2 in the second quarter.
The latest surge in small caps is yet another sign that animal spirits are getting overheated on the markets, yet again. According to the latest Bank of America/Merrill Lynch survey of fund managers, institutions are now loading up on risk. The brief panic following the tsunami is now long since forgotten.
They are heavily overweight boom-and-bust stocks such as industrial and energy companies. They are loaded up on emerging markets and commodities.
Cash levels are low. Nobody much wants boring things like utilities or telecom stocks. Nobody wants boring old Japan, which enjoyed a short, bizarre investment vogue following the tsunami. (Aside: Fund managers also say gold is overvalued. They have said this for years…all the way up!)

Fisher Capital Management Latest News: Hana Financial Q1 profit falls slightly By Fisher Capital Management Korea – April 18, 2011

Hana Financial Group Inc., Korea’s fourth-largest financial company, said its first-quarter profit fell 2.6 percent from a year earlier after it changed accounting standards.
Net income was 389.5 billion won ($357 million) in the three months to March 31, compared with a revised 400 billion won a year earlier, the company said in a regulatory filing yesterday.
Hana Financial switched to Korea International Financial Reporting Standards this year from Korean GAAP, or generally accepted accounting principles.
Loan margins for Korean banks have widened after the central bank raised interest rates four times since July to tackle inflation. Hana’s planned takeover of Korea Exchange Bank will further improve the company’s profitability, analysts including Shim Hyun Soo at KB Investment & Securities Co. said.
“First-quarter earnings slightly beat my estimate of around 350 billion won. Acquiring Korea Exchange Bank will boost its growth potential,” said Shim.
Hana is awaiting Korean regulatory approval on its 4.7 trillion won takeover of KEB.

Fisher Capital Management Latest NewsFraudsters target tech suppliers By Fisher Capital Management Korea – April 18, 2011

Fraudsters using municipal letterheads and fraudulent cheques have swindled goods to the value of R2 million, specifically targeting businesses dealing in technology.
A statement by the Sekhukhune District Municipality, in Limpopo, warns businesses against scammers who have been using a municipal letterhead and fake cheques.
The Government Communication and Information System (GCIS) said acting municipal manager Maureen Ntshudisane issued the warning, after companies in Mpumalanga and Gauteng complained that the municipality’s cheques had bounced.
“Council would like to warn the public to be on the alert for these miscreants that go around besmirching the name of the Sekhukhune District Municipality and, therefore, tarnishing its image.”
Millions lost
Ntshudisane said the fraudsters had been targeting businesses dealing in technology and motor vehicle parts.
Municipal spokesperson Willy Mosoma says ACC Technologies was swindled out 700 hard drives, worth R397 803, in January. In February, Mpumalanga Digital Solutions lost 30 Samsung TVs, worth R418 915, to the scammers.
Imperial Toyota, in Nelspruit, was robbed of brake sets worth R306 201, and iBurst in Sandton was swindled out of 87 laptops, worth R109 255, in March.
Mosoma says these are the cases that have been reported in 2011.
Two years running
The spokesperson says all the letterheads used in the scams were forged and the cheques were fraudulent, resulting in a fraud case having been opened with the police.
He also says the case follows two years of incidents with goods purchased and services acquired fraudulently from private companies, totalling R2 million.
“Our Risk Management Unit and the SAPS are working around the clock to find these criminals and put an end to this abnormality, said Ntshudisane.
She urged the business sector to validate all business transactions by calling the municipality on (013) 262 7300/01/02 during office hours.
“The district municipality does not transact business using cellphones,” warned the acting manager.
The GCIS adds that the Mpumalanga Education Department has had to warn school principals and managers to be wary of a fraudster who masquerades as a provincial government official sent to give computers to schools.
The department says a man, who called himself JR Nkosi, phoned schools in the Ehlanzeni District and claimed they would receive a donation of computers if they deposited R3 000 into a specified bank account.

Small-cap investors pay too much for risk Commentary: Reckless betting on risky stocks raises awkward questions

LONDON (MarketWatch) — Watch out for small caps.

That’s the latest warning from legendary fund manager Jeremy Grantham, chairman of fund shop GMO and one of the few people who successfully called the 2008 crash in advance.

His firm’s latest calculations predict that investors in U.S. small-cap stocks will actually lose about a fifth of their money in real terms over the next seven or so years. That’s an annualized loss of about 2.8% after inflation.

As always when it comes to predictions, there are no guarantees. But GMO’s forecasts have a good track record.

Seeking legal advice

Many financial advisers think they don't need a lawyer when switching firms. David Harmon, partner with Norris McLaughlin & Marcus, explains the role a lawyer can play to Dow Jones' Jennifer Hoyt Cummings.

Risky assets are supposed to make you money over the medium term, as compensation for owning them. Actually paying money to take risk makes no financial sense whatsoever.

The last time Grantham’s firm warned that people were actually paying for the privilege of owning risky assets was back in 2007, just before the wheels started to come off. Grantham himself, on a recent trip to London, warned about the valuations of U.S. small-cap stocks.

You can see something similar if you just take a step back from the day-to-day action of the market and take a longer view. The Russell 2000 Index /quotes/comstock/64a!i:rut RUT -1.92%  of small cap stocks has recently skyrocketed against the broader market. According to FactSet, it is now by far the highest it has been against the Standard & Poor’s 500 Index /quotes/comstock/21z!i1:in\x SPX -1.39%  in at least a quarter century.

It isn’t hard to work out why. Since the Federal Reserve decided to flood the world with free money, under the program known as “QE2” (like the ship) or Quantitative Easing 2, money has been chasing risk and action. Small caps give you a lot of action for the money.

Fisher Capital Management Latest News: Small-cap investors pay too much for risk By Fisher Capital Management Korea – April 18, 201

That’s the latest warning from legendary fund manager Jeremy Grantham, chairman of fund shop GMO and one of the few people who successfully called the 2008 crash in advance.
His firm’s latest calculations predict that investors in U.S. small-cap stocks will actually lose about a fifth of their money in real terms over the next seven or so years. That’s an annualized loss of about 2.8% after inflation.
As always when it comes to predictions, there are no guarantees. But GMO’s forecasts have a good track record.
Risky assets are supposed to make you money over the medium term, as compensation for owning them. Actually paying money to take risk makes no financial sense whatsoever.
The last time Grantham’s firm warned that people were actually paying for the privilege of owning risky assets was back in 2007, just before the wheels started to come off. Grantham himself, on a recent trip to London, warned about the valuations of U.S. small-cap stocks.
You can see something similar if you just take a step back from the day-to-day action of the market and take a longer view. The Russell 2000 Index RUT +0.91% of small cap stocks has recently skyrocketed against the broader market. According to FactSet, it is now by far the highest it has been against the Standard & Poor’s 500 Index SPX +0.39% in at least a quarter century.
It isn’t hard to work out why. Since the Federal Reserve decided to flood the world with free money, under the program known as “QE2” (like the ship) or Quantitative Easing 2, money has been chasing risk and action. Small caps give you a lot of action for the money.
It’s a reckless game. Some people say it’s going to end in tears, and QE2 might be better known as Titanic 2. The Federal Reserve is due to cease QE2 in the second quarter.
The latest surge in small caps is yet another sign that animal spirits are getting overheated on the markets, yet again. According to the latest Bank of America/Merrill Lynch survey of fund managers, institutions are now loading up on risk. The brief panic following the tsunami is now long since forgotten.
They are heavily overweight boom-and-bust stocks such as industrial and energy companies. They are loaded up on emerging markets and commodities.
Cash levels are low. Nobody much wants boring things like utilities or telecom stocks. Nobody wants boring old Japan, which enjoyed a short, bizarre investment vogue following the tsunami. (Aside: Fund managers also say gold is overvalued. They have said this for years…all the way up!)

Hana Financial Q1 profit falls slightly

Hana Financial Group Inc., Korea’s fourth-largest financial company, said its first-quarter profit fell 2.6 percent from a year earlier after it changed accounting standards.

Net income was 389.5 billion won ($357 million) in the three months to March 31, compared with a revised 400 billion won a year earlier, the company said in a regulatory filing yesterday.

Hana Financial switched to Korea International Financial Reporting Standards this year from Korean GAAP, or generally accepted accounting principles.

Loan margins for Korean banks have widened after the central bank raised interest rates four times since July to tackle inflation. Hana’s planned takeover of Korea Exchange Bank will further improve the company’s profitability, analysts including Shim Hyun Soo at KB Investment & Securities Co. said.

“First-quarter earnings slightly beat my estimate of around 350 billion won. Acquiring Korea Exchange Bank will boost its growth potential,” said Shim.

Hana is awaiting Korean regulatory approval on its 4.7 trillion won takeover of KEB.

Fisher Capital Management Latest News: Hana Financial Q1 profit falls slightly By Fisher Capital Management Korea – April 18, 2011

Hana Financial Group Inc., Korea’s fourth-largest financial company, said its first-quarter profit fell 2.6 percent from a year earlier after it changed accounting standards.
Net income was 389.5 billion won ($357 million) in the three months to March 31, compared with a revised 400 billion won a year earlier, the company said in a regulatory filing yesterday.
Hana Financial switched to Korea International Financial Reporting Standards this year from Korean GAAP, or generally accepted accounting principles.
Loan margins for Korean banks have widened after the central bank raised interest rates four times since July to tackle inflation. Hana’s planned takeover of Korea Exchange Bank will further improve the company’s profitability, analysts including Shim Hyun Soo at KB Investment & Securities Co. said.
“First-quarter earnings slightly beat my estimate of around 350 billion won. Acquiring Korea Exchange Bank will boost its growth potential,” said Shim.
Hana is awaiting Korean regulatory approval on its 4.7 trillion won takeover of KEB.

Fisher Capital Management Latest News: Hana Financial Q1 profit falls slightly By Fisher Capital Management Korea – April 18, 2011

Hana Financial Group Inc., Korea’s fourth-largest financial company, said its first-quarter profit fell 2.6 percent from a year earlier after it changed accounting standards.
Net income was 389.5 billion won ($357 million) in the three months to March 31, compared with a revised 400 billion won a year earlier, the company said in a regulatory filing yesterday.
Hana Financial switched to Korea International Financial Reporting Standards this year from Korean GAAP, or generally accepted accounting principles.
Loan margins for Korean banks have widened after the central bank raised interest rates four times since July to tackle inflation. Hana’s planned takeover of Korea Exchange Bank will further improve the company’s profitability, analysts including Shim Hyun Soo at KB Investment & Securities Co. said.
“First-quarter earnings slightly beat my estimate of around 350 billion won. Acquiring Korea Exchange Bank will boost its growth potential,” said Shim.
Hana is awaiting Korean regulatory approval on its 4.7 trillion won takeover of KEB.