SEOUL, South Korea, Feb. 17, 2023 /PRNewswire/ -- Seoul Guarantee Insurance Company(SGIC) held 'SGI WAY 2030 proclamation ceremony and the 54th anniversary' on February 17th (Fri).
Yoo Kwang-yeol, CEO of SGIC, declared a new mid- to long-term management strategy at a ceremony marking the 54th anniversary of its foundation.
At the corporate foundation anniversary event held at its headquarters in Jongno-gu, Seoul, about 2,000 executives and employees and agency officials attended online and offline to commemorate the footsteps of SGIC and share mid-to long-term management strategies for a new leap forward into the future.
At the SGI WAY 2030 proclamation ceremony, CEO Kwang-Yeol YOO announced his plan to transform SGIC, Korea's representative company, into a 'digital-based global platform company' by systematizing the GDP(Global, Digital, Partnership) strategy as a journey to 2030.
In particular, the company's strategic direction of discovering various growth opportunities by nurturing digital competitiveness as the new core competency and by global hub expansion and value creation through continuous external collaboration was given more clarity. SGIC plans to create a super-gap in the existing market and at the same time strengthen sustainability with entrance into new markets and new businesses.
SGIC, which started as the first dedicated guarantee insurance company in Korea in 1969, is the largest general guarantee institution in Korea with an annual guarantee of 323 trillion won(US＄255 billion). Over the past 54 years, it has introduced various guarantee products including various performance guarantees, installment sales guarantee insurance, and mobile communication credit insurance.
At the end of 2022, the balance of guarantees stood approximately 452 trillion won(US＄356 billion), maintaining a high annual growth rate, and net profit for the current period is approximately KRW 560 billion(US＄442 million), an increase of more than 20% compared to the previous year. The return on assets(ROA) recorded 5.8% last year from 3.8% in 2020 and 4.8% in 2021, which is more than five times the average of domestic non-life insurance companies(ROA of about 1.1%, as of the third quarter of 2022)
SGIC not only boasts the highest profitability, but also has excellent financial soundness such as solvency margin ratio and earned loss ratio. It has obtained an A+ rating from S&P, and an AA- rating from Fitch, securing international recognition.
SGIC is preparing for an initial public offering(IPO) in domestic stock market this year. Although the internal and external environment is challenging, considering the dominant position, risk management and underwriting know-how, and active dividend payout ratio that have been established for over 50 years in the domestic guarantee insurance market, it is considered one of the best IPO stocks in Korea in 2023.
Starting with overseas business briefings (NDRs) in Hong Kong and Singapore in March, SGIC is to directly convey its competitiveness and investment highlights to institutional investors, drawing much interest from related industries.
