Corporate profits, debts improve in 2025: BOK
South Korean companies' profitability and debts improved last year, driven by strong performance in the semiconductor, transportation and other industries, although their sales growth slowed, central bank data showed Wednesday. Corporate sales growth slowed to 2.4 percent last year from the previous year's 3.7 percent, according to the data from the Bank of Korea (BOK). The data is based on a…
South Korean corporations demonstrated improved profitability and reduced debt levels in 2025, according to data released by the Bank of Korea (BOK). The central bank's review of nearly 983,000 non-financial firms subject to external audits revealed a slowdown in corporate sales growth, which declined to 2.4 percent from 3.7 percent the previous year.
Manufacturing businesses saw their sales increase by 2.4 percent in 2025, down from a 4.6 percent growth in 2024. Non-manufacturing sector sales grew by 2.3 percent, also slowing from a 2.9 percent increase in the prior year.
The ratio of local firms' combined operating profits to sales reached 5.2 percent in 2025, up from 4.6 percent in 2024 and marking the highest level since 2021. Additionally, the average debt-to-equity ratio for these firms decreased to 116.2 percent in 2025, down from 119.9 percent in 2024 and the lowest since 2019. This data indicates a positive trend for South Korean corporations in terms of financial health and operational performance, despite a modest slowdown in sales growth.
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- Corporate profits, debts improve in 2025: BOK koreatimes.co.kr
