SATO Vietnam Solutions: Hayabusa Implements SATO RFID Vendor Tagging Solution to Meet Global Retailer’s Mandate

 

HO CHI MINH CITY, Vietnam, Dec 2 (Bernama-BUSINESS WIRE) -- SATO Vietnam Solutions Co., Ltd., a member of the SATO Group – a global pioneer in auto-ID and labelling solutions – has successfully implemented an RFID label printing solution for Hayabusa Vietnam Co., Ltd. at its Vietnam factory, delivering flexibility, cost efficiency and operational peace of mind.

Hayabusa, a globally trusted freshwater and saltwater fishing hook manufacturer supplying major international retailers, faced a new RFID tagging mandate from one of its customers as part of efforts to enhance supply chain visibility through item-level serialisation.

Assigning each product a unique identity enables precise tracking of individual products through the supply chain, helping manufacturers and retailers improve inventory accuracy, reduce errors and ensure full traceability from production to sale. With a wide variety of products and the need to meet this mandate, the company sought a reliable solution provider.

Building on years of partnership providing barcode labelling solutions, SATO collaborated closely with Hayabusa to transform its labelling operations with RFID technology. Through SATO’s RFID Vendor Tagging solution, Hayabusa can now print and encode EPC-compliant¹ RFID labels onsite in a seamless and efficient process. Operators simply scan a barcode to trigger RFID label printing powered by SATO printers integrated with Loftware Cloud. Each label is encoded with a unique serial number managed securely in the cloud to ensure full traceability and compliance with the retailer’s requirements.

SATO also worked closely with its label partner, Avery Dennison to supply RFID tags pre-approved by the global retailer, giving Hayabusa confidence in every shipment.

“SATO gave us not just a product, but a complete solution,” said Tochigi Masashi, Production Manager of Hayabusa. “They came onsite, trained our team, and made sure everything worked smoothly. With this solution, we can print the exact quantity of RFID labels we need in our plant — no minimum order quantities, no duplication. It gives us total peace of mind.”

“We are proud to support Hayabusa’s successful transition to RFID,” said Tran Chanh Trung, Sales Supervisor (Apparel) of SATO Vietnam Solutions. “As RFID tagging becomes the new standard in global retail, SATO will continue helping manufacturers achieve compliance and scale their RFID adoption—from label printing to advanced solutions like RFID tunnels for automated verification of goods receiving and shipping.”

This collaboration underscores how the right RFID technology partner delivers more than just hardware but also the expertise, systems and support that manufacturers need to stay compliant today and future-ready for tomorrow.

1. EPC-compliant refers to meeting GS1’s Electronic Product Code (EPC) standards that define how RFID tags carry a unique identifier which can be accurately encoded, read and tracked across global supply chains.

About HAYABUSA (VIETNAM) CO., LTD.

HAYABUSA (VIETNAM) CO., LTD. is a subsidiary of Hayabusa Co., Ltd. (Japan), manufacturing and supplying high-quality fishing gear and related products to countries around the world. The company maintains Japanese standards of quality and precision in all production and supply operations.

About SATO Vietnam Solutions Co., Ltd.

Established in 2012, SATO Vietnam Solutions Co., Ltd. is a subsidiary of SATO Corporation, a global leader in auto-ID and labelling solutions. With offices in Ho Chi Minh City and Hanoi, the company provides end-to-end barcode and RFID labelling systems, software and consumables that help businesses improve efficiency, accuracy and traceability across their operations.
For more details, please visit https://satoasiapacific.com/vietnam/.

About SATO

SATO (TOKYO:6287) designs and manufactures hardware, labels and tags and develops software to integrate with third party offerings as automatic identification solutions. These solutions streamline workflows, enabling data capture and visualization for a connected world of productivity, safety, reassurance and sustainability. By giving things a digital identity, SATO helps businesses in retail, manufacturing, food, health care and transport & logistics run smoothly. Founded in 1940, SATO has a presence in 26 countries with a workforce of over 5,900. For the fiscal year ended March 31, 2025, it reported revenues of 154,807 million yen ($1.014 billion*)
More information about SATO can be found at www.sato-global.com.
*Based on an average exchange rate of 1 USD = 152.62 JPY

View source version on businesswire.com: 
https://www.businesswire.com/news/home/20251201573410/en/

Contact

Thao Hoang Thi
SATO Vietnam Solutions Co., Ltd.
Phone: +84 (28) 3910-1350

Source : SATO Vietnam Solutions Co., Ltd.

FUZHOU HOSTS 3RD OVERSEAS CHINESE TALENT CONFERENCE FOR DEVELOPMENT

The 3rd Overseas Chinese Talent Conference for Development opens in Fuzhou, Fujian Province.

 
KUALA LUMPUR, Dec 1 (Bernama) -- The third Overseas Chinese Talent Conference for Development opened in Fuzhou, Fujian Province, hosted by the All-China Federation of Returned Overseas Chinese (ACFROC) and the provincial government, with the aim of strengthening global talent exchange and innovation cooperation.

The three-day event beginning Dec 1 is themed "Uniting Overseas Chinese Talent, Forging a New Era of Innovation", under its permanent theme "Pooling the Wisdom of Overseas Chinese Talent to Fulfil the Chinese Dream".

The conference comprises five segments, namely the opening ceremony, awarding excellent contributions, gathering and cultivating overseas Chinese talent, attracting overseas Chinese talent, and the Overseas Chinese Talent Convergence (QIAOZHIHUI) Platform achievements release.

According to the conference organising committee in a statement, the opening ceremony includes a tour of the QIAOZHIHUI achievements release area, the establishment of an expert service team, project signings, and the promotion of key outcomes.

The awards initiative targets major technological challenges and provides special funding of 300,000 to one million Chinese yuan to support overseas Chinese scientific research teams. (100 Chinese yuan = RM58.41)

Talent cultivation activities cover innovation and entrepreneurship, artificial intelligence and employment, digital-intelligent commerce, and matchmaking sessions for overseas Doctor of Philosophy (PhD) holders.

The talent attraction section brings together the guest-of-honour province, Anhui, and city, Harbin, along with Harbin Institute of Technology and Tongji University, to promote regional collaboration and university-local government cooperation.

Meanwhile, the QIAOZHIHUI achievements release area is divided into multiple sections showcasing technological innovation, talent development and urban application scenarios.

The conference has attracted overseas Chinese professionals, high-level talents, science and technology associations, business leaders, and representatives from universities and research institutions, offering a platform to pool "overseas Chinese capital, wisdom, and strength" and support Fujian’s development in the new era.

-- BERNAMA

CIMB records PBT of RM8.12 billion with 11.3% ROE for 9M25

Declares special dividends of up to RM760.2 million as part of an up to RM2 billion capital return to shareholders over the next 2 years

 

KUALA LUMPUR, Nov 28 (Bernama) -- CIMB Group Holdings Berhad (“CIMB” or “the Group”) delivered a resilient financial performance for the nine months ended 30 September 2025 (“9M25”) with profit before tax (“PBT”) of RM8.12 billion and an annualised return on average equity (“ROE”) of 11.3%, driven by disciplined execution of its Forward30 strategy, notwithstanding macroeconomic headwinds and persistent rate cuts. Earnings per share (“EPS”) was 55.3 sen.

Robust Third Quarter
Underpinned by a strong 3Q25 with solid growth across key metrics, PBT grew by 7.3% to RM2.84 billion, while net profit rose 10% to RM2.08 billion, lifting the Group’s nine- month net profit to RM5.94 billion.
 
Operating income grew by 6.2% QoQ, underpinned by strong non-interest income (“NOII”) of RM2.13 billion, up 20.3% QoQ. Net interest income (“NII”) remained stable at RM3.82 billion despite a series of rate cuts in Malaysia, Indonesia, Singapore and Thailand. Group net interest margin (“NIM”) was resilient at 2.08% driven by strategic repricing and proactive capital management from previous quarters which mitigated the impact of persistent rate cuts.
 
Capital Strength
Capital remained healthy with Common Equity Tier 1 (“CET1”) ratio improving about 10bps QoQ to 14.8% as at end Sep-25, well within the Group’s FY25 target. Given CIMB’s strengthened capital position, the Group has announced an intention of returning up to RM2 billion of capital to shareholders by end-2027, which will be executed via special dividends and/or share buybacks subject to market conditions and regulatory approvals. As part of the capital return, the Group is announcing special dividends of up to RM760.2 million, or 7.0 sen per share which will be disbursed to shareholders on 24 December 2025. This will be on top of the regular dividends paid by the Group.
 
Strong CASA and Asset Growth
On a constant currency basis, total deposits and current account saving account (“CASA”) balances grew by 9.1% to RM518.1 billion and 15.3% YoY respectively increasing the Group’s CASA ratio to 44.1% as at Sep-25. This is attributable to the Group’s Forward30 cash strategy which successfully cushioned NIM compression this year as a result of the persistent rate cuts. Gross loans expanded 3.3% YoY to RM448.2 billion and assets grew 5.1% YoY to RM778.5 billion.

 
Operational Discipline
For 9M25, operating expenses grew at a disciplined 1.6% YoY which led to a cost-to- income ratio (“CIR”) of 46.5% but not at the expense of investments in technology and operational resilience. Pre-provisioning operating profit (“PPOP”) remained stable YoY at RM9.13 billion.
 
Stable Asset Quality
Asset quality remained stable, supported by continued corporate recoveries in 3Q25 as total provisions declined to RM330 million, reflecting stable credit performance across key portfolios. Loan loss charge (“LLC”) normalised to 33bps, within the Group’s full-year guidance. Gross impaired loans (“GIL”) ratio improved to 1.9% and allowance coverage improved to 102.8% as at Sep-25.
 
Advancing Forward30 Strategic Plan
The resilient financial performance reflects the Group’s continued commitment to execute its Forward30 strategy, focused on the 4Cs of Capital, Cash, Cross-sell and Capabilities. In 3Q25, the Group accelerated several bold digital-first initiatives, including CIMB OCTO Biz to empower SMEs to accelerate business expansion, and the management of the BUDI95 system through TNG Digital Sdn Bhd, reinforcing the Group’s role as a responsible financial intermediary that expands economic participation and impact.
 
CIMB also entered the Panda Bond market with a landmark RMB3 billion 3-year issuance, making it the largest single tranche issuance by a Malaysian institution and the second largest from an ASEAN issuer. This milestone further strengthens the Group’s role as a bridge between China and ASEAN, adding momentum to its effort in accelerating financial integration and promote cross-border investment and trade.
 
Improved MSCI ESG Rating
On the sustainability front, the Group’s MSCI ESG Rating was upgraded from AA to AAA, contributed by stronger disclosure in consumer protection and workforce management practices. The Group has also improved its S&P Corporate Sustainability Assessment 2025 score from 78 to 82. CIMB is ranked number 1 out of 400 financial institutions globally in the World Benchmarking Alliance 2025 Financial System Benchmark and number 2 globally in Inclusive Finance.

Outlook
Novan Amirudin, Group Chief Executive Officer of CIMB Group said, “This capital return forms part of our Forward30 strategy to always be disciplined with capital and reflects the Group’s confidence in the long-term performance trajectory. With this, we are able to return capital to shareholders in a measured and responsible manner; while ensuring we remain well-positioned for future growth.”
 
“We continue to serve all customer segments from the individuals to MSMEs, to large corporates and governments across ASEAN. Our resilient performance this quarter underscores the strength of our diversified franchise, the trust of our customers, and the impact of our digital and operational enhancements driven under our Forward30 strategy. The momentum will carry through to anchor our ability to navigate a challenging macroeconomic landscape.”
 
“As we head into the final quarter of 2025, we remain optimistic in closing the year on a strong footing and meeting all our targets. Our diversified portfolio and disciplined execution will continue to ensure we remain resilient despite the macroeconomic headwinds and challenges. While it may take some time for the dust to settle with the new world order, we expect NIMs to stabilise and we will continue investing for long-term growth,” Novan concluded.

About CIMB
 
CIMB is one of ASEAN’s leading banking groups and Malaysia’s second largest financial services provider, by assets. Listed on Bursa Malaysia via CIMB Group Holdings Berhad, it had a market capitalisation of approximately RM79.0 billion as at 30 September 2025. It offers consumer banking, commercial banking, wholesale banking, transaction banking, Islamic banking and asset management products and services. Headquartered in Kuala Lumpur, the Group is present across ASEAN in Malaysia, Indonesia, Singapore, Thailand, Cambodia, Vietnam and the Philippines.
 
Beyond ASEAN, the Group has market presence in China, Hong Kong and UK. CIMB has one of the most extensive retail branch networks in ASEAN with 571 branches and over 33,000 employees as at 30 September 2025. CIMB’s investment banking arm is one of the largest Asia Pacific-based investment banks, which together with its award- winning treasury & markets and corporate banking units comprise the Group’s leading wholesale banking franchise. CIMB is also the 92.5% shareholder of Bank CIMB Niaga in Indonesia, and 94.8% shareholder of CIMB Thai in Thailand.  
 

SOURCE : ​CIMB Group Holdings Berhad
 

FOR MORE INFORMATION, PLEASE CONTACT:
Name: Anis Azharuddin / Kelvin Jude Muthu

Group Corporate Communications
CIMB Group Holdings Berhad
Email: anis.azharuddin@cimb.com / kelvinjude.muthu@cimb.com 

--BERNAMA

MFMY SDN. BHD. LAUNCHES FIRST INTEGRATED MANUFACTURING AND SERVICES HUB IN SOUTHEAST ASIA

KULIM HI-TECH PARK, KEDAH, Nov 27 (Bernama) -- MFMY Sdn. Bhd., a subsidiary of MFSG and  leading provider of semiconductor Automated Material Handling System (AMHS) solutions, has established its presence in Malaysia with the official opening of its new manufacturing and service centre. Located at the KHTP SME Park in  Kulim Hi-Tech Park (KHTP), Kedah, the nearly 2,000 square meter facility is MFSG’s first integrated manufacturing and service hub in Southeast Asia and is equipped for full global delivery.

The launch ceremony was attended by senior representatives from the Malaysian government, key semiconductor clients, industry associations such as SEMI, local supply chain partners, and the executive team from MFMY’s parent company，MeetFuture Technology, as well as colleagues from MFSG and MFMY—together witnessing a pivotal milestone in the company’s global expansion.

Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, Chief Executive Officer of Malaysian Investment Development Authority (MIDA), remarked, “MFMY Sdn. Bhd.’s integrated hub in Kulim Hi-Tech Park strongly endorses Malaysia’s strategic push toward high-value, high-technology manufacturing. This investment aligns seamlessly with the New Industrial Master Plan (NIMP) 2030, which aims to build a more sophisticated, resilient, and technologically advanced economy. As Malaysia advances its National Semiconductor Strategy (NSS), the Machinery and Equipment (M&E) sector—particularly in Automated Material Handling Systems (AMHS) plays a pivotal role. Companies like MFMY, are essential enablers of the future semiconductor ecosystem, providing the automation and critical infrastructure necessary for our world-leading wafer fabs and packaging giants to maintain global competitiveness and move up the value chain.”

In the officiating remarks, Puan Sunita Binti Abdul Aziz, YDP PBT TPHTK, stated, “The establishment of MFMY Sdn. Bhd. within Kulim Hi-Tech Park reflects the strong confidence that investors have in Kulim as a strategic industrial hub. We look forward to seeing MFMY grow, innovate, and contribute to the district’s economic progress. The local authority remains committed to facilitating an ecosystem that supports industrial excellence and sustainable development.”

Dato’ Haji Mohd Sahil Zabidi, Group CEO of Kulim Technology Park Corporation (KTPC), stated;

“MFMY’s presence in KHTP is aligned with our mission to nurture high-value industries and empower SMEs to scale alongside global players. We believe this new facility will strengthen MFMY’s operational readiness and open new opportunities for collaboration within the KHTP ecosystem. KTPC is proud to support their journey and will continue enabling an environment where companies can thrive.” 

“This base marks a critical node in MeetFuture Technology’s global AMHS network,” said Mr. Tee Keng Teck, President of MeetFuture Malaysia, during the ceremony. “With over 50 wafer fab clients worldwide, the launch will significantly shorten our overseas delivery cycles and enhance service responsiveness, providing more efficient and reliable localized support to our global partners. We are grateful for the trust of the Malaysian government and the strong backing from our group headquarters. Moving forward, we are committed to deepening local operations and growing together with our partners in the region.”

Mr. Miao Feng (Ricky), Group Chairman of MeetFuture Technologies, stated, “Malaysia brings together world-leading chip manufacturers, packaging giants, and a vibrant, collaborative supply chain supported by proactive government policy and organizations like SEMI. This dynamic ecosystem is precisely why we chose Kulim, Kedah for our global manufacturing hub. The launch here is a key step in our strategy to connect Southeast Asia with Europe and serve the global market.”

Looking ahead, Mr. Miao emphasised that the Kedah facility will become the launchpad for an expanded international footprint, providing advanced, intelligent, and sustainable AMHS solutions to customers around the world.

Ms. Ke Na(kona), Vice President of MeetFuture Technology, added, “MeetFuture will respect local cultures and uphold compliance, focusing on employee development and local industry integration. By investing in talent, sustainability, and partnership, we aim to drive not only our own growth but also the ongoing advancement of the Southeast Asian semiconductor ecosystem, creating a win-win future with Malaysia.”

The opening of MFMY's facility comes as Malaysia's Machinery and Equipment industry continues to attract strong investment interest. For the first nine months of 2025, the industry recorded RM6.4 billion in approved investments, underscoring its critical role in supporting Malaysia's semiconductor ecosystem and advanced manufacturing capabilities. 

Please refer to this link for details: https://shorturl.at/Fmrfo 

Source: Malaysian Investment Development Authority (MIDA)

FOR MORE INFORMATION, PLEASE CONTACT: 
MIDA
Name: Ms. Zakiah Sajidan
Director of Machinery and Metal Technology Division, MIDA
Tel: +603-2267 6769
Email: zakiah@mida.gov.my
 
KTPC
Name: Ms. Siti Norsakeena Mohd Arshad
Head of Corporate Communication
Tel: +604-403 2420 ext 134
Email: info@khtp.com.my

--BERNAMA

TAKAFUL INDUSTRY ACTIVATES NATIONWIDE FLOOD SUPPORT

Coordinated Industry Response Activated to Support Flood-Affected Participants 

KUALA LUMPUR, 28 Nov (Bernama) -- The Malaysian Takaful Association (MTA) expresses its deep concern and heartfelt empathy for families across several states who are facing hardship due to the worsening monsoon floods. The industry stands in solidarity with all individuals affected by disruptions, property damage, and the emotional stress brought by rising floodwaters. 

Recognising the potential for conditions to worsen in the coming days, the Takaful industry has elevated its nationwide state of readiness to ensure participants receive timely assistance, clear guidance, and uninterrupted access to support channels when they need it most.

As part of this strengthened response, Takaful operators have activated a coordinated assistance framework that includes: 

• Expedited claims guidance for flood-related losses;
• Dedicated 24/7 contact channels across all participating operators;
• Flexibility in selected documentation requirements to ease claims submission;
• Continuous public updates on safety reminders and protection benefits.
• Dedicated adjusters across the various regions to attend to flood claims

MTA has also activated the Takaful4All Cares Team as part of its industry-wide readiness initiatives. The team stands ready to be deployed in areas where conditions allow and where their support can add meaningful value to local recovery efforts.

“Our thoughts and prayers are with every family impacted by the floods. During these difficult moments, we want participants to know that the Takaful industry is ready to help, ready to guide, and ready to support recovery efforts,” said Mohd Radzuan Mohamed, Chief Executive Officer of the Malaysian Takaful Association. 

In view of the increasingly unpredictable and severe monsoon patterns driven by changing climate conditions, MTA urges the public to stay alert and take proactive steps to safeguard their safety, property, and important documents. The recent shifts in weather patterns have resulted in heavier rainfall, higher flood risks, and more widespread impact, reinforcing the need for stronger community preparedness.

Given the heightened storm intensity in recent years, MTA reminds the public to observe the following essential safety measures: 

• Prioritise personal safety; avoid walking or driving through floodwaters.
• Monitor official weather forecasts and heed district-level warnings.
• Protect important documents by keeping them in waterproof, accessible storage.
• Do not start flood damaged vehicles and document all damage before cleaning.
• Prepare a family emergency plan, including key contacts and safe evacuation routes.
• Review Takaful coverage to ensure awareness of protection benefits, especially for weather-related risks. Thus, call the respective Takaful operators for clarification. 

These measures are vital to help families reduce risks and recover more effectively during and after the monsoon period.

Actions to Be Taken by Affected Participants
Affected individuals should prioritise safety and return home only when authorities confirm it is safe. They are encouraged to:
• Record and photograph all damage to homes, belongings, and vehicles.
• Keep essential documents ready for reference.
• Contact their respective Takaful operator promptly for claims assistance. 

Key assistance contacts include:
• Takaful Ikhlas General Berhad – e-Claim Portal:
https://go.takafulikhlas.com.my/eclaim/general/
• Etiqa General Takaful Berhad – 03-2296 8600
• Zurich General Takaful Malaysia Berhad Roadside Assistance (24 hours) – 1-300-88- 5566
• Zurich General Takaful Malaysia Berhad Support – 1-300-888-622
• Takaful Malaysia Am Berhad (STMAB) – csu@takaful-malaysia.com.my
• Tele Bantuan (24 hours) – 1-800-888-788

Participants may also refer to the Flood Claims FAQ for process on next steps. For more update, visit social media page MTA:
Facebook :https://www.facebook.com/MalaysianTakafulAssociation
IG : https://www.instagram.com/malaysiantakafulassociation?igsh=NHF6eXIzZGd5aXds

ABOUT MALAYSIAN TAKAFUL ASSOCIATION (MTA)

Malaysian Takaful Association (MTA) was established on November 2002 under the Societies Act 1966. It is a trade association representing all 19 licensed Takaful and Retakaful operators in the country. The objectives and the powers of MTA are to promote the interests of its members and to inculcate the implementation of self-regulation within the Takaful industry. More information on MTA can be obtained from its website: www.takaful4all.org

SOURCE: Malaysian Takaful Association (MTA) 

 

FOR MORE INFORMATION, PLEASE CONTACT: 

Name: Puan Siti Nor Kamariah Ishak
Head, Corporate Communications 
Tel: 01137475361
Email: mtasecretariat@malaysiantakaful.com.my

--BERNAMA

GLOBAL PANDA PARTNERS CONFERENCE 2025 CONCLUDES IN CHENGDU

KUALA LUMPUR, Nov 25 (Bernama) -- The Global Panda Partners Conference 2025 concluded recently in Shuangliu District, Chengdu, Sichuan Province, bringing together experts, scholars, and officials to explore scientific pathways for ecological protection and green development, with a focus on giant panda conservation and cultural exchanges.

The three-day conference, held from Nov 20 to 22, featured one main forum, eight sub-forums, and 10 related activities covering ecological civilisation, giant panda culture, and domestic and international tourism, according to a statement.

Sichuan Province Governor, Shi Xiaolin described the giant panda as a "national treasure" of China, a symbol of ecological protection, and an ambassador for peace and friendship.

She emphasised Sichuan’s aim to partner globally in protecting panda habitats, building a sustainable world, and promoting cooperation in ecology, culture, science, technology, and industry.

Meanwhile, Xinhua News Agency Editor-in-Chief, Lyu Yansong said the country’s success in giant panda conservation epitomises China’s ecological civilisation efforts.

Lyu added that the news agency is committed to promoting Chinese President Xi Jinping’s ecological civilisation vision and sharing the nation’s achievements in sustainable development worldwide.

The conference was jointly hosted by Xinhua News Agency Sichuan Branch, Xinhua News & Information Center, China Wildlife Conservation Association, China Conservation and Research Center for Giant Panda, and Chengdu Media Group.

Shuangliu District, home to Chengdu Shuangliu International Airport, is noted for its historical culture, rapid economic growth, and thriving high-tech industries such as aviation and astronautics, and has been recognised as one of "China's happiest districts" for five consecutive years.

-- BERNAMA

AM Best Affirms Credit Ratings of NongHyup Property and Casualty Insurance Company Limited

HONG KONG, Nov 24 (Bernama-BUSINESS WIRE) -- AM Best has affirmed the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Rating of “a-” (Excellent) of NongHyup Property and Casualty Insurance Company Limited (NH P&C) (South Korea). The outlook of these Credit Ratings (ratings) is stable.

The ratings reflect NH P&C’s balance sheet strength, which AM Best assesses as strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management. The ratings also reflect the implicit and explicit support the company receives from its ultimate parent, National Agricultural Cooperative Federation (NACF).

NH P&C’s risk-adjusted capitalisation is assessed at the strongest level, as measured by Best’s Capital Adequacy Ratio (BCAR). Despite the recent issuances of supplementary capital securities, the company’s Korean-Insurance Capital Standards (K-ICS) ratio showed a material decline in 2024 and through the first half of 2025, primarily due to various regulatory guideline changes. Prospectively, AM Best expects NH P&C to maintain its solvency position well above the regulatory minimum and recommended levels with a focus on improving asset and liability management and its strong financial flexibility. Particularly, the company’s financial flexibility is supported by its good accessibility to the capital market and financial support from its immediate parent, NongHyup Financial Group Inc. (NHFG). NH P&C’s investment portfolio is conservative, consisting mainly of fixed-income assets of good quality.

NH P&C’s operating performance is assessed as adequate, with a return-on-equity ratio of 5.7% and a combined ratio of 95.1% (net/net) in 2024, as calculated by AM Best. The company’s general property/casualty business, including government policy insurance, continues to show moderate volatility, for example, driven by severe weather events or wildfires. While the company’s profitability of long-term insurance remained largely in line with its peers, NH P&C’s growth of new business contractual service margin (CSM) has demonstrated a declining trend over the last two years (2022-2024). Thus, AM Best will monitor NH P&C’s improvement in generating its new business CSM, as it will play an instrumental role in achieving stable future profits and provide a buffer against volatility in the general P/C insurance segment. AM Best expects the company’s investment profits to continue supporting its overall profitability.

NH P&C is a domestic non-life insurer in South Korea, with a 3.7% market share in terms of gross insurance service revenue in 2024. The company is an exclusive provider of crop insurance in the country, which is largely operated under the general principle of “no profit no loss,” and a major provider of other government policy insurance products for farmers, such as livestock and agricultural vehicle insurance. NH P&C focuses on expanding sales of protection-type products with high margins to gradually improve the profitability of its long-term insurance line; however, its market presence in the long-term insurance segment remains modest due to strong market competition. Distribution remains highly concentrated in the cooperative channel, which is a network of NACF’s members.

As a wholly owned subsidiary of NHFG, which is the financial arm of NACF and one of the largest financial groups in South Korea, NH P&C is strategically important to NACF, given its role as the exclusive provider of government policy insurance products to cooperative members. Additionally, AM Best recognises NHFG’s capability and strong willingness to provide timely financial support to NH P&C, should the need arise.

Negative rating actions could occur if there is a significant deterioration in NH P&C’s balance sheet strength fundamentals and a further decline in its domestic solvency ratio from the current level. Negative rating actions also could arise if the level of support or the company’s strategic importance to its ultimate and immediate parents is reduced to a degree that no longer supports the current level of enhancement. While it is thought to be unlikely, positive rating actions could occur if NH P&C’s business profile improves in a sustainable manner, for example, through successful channel diversification that results in a materially enhanced market presence without deterioration in its risk-adjusted capitalisation and operating profitability.

Ratings are communicated to rated entities prior to publication. Unless stated otherwise, the ratings were not amended subsequent to that communication.

This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

AM Best is a global credit rating agency, news publisher and data analytics provider specialising in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

Copyright © 2025 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

View source version on businesswire.com: https://www.businesswire.com/news/home/20251121687162/en/ 

Contact

Seokjae Lee
Senior Financial Analyst
+852 2827 3407
seokjae.lee@ambest.com

Chanyoung Lee
Director, Analytics
+852 2827 3404
chanyoung.lee@ambest.com

Christopher Sharkey
Associate Director, Public Relations
+1 908 882 2310
christopher.sharkey@ambest.com

Al Slavin
Senior Public Relations Specialist
+1 908 882 2318
al.slavin@ambest.com 

Source : AM Best