Korean fintech company BalanceHero, which has expanded into India, achieved record-breaking results in the first half of 2024.

BalanceHero’s revenue and loan execution volume in the first half of 2024 both more than doubled compared to the same period last year, reaching KRW 66.7 billion (USD 52.7 million) and KRW 340 billion (USD 268.6 million), respectively. Notably, operating profit surged 3.5 times year-over-year to KRW 17 billion (USD 13.4 million), surpassing last year’s annual operating profit of KRW 16 billion (USD 12.6 million) in just six months.

Since the end of last year, loan amounts through the Machine Learning (ML) based platform have nearly tripled, driving revenue growth. In the first half of this year, the total amount loaned to the Indian market through BalanceHero was approximately KRW 340 billion (USD 268.6 million), with loans through the platform business accounting for 32% of the total loan execution volume.

BalanceHero’s ML-based lending platform is a mediation service that allows Indian financial institutions to pay fees and use BalanceHero’s alternative credit scoring system (ACS), which is specialized for India’s middle class. ACS is an ML-based system developed by analyzing users’ smartphone data and BalanceHero’s accumulated user data. It recommends and matches optimized loan products for users, increasing loan success rates by more than ten times compared to traditional evaluation systems while reducing risks by up to 40%.

In addition to the financial loan products directly provided to users, BalanceHero is securing a loan product lineup more than three times larger through its ML-based platform business, which serves as a future growth driver. This expansion is being used to continuously increase the number of users. The significance lies in creating a sustainable growth foundation that allows for flexible and stable profit expansion while reducing risks through this platform business.

From the second half of the year, BalanceHero plans to further focus on the lending platform and expand its business scope beyond loans to other financial products such as insurance.

Lee Chul-won, CEO of BalanceHero, stated, “As we grow into a full-fledged financial platform, our scale and profits are rapidly increasing. Based on our high data management and analysis capabilities, we will expand our product lineup and secure a major position in the fast-growing Indian market, which has a population of 1.4 billion.”

Meanwhile, in the rapidly growing fintech market in India, BalanceHero, which provides mobile loan and payment services as its main offerings, achieved its highest-ever performance last year with KRW 84.5 billion (USD 66.7 million) in revenue and KRW 16 billion (USD 12.6 million) in operating profit, marking an operating profit surplus for the second consecutive year.