Financial Performance - The bank reported a mid-year financial performance with a focus on high-quality development amidst weak macroeconomic recovery and ongoing real estate sector risks[6]. - In the first half of 2022, the company's operating income was CNY 31.778 billion, a year-on-year increase of 22.47%[30]. - The net profit attributable to shareholders was CNY 6.974 billion, reflecting a year-on-year growth of 1.80%[30]. - As of the end of the reporting period, total assets reached CNY 2.52 trillion, an increase of 10.26% compared to the end of the previous year[30]. - The total amount of loans and advances was CNY 1.47 trillion, up 9.41% from the previous year-end[30]. - The non-performing loan ratio stood at 1.49%, with a provision coverage ratio of 185.74%, indicating stable asset quality[30]. - The capital adequacy ratio was 11.75%, with a Tier 1 capital adequacy ratio of 9.64% and a core Tier 1 capital adequacy ratio of 8.04%, all maintaining reasonable levels[30]. Risk Management - The bank's risk management principles include controlling industry concentration and adhering to a "small and dispersed" lending approach[13]. - The company maintains a prudent and stable risk appetite, focusing on small and diversified credit principles to support the real economy[100]. - The company aims to control credit risk within a manageable range, maximizing comprehensive benefits adjusted for risk[101]. - Unified credit management is implemented for corporate clients, with a focus on comprehensive analysis and assessment of client risks and financial conditions[102]. - The company emphasizes risk management for small and micro enterprises, enhancing risk mitigation measures through monitoring and tracking overdue loans[103]. - The company has established a comprehensive risk management system, with the board of directors ultimately responsible for risk management[100]. Digital Transformation - The bank aims to enhance its digital transformation to support the development of "weak sensitivity" assets and create a comprehensive financial service ecosystem[13]. - The company's digital reform framework is centered around the "Zheshang Bank Digital Brain +185N" model to enhance risk management and operational efficiency[13]. - The company is focusing on digital transformation and has launched the "Micro Sea" digital brand, exploring blockchain and IoT technologies[35]. - The company has implemented a digital transformation strategy, optimizing interbank asset pool platforms and launching green bond collateral business[137]. - The company has launched a series of digital financial services, including online loan applications and approvals, to facilitate 24/7 self-service financing[146]. Wealth Management - The bank's wealth management scale (AUM) focuses on retail customer services, including financial product sales and asset agency services[12]. - The company aims to enhance its comprehensive financial service capabilities and has initiated a new wealth management strategy[30]. - The total balance of the company's wealth management products reached CNY 241.73 billion, with individual and institutional client funds accounting for 94.95% and 5.05% respectively[141]. - The cumulative issuance of wealth management products reached CNY 417.92 billion, generating asset management service fee income of CNY 30.1 million[141]. - The company has launched new wealth management products, including "Shengxin Win" and "Juxin Win," to enhance its product offerings[124]. Corporate Governance - The company’s governance structure is designed to ensure effective checks and balances among the board, supervisory board, and senior management[162]. - The board of directors consists of 13 members, including 2 female members and 11 with postgraduate degrees, enhancing diverse perspectives and professional experience[166]. - The company has maintained a stable shareholding structure, with no changes in ordinary shares during the reporting period[173]. - The company emphasizes investor relations management, focusing on communication and addressing investor concerns effectively[169]. - The company has adhered to the corporate governance code, with a commitment to transparency and accountability in its operations[171]. Shareholder Structure - The total number of shares held by the top ten unrestricted shareholders is 4,553,783,800, representing 21.41% of the total shares[175]. - The total number of shares held by the top ten restricted shareholders is 7,868,000,000, which includes significant stakes from various state-owned and private entities[178]. - The company has a diverse shareholder base, with multiple entities holding significant stakes, including Earning Star Limited and others, each holding 1.28%[182]. - The ownership structure shows a mix of beneficial owners and controlled corporation interests, highlighting the complexity of the shareholder landscape[182]. - The largest shareholder, Zhejiang Provincial Financial Holding Company, is controlled by the Zhejiang Provincial Finance Department[186]. Employee Development - The company has a focus on training key talents as part of its strategic development, emphasizing digital transformation and professional enhancement[200]. - The company conducted 708 training programs during the reporting period, with a total of 294,008 employee training sessions[200]. - The company’s employee distribution includes 7,851 marketing personnel, 1,586 front-line staff, and 8,975 back-office staff[198]. - The company aims to enhance its digital transformation and high-quality development, focusing on a strategy of "solid foundation, structural adjustment, risk control, and efficiency creation"[161]. - The company’s board of directors consists of 13 members, including 3 executive directors and 5 independent non-executive directors[193].

Financial Performance - In the first half of 2022, China Zheshang Bank reported operating income of RMB 31.74 billion, a year-on-year increase of 22.53%[14]. - The net profit attributable to shareholders for the same period was RMB 6.974 billion, reflecting a year-on-year growth of 1.80%[14]. - The company's operating income for the first half of 2022 reached RMB 31,740 million, representing a 22.53% increase compared to RMB 25,903 million in the same period of 2021[24]. - The net profit attributable to shareholders for the first half of 2022 was RMB 6,974 million, a 1.80% increase from RMB 6,851 million in the first half of 2021[24]. - The net interest margin for the first half of 2022 was 2.28%, an increase of 0.01 percentage points from 2.27% in the first half of 2021[25]. - The cost-to-income ratio improved to 23.88% in the first half of 2022, down by 1.21 percentage points from 25.09% in the same period of 2021[25]. - The company reported a non-recurring profit of RMB 39 million for the first half of 2022, after accounting for tax effects[29]. - The net interest income for the first half of 2022 was RMB 23.237 billion, up by RMB 2.859 billion or 14.03% compared to the same period last year[38]. - The non-interest income reached RMB 8.503 billion, representing a significant increase of RMB 2.978 billion or 53.90% year-on-year[38]. Asset and Liability Management - As of the end of the reporting period, total assets reached RMB 2.52 trillion, up 10.26% from the end of the previous year[14]. - Total liabilities amounted to RMB 2.36 trillion, growing by 11.47% year-on-year, with customer deposits reaching RMB 1.64 trillion, up 15.88%[14]. - The total amount of loans and advances was RMB 1.47 trillion, an increase of 9.41% compared to the end of last year[14]. - The total assets as of June 30, 2022, amounted to RMB 2,521,244 million, reflecting a 10.26% increase from RMB 2,286,723 million at the end of 2021[27]. - The total loans and advances amounted to RMB 1,474.061 billion, increasing by RMB 126.822 billion or 9.41% year-on-year[33]. - Total liabilities reached RMB 2,362.89 billion, an increase of RMB 243.05 billion or 11.47% compared to the end of the previous year[71]. - Customer deposits amounted to RMB 1,640.46 billion, up by RMB 224.76 billion or 15.88% year-over-year, with corporate deposits increasing by RMB 230.69 billion or 19.04%[72]. Loan Quality and Risk Management - The non-performing loan ratio stood at 1.49%, with a provision coverage ratio of 185.74%, indicating stable asset quality[14]. - The non-performing loan ratio as of June 30, 2022, was 1.49%, a decrease of 0.04 percentage points from 1.53% at the end of 2021[26]. - The provision coverage ratio increased to 185.74% as of June 30, 2022, up by 11.13 percentage points from 174.61% at the end of 2021[26]. - The proportion of normal loans was 95.20%, with a total of RMB 1,403.23 billion, reflecting an increase of RMB 110.44 billion from the previous year[75]. - Non-performing loans stood at RMB 219.69 billion, with a non-performing loan ratio of 1.49%, a decrease of 0.04 percentage points from the previous year[75]. - The company aims to control credit risk within a manageable range, maximizing comprehensive benefits adjusted for risk in local currency[97]. - Unified credit management is implemented for corporate clients, with comprehensive analysis and assessment of client risks and financial conditions[99]. - The company has established a credit risk management system for small and micro enterprises, focusing on standardized credit operations and risk mitigation measures[100]. Capital Adequacy and Regulatory Compliance - The capital adequacy ratio was 11.75%, with a tier 1 capital ratio of 9.64% and a core tier 1 capital ratio of 8.04%, all maintaining reasonable levels[14]. - The core Tier 1 capital adequacy ratio as of June 30, 2022, was 8.04%, a decrease of 0.09 percentage points from 8.13% at the end of 2021[28]. - The total risk-weighted assets amounted to RMB 1,596.18 billion, with a minimum capital requirement of 8.00%[89]. - The bank's leverage ratio was 4.97% as of June 30, 2022, down from 5.93% at the end of the previous year[90]. - The compliance risk management framework has been enhanced to ensure adherence to laws and regulations, with a focus on improving internal control and compliance management effectiveness[116]. Digital Transformation and Innovation - The company’s digital transformation efforts are centered around the "185N" system framework, enhancing operational efficiency across five major business segments[142]. - The company has launched a comprehensive product service system centered on customer needs, enhancing its core competitiveness across five major sectors and introducing new platforms such as the wealth management platform and mobile banking 5.0[143]. - The digital banking service system has achieved an electronic channel transaction substitution rate of 99.71%, leading the industry[149]. - The company has filed over 90 financial technology patents and published papers in top-tier conferences and international journals[147]. - The company has developed a digital RMB system and conducted pilot projects in multiple locations[144]. Shareholder and Corporate Governance - The company disclosed a total of 78 announcements for A-shares and 99 announcements for H-shares during the reporting period, ensuring equal access to information for all shareholders[168]. - The total number of issued ordinary shares was 21,268,696,778, comprising 16,714,696,778 A-shares and 4,554,000,000 H-shares[174]. - The company maintained a stable shareholding structure, with no changes in ordinary shares during the reporting period[175]. - The company actively engaged with investors through online meetings, with over 40,000 participants in the annual performance briefing[170]. - The company emphasizes board diversity, with 2 female members among 13 directors and 11 holding postgraduate degrees[167].

Financial Performance - Net profit attributable to shareholders was RMB 5,118 million, representing an increase of 11.84% compared to the same period last year[3] - The group achieved an operating income of RMB 15.391 billion, an increase of RMB 2.389 billion, or 18.37% year-on-year[13] - The bank's net profit for Q1 2022 reached RMB 5,222 million, reflecting an increase of 12.1% from RMB 4,657 million in the same period last year[26] - The bank's total operating income for Q1 2022 was RMB 15,391 million, an increase of 18.4% from RMB 13,002 million in Q1 2021[26] - Basic earnings per share rose to RMB 0.20, up 17.65% from RMB 0.17 in the same quarter last year[3] - The bank's basic earnings per share for Q1 2022 was RMB 0.20, compared to RMB 0.17 in Q1 2021, indicating a growth of 17.6%[28] Asset and Liability Management - As of March 31, 2022, total assets reached RMB 2,481,669 million, an increase of 8.53% compared to the end of 2021[3] - The total liabilities increased to RMB 2,325,368 million, marking a 9.70% rise compared to the end of 2021[3] - The bank's total equity decreased to RMB 156,301 million as of March 31, 2022, down from RMB 166,883 million at the end of 2021, a decline of about 6.4%[22] - The total cash and cash equivalents at the end of the period reached RMB 139,056 million, up from RMB 93,218 million year-on-year[39] Loan and Deposit Growth - The total amount of loans and advances was RMB 1,427,251 million, reflecting a growth of 5.94% year-on-year[3] - The bank's total deposits reached RMB 1,514,411 million, an increase of 6.97% year-on-year[3] - The net increase in deposits was RMB 97,174 million, indicating strong customer confidence and growth in deposit base[33] - The net increase in interbank and other financial institution deposits was RMB 33,008 million, compared to RMB 26,844 million in the first quarter of 2021[33] Income Composition - Non-interest income accounted for 25.29% of total operating income, an increase of 2.72 percentage points year-on-year[3] - The bank's fee and commission income for Q1 2022 was RMB 1,545 million, up 31% from RMB 1,180 million in Q1 2021[24] - The bank's investment income for Q1 2022 was RMB 2,489 million, significantly higher than RMB 420 million in Q1 2021, marking a substantial increase[24] Capital Adequacy and Ratios - The bank's core tier 1 capital adequacy ratio stood at 8.05%, slightly up from 8.01% at the end of 2021[5] - The capital adequacy ratio stood at 11.74%, a decrease of 1.15 percentage points from the end of the previous year[14] - The liquidity coverage ratio decreased to 134.97% from 163.50% at the end of 2021[8] - The cost-to-income ratio improved to 23.66%, down from 25.06% in the previous year[3] - The group’s cost-to-income ratio improved to 23.66%, a decrease of 1.40 percentage points year-on-year[13] Non-Performing Loans - The non-performing loan balance was RMB 21.812 billion, an increase of RMB 1.145 billion, or 5.54% compared to the end of the previous year[14] - The non-performing loan ratio remained stable at 1.53%, unchanged from the end of the previous year[14] Cash Flow Analysis - The net cash inflow from operating activities for the first quarter of 2022 was RMB 48,348 million, compared to a net outflow of RMB 70,128 million in the same period of 2021[33] - The total cash inflow from operating activities was RMB 174,496 million, an increase from RMB 98,314 million year-on-year[33] - The net cash outflow from investment activities was RMB 38,556 million, a significant decrease from a net inflow of RMB 7,063 million in the first quarter of 2021[36] - The cash inflow from financing activities was RMB 103,796 million, down from RMB 130,442 million in the previous year[39] - The net cash flow from financing activities was RMB 38,547 million, compared to RMB 44,117 million in the first quarter of 2021[39] Other Comprehensive Income - The bank's other comprehensive income for Q1 2022 showed a net loss of RMB 769 million, contrasting with a gain of RMB 164 million in the same period last year[28]

Financial Performance - Operating income for Q1 2022 was RMB 15,413 million, representing an 18.34% increase year-over-year from RMB 13,024 million in Q1 2021[5] - Net profit attributable to shareholders for Q1 2022 was RMB 5,118 million, up 11.84% from RMB 4,576 million in the same period last year[5] - The bank's basic earnings per share for Q1 2022 was RMB 0.20, an increase of 17.65% from RMB 0.17 in Q1 2021[5] - Total operating income for Q1 2022 was RMB 15,413 million, a 18.4% increase from RMB 13,024 million in the same period last year[24] - Net profit for Q1 2022 reached RMB 5,222 million, representing a 12.2% increase compared to RMB 4,657 million in Q1 2021[24] - The bank reported a total comprehensive income of RMB 5,033 million for Q1 2022, compared to RMB 4,628 million in the previous year[26] - Pre-tax profit for 2022 was 6,124 million RMB, an increase from 5,821 million RMB in 2021, reflecting a growth of approximately 5.2%[31] Asset and Liability Management - Total assets as of March 31, 2022, reached RMB 2,481,669 million, an increase of 8.53% compared to December 31, 2021[4] - The total liabilities reached RMB 2,325,368 million, an increase of 9.70% from RMB 2,119,840 million at the end of 2021[4] - Total assets reached CNY 2,481.67 billion, an increase of CNY 194.95 billion or 8.53% compared to the end of the previous year[18] - The bank's total liabilities increased to CNY 2,325.37 billion, up CNY 205.53 billion or 9.70% from the previous year-end[18] Capital Adequacy and Liquidity - The bank's core tier 1 capital adequacy ratio stood at 8.05% as of March 31, 2022, slightly down from 8.13% at the end of 2021[8] - The capital adequacy ratio stood at 11.74%, a decrease of 1.15 percentage points from the end of the previous year[18] - The liquidity coverage ratio was 134.97% as of March 31, 2022, down from 163.50% at the end of 2021[11] Loan and Deposit Growth - The total loans and advances amounted to RMB 1,427,251 million, reflecting a growth of 5.94% compared to RMB 1,347,239 million at the end of 2021[4] - The net increase in loans and advances for 2022 was 80,565 million RMB, up from 48,709 million RMB in 2021, indicating a significant increase in lending activity[31] - The net increase in customer deposits for 2022 was 97,174 million RMB, compared to a decrease of 62,623 million RMB in 2021, indicating strong deposit growth[31] Non-Interest Income and Cost Management - Non-interest income accounted for 25.40% of total operating income, up from 22.70% in the previous year[6] - The bank's cost-to-income ratio improved to 23.84%, down from 25.18% in the same period last year[6] - Non-interest income reached CNY 3.92 billion, a year-on-year increase of CNY 959 million or 32.44%[18] Cash Flow and Investment Activities - The bank's cash flow from operating activities showed a significant improvement, with a net inflow of CNY 48.35 billion compared to a net outflow in the previous year[21] - The net cash flow from operating activities for 2022 was 48,348 million RMB, a significant recovery from a net outflow of 70,128 million RMB in 2021[31] - The net cash used in investment activities for 2022 was 38,556 million RMB, a decline from a net inflow of 7,063 million RMB in 2021, indicating increased investment outflows[33] - Cash received from investment income in 2022 was 6,704 million RMB, up from 4,696 million RMB in 2021, showing a growth of approximately 42.7%[33] Risk Management - The non-performing loan ratio remained stable at 1.53%, unchanged from the end of the previous year[18] - The bank's non-performing loan ratio remained stable, reflecting effective risk management strategies[27] Future Outlook - The bank plans to expand its market presence through strategic partnerships and technology investments in the coming quarters[30]

Financial Performance - The company reported a stable financial performance for 2021, with total assets reaching RMB 1.5 trillion, an increase of 8% year-on-year[2]. - Net profit attributable to shareholders was RMB 30 billion, representing a growth of 12% compared to the previous year[2]. - The asset scale, operating income, and provisioned profit all achieved double-digit growth, indicating a robust financial performance[6]. - Annual operating income was CNY 54.58 billion, with a year-on-year growth of 14.3% and an increase of CNY 2.69 billion in the second half of the year compared to the first half[8]. - The company has achieved a significant reduction in inefficient assets and high-interest liabilities, leading to an improvement in net interest margins[6]. Risk Management - The company implemented a comprehensive risk management system, resulting in a positive trend in asset quality[6]. - The company is focused on maintaining zero occurrences of major operational risks and incidents through enhanced internal control and compliance management[6]. - The overall risk management strategy is designed to support high-quality development and adapt to new economic conditions, laying a solid foundation for future growth[95]. - Credit risk management aims to keep risks within acceptable limits while maximizing risk-adjusted returns, with a structured approach to assessing borrower creditworthiness[97]. - The company has implemented unified credit management for corporate clients, ensuring comprehensive assessments and adherence to regulatory requirements[99]. Digital Transformation - The company plans to enhance its digital banking services, aiming for a 25% increase in online transactions by the end of 2022[2]. - The company is committed to digital transformation, establishing a "1+5+N" digital reform framework to enhance financial services[6]. - The company has replaced over 3 million manual operations through digital process reengineering, saving approximately 150,000 hours of labor[140]. - The company has developed a digital platform for financial institution clients, improving operational efficiency and risk management[131]. - The electronic channel transaction substitution rate reached 99.70%, indicating industry-leading performance in online banking services[143]. Customer Base and Services - The bank's customer base expanded to 20 million, with a 15% increase in retail customers year-on-year[2]. - The company served over 39,000 core enterprises and their upstream and downstream customers in the supply chain, enhancing stability and growth[6]. - The company aims to enhance its five major business segments in 2022, focusing on high-quality development and risk control[8]. - The company has provided credit support exceeding CNY 6 billion to nearly 30,000 small and micro enterprises and individual businesses in the supply chain[124]. - The company has established partnerships with 2,161 smart manufacturing enterprises, providing financing exceeding 604.2 billion[125]. Governance and Compliance - The board of directors held 16 meetings in the reporting period, focusing on improving corporate governance and compliance with regulatory requirements[157]. - The company has a comprehensive internal control and risk management system, which is reviewed annually by the board[163]. - The board's composition includes 2 female members and 13 members with postgraduate degrees, enhancing the board's expertise and independent judgment[162]. - The company has established a three-year shareholder return plan for 2022-2024, focusing on sustainable growth and shareholder value[164]. - The company has adopted a code of conduct for securities trading that is not less stringent than the standards set by the Hong Kong Listing Rules[194]. Strategic Focus - The company aims to strengthen its presence in Zhejiang, focusing on financing and supporting local economic development initiatives[6]. - The company has set a vision to become a "first-class commercial bank" and is prioritizing digital reform and collaborative development across five major business sectors[6]. - The company is actively exploring potential mergers and acquisitions to enhance its market position and service offerings[2]. - The company has established a "two locations, three centers" disaster recovery system to enhance business continuity capabilities[116]. - The company is committed to preventing systemic financial risks while enhancing international financial cooperation and deepening financial reforms[153]. Awards and Recognition - The bank received the "2021 Financial Technology Innovation Award" from Global Finance magazine[19]. - The company has been recognized with multiple awards, including the "Bull Award" for its wealth management products, reflecting its strong market reputation[134]. - The company received multiple awards for its investment banking services, including the "2021 Banking Industry Boutique Investment Banking Tiangong Award" and "Outstanding ABS Lead Underwriter" awards[129]. - The company has been recognized for its digital transformation achievements, enhancing financial service quality and efficiency to support the real economy[138]. - The company has applied for over 80 financial technology patents and obtained more than 40 software copyrights in 2021, receiving over 20 awards for financial technology innovation[142].

Financial Performance - In 2021, the bank achieved a historical high in the incremental loans for inclusive small and micro enterprises, significantly enhancing support for the manufacturing sector through the "Spark Plan" and specialized credit policies[7]. - The bank's asset scale, operating income, and provisioned profit all experienced double-digit growth, indicating a positive trend in asset quality and improved net interest margin[8]. - Total assets reached CNY 2.29 trillion, an increase of 11.64% year-on-year[13]. - Operating income for the year was CNY 54.47 billion, up 14.19% compared to the previous year[13]. - Net profit attributable to shareholders was CNY 12.65 billion, reflecting a growth of 2.75% year-on-year[13]. - The total amount of loans and advances was CNY 13.5 trillion, growing by 12.49%[13]. - Non-performing loan ratio stood at 1.53%, with a provision coverage ratio of 174.61%[13]. - The bank's capital adequacy ratio was 12.89%, with a Tier 1 capital ratio of 10.80%[13]. - The bank's non-interest income grew by 18%[10]. - The company's operating income for 2021 was RMB 54,471 million, an increase of 14.19% compared to RMB 47,703 million in 2020[23]. - Net profit attributable to shareholders was RMB 12,648 million, reflecting a 2.75% increase from RMB 12,309 million in the previous year[23]. - The non-performing loan ratio increased to 1.53%, up by 0.11 percentage points from 1.42% in 2020[25]. - The company's basic earnings per share rose to RMB 0.55, a 3.77% increase from RMB 0.53 in 2020[23]. Risk Management - The bank's management emphasized the importance of risk management and compliance, maintaining zero occurrences of major operational risks[8]. - The bank's risk management strategy emphasizes a prudent and stable risk preference, maintaining asset quality stability[16]. - The company implemented a comprehensive risk management system, focusing on credit risk, market risk, and operational risk management[96]. - The company aims to control credit risk within a manageable range, maximizing risk-adjusted comprehensive benefits in local currency[97]. - The company has developed a unified credit management approach for financial institution clients, ensuring centralized risk management[102]. - The company has implemented differentiated risk control strategies in the real estate sector to optimize credit resource allocation[77]. - The company has established a comprehensive reputation risk management system, enhancing the timeliness and effectiveness of risk prevention through a digital monitoring platform and proactive measures[110]. Digital Transformation - The bank's digital transformation strategy, termed "1+5+N," was implemented to enhance its digital financial services and overall operational efficiency[7]. - The bank plans to deepen its digital reform and enhance its comprehensive financial service model in 2022, aligning with the national "14th Five-Year Plan" objectives[8]. - The company aims to enhance its market influence and positive image through proactive public relations and reputation risk training for employees[110]. - The company has applied for over 80 financial technology patents and published the first blockchain industry chain financial white paper in the banking sector, emphasizing innovation in financial services[114]. - The digital transformation efforts led to the replacement of over 3 million manual operations, saving approximately 150,000 hours of labor[137]. Business Strategy and Development - The bank's strategy focuses on five major business segments, promoting coordinated development[10]. - The company aims to become the most competitive national joint-stock commercial bank and the most important financial platform in Zhejiang Province[15]. - The company has established cooperation with 2,161 intelligent manufacturing enterprises, with total financing exceeding 604.2 billion CNY[123]. - The company launched the "Starfire Plan" focusing on specialized, innovative, and high-tech enterprises, addressing financing challenges for light-asset companies[124]. - The company has committed to ongoing training and compliance education to strengthen its anti-money laundering efforts and ensure regulatory compliance[115]. Corporate Governance - The board of directors consists of 15 members, including 4 executive directors and 7 independent non-executive directors, ensuring compliance with governance standards[154]. - The company is committed to improving corporate governance and has implemented a governance structure that promotes effective checks and balances among its various bodies[152]. - The board confirmed its responsibility for risk management and internal control systems, reviewing their effectiveness annually[156]. - The company has established a diverse board composition policy to ensure a range of perspectives and expertise among board members[171]. - The company has a long-term development plan for 2021-2025, focusing on inclusive finance and strategic growth[157]. Customer Service and Client Engagement - The company has emphasized enhancing customer service capabilities and expanding its client base, which has positively impacted loan growth[65]. - The company has maintained a customer satisfaction rate of 99.86% for its telephone banking services[143]. - The company processed 37.3351 million transactions through personal online banking, with a total transaction amount of 2.129139 trillion yuan[141]. - The number of personal mobile banking customers reached 4.5779 million, a year-on-year increase of 13.38%[142]. International Business - The company achieved a historic breakthrough in international business, providing international settlement services totaling 218.2 billion USD during the reporting period[125]. - The company’s foreign exchange trading services totaled 82.4 billion USD, with the "Zhejiang Trading Treasure" platform accounting for 37.4 billion USD of that volume[125]. - The company’s international business liquidity service balance was 56 billion RMB, reflecting strong support for foreign trade new business formats[125]. Financial Investments and Asset Management - Financial investments totaled RMB 651,822 million, marking a significant increase of 23.36% from RMB 528,385 million in the previous year[66]. - The asset management service fee income reached CNY 529 million during the reporting period[131]. - The asset management business had a total balance of CNY 245.09 billion, with net value products accounting for 73.55% of the total[131]. Compliance and Regulatory Adherence - The company emphasizes strict compliance with information disclosure regulations and has established a management system for insider information[189]. - The company has implemented a robust compliance risk management framework, ensuring adherence to regulations and enhancing compliance culture through training and internal controls[113]. - The company has received multiple honors, including the "Advanced Unit Supporting Economic and Social Development in Zhejiang Province" and an AAA credit rating from China Chengxin International[147].

Financial Performance - In the first half of 2021, Zhejiang Zheshang Bank reported operating income of CNY 25.948 billion, a year-on-year increase of 3.05%[8]. - Net profit attributable to shareholders reached CNY 6.851 billion, reflecting a year-on-year growth of 1.12%[8]. - Total assets amounted to CNY 2.15 trillion, up 5.18% from the end of the previous year, with total loans and advances reaching CNY 1.27 trillion, an increase of 6.22%[8]. - The bank's total liabilities were CNY 2.02 trillion, growing by 5.41%, while the balance of deposits reached CNY 1.37 trillion, up 2.37%[8]. - The non-performing loan ratio stood at 1.50%, with a provision coverage ratio of 180.24%, indicating stable asset quality[8]. - Capital adequacy ratio was 12.42%, with a Tier 1 capital ratio of 9.46% and a core Tier 1 capital ratio of 8.37%, all maintaining reasonable levels[8]. - Operating income for the period was RMB 25.948 billion, reflecting a year-on-year increase of 3.05%[18]. - Net profit attributable to shareholders was RMB 6.851 billion, representing a growth of 1.12% year-on-year[18]. - The average return on total assets was 0.67%, while the average return on equity was 11.00%[21]. - The company achieved a net profit of RMB 6.851 billion in the first half of 2021, representing a year-on-year growth of 1.12%[21]. Risk Management - The company emphasizes risk management strategies in its operations[3]. - The company has implemented a comprehensive risk management system focusing on prudent and stable risk preferences[73]. - The company aims to control credit risk within a reasonable range to maximize risk-adjusted comprehensive benefits[74]. - The company has strengthened its customer base and optimized its business structure as part of its risk management strategy[73]. - The company is committed to enhancing its big data risk control platform to maintain asset quality stability[73]. - The company has established a Chief Risk Officer position to oversee comprehensive risk management responsibilities[73]. - The company implements unified credit management for corporate clients, establishing comprehensive credit limits based on thorough evaluations[75]. - The company has strengthened credit risk management for small and micro enterprises, focusing on overdue tracking and monitoring to control overdue and non-performing loans[76]. - The company actively develops a credit evaluation system for personal loans, enhancing risk management mechanisms and improving post-loan monitoring[77]. Corporate Governance - The company has a total of 14 board members, including 1 executive director, 6 non-executive directors, and 7 independent non-executive directors as of the end of the reporting period[161]. - The company held a total of 34 meetings during the reporting period, including 2 shareholder meetings and 10 board meetings[125]. - The board of directors approved 52 proposals during the reporting period, with 12 meetings held by specialized committees[127]. - The supervisory board convened 6 meetings, reviewing 24 proposals and 17 reports during the reporting period[128]. - The company emphasizes the importance of information disclosure and adheres strictly to regulatory requirements[130]. - The company disclosed a total of 72 announcements for A-shares and 81 announcements for H-shares during the reporting period, ensuring equal access to information for all shareholders[131]. Shareholder Structure - As of June 30, 2021, the total number of ordinary shares issued by the company was 21,268,696,778, including 16,714,696,778 A-shares and 4,554,000,000 H-shares[135]. - The total number of ordinary shareholders reached 285,005, with 284,883 holding A-shares and 122 holding H-shares as of the reporting period end[137]. - The largest shareholder, Hong Kong Central Clearing Limited, held 4,553,781,800 shares, representing 21.41% of the total shares[138]. - Zhejiang Financial Holding Co., Ltd. held 2,655,443,774 shares, accounting for 12.49% of the total shares, with all shares under limited sale conditions[138]. - The company maintained a consistent share structure with no changes in ordinary shares during the reporting period[136]. Digital Transformation - The company aims to enhance digital transformation through financial technology, focusing on innovation and integration of services[109]. - The online transaction substitution rate exceeded 99%, indicating a strong shift towards digital banking services[192]. - The company processed 19.7523 million transactions through personal online banking, with a total transaction amount of 1,120.227 billion yuan[116]. - The number of personal mobile banking customers reached 4.3348 million, a year-on-year increase of 17.04%[117]. - The company processed 49.4501 million transactions through mobile banking, with a total transaction amount of 1,247.729 billion yuan[117]. Community Engagement - The bank promoted a "bank + leading enterprises + cooperatives + farmers" financial service model to support the development of characteristic industries in poverty-stricken areas[193]. - The bank invested a total of RMB 15.7545 million in educational support for 20 rural primary schools, benefiting 7,168 students[193]. International Operations - The company provided international settlement services amounting to USD 77.035 billion, a year-on-year increase of 58%[92]. - The company issued international trade financing of USD 9.842 billion, a year-on-year increase of 12%, with USD 3.793 billion financed through platform models[92]. - The company provided cross-border guarantees and financing balances of USD 4.508 billion as of June 2021[92]. Awards and Recognition - The company was awarded multiple accolades, including the title of core trader in the interbank RMB market for 2020[95]. - The company received several awards, including the "Outstanding Contribution Award for Guarantee Business" from the Central National Debt Registration and Settlement Co., Ltd. for 2020[97].

Financial Performance - In the first half of 2021, China Zheshang Bank reported operating income of RMB 25.903 billion, a year-on-year increase of 3.02%[13] - The net profit attributable to shareholders for the same period was RMB 6.851 billion, reflecting a year-on-year growth of 1.12%[13] - Total operating income for the first half of 2021 was RMB 25,903 million, a 3.02% increase from RMB 25,144 million in the same period of 2020[18] - Net profit attributable to shareholders for the first half of 2021 was RMB 6,851 million, reflecting a 1.12% increase from RMB 6,775 million in the first half of 2020[18] - The bank's average return on total assets for the first half of 2021 was 0.67%, a decrease of 0.06 percentage points from 0.73% in the first half of 2020[20] - The bank's net interest margin for the first half of 2021 was 2.27%, a decrease of 0.02 percentage points from 2.29% in the first half of 2020[20] - The cost-to-income ratio increased to 25.09% in the first half of 2021, up from 23.34% in the same period of 2020[20] - Non-interest net income for the first half of 2021 was RMB 55.25 billion, a decrease of RMB 12.32 billion or 18.23% year-on-year, with net commission and fee income dropping to RMB 19.97 billion[43] Asset and Liability Management - As of the end of the reporting period, total assets reached RMB 2.15 trillion, an increase of 5.18% compared to the end of the previous year[13] - The total amount of loans and advances was RMB 1.27 trillion, growing by 6.22% from the previous year-end[13] - Total liabilities amounted to RMB 2.02 trillion, up 5.41% year-on-year, with deposits reaching RMB 1.37 trillion, a growth of 2.37%[13] - The bank's total liabilities as of June 30, 2021, were RMB 2,019,280 million, a 5.41% increase from RMB 1,915,682 million at the end of 2020[21] - Total assets as of June 30, 2021, reached RMB 2,154,397 million, a 5.18% increase from RMB 2,048,225 million at the end of 2020[21] - The bank's total equity attributable to shareholders was RMB 133,024 million as of June 30, 2021, compared to RMB 130,512 million at the end of 2020, reflecting an increase of approximately 1.9%[200] Loan Quality and Risk Management - The non-performing loan ratio stood at 1.50%, with a provision coverage ratio of 180.24%, indicating stable asset quality[13] - The bank's non-performing loan ratio remains stable, reflecting effective risk management strategies implemented in recent quarters[199] - The provision for credit impairment losses increased to RMB 34.497 billion, with a current period provision of RMB 7.171 billion and write-offs of RMB 5.245 billion[78] - The company's risk management strategy includes continuous optimization of credit allocation based on regional economic characteristics to mitigate regional risks[71] - The company emphasizes a comprehensive risk management system, focusing on prudent and stable risk preferences while enhancing client management and optimizing business structure[88] Digital Transformation and Innovation - The bank is focusing on a platform-based service strategy, leveraging blockchain and IoT technologies to drive high-quality development[13] - The company aims to enhance its financial technology capabilities as part of its 2021-2025 development plan, focusing on digital transformation and innovation[122] - The bank plans to enhance its digital banking services to attract younger customers and expand its market presence[199] - The bank's online transaction replacement rate exceeded 99%, indicating a strong shift towards digital services[191] - The company has established a comprehensive online banking service system, achieving an electronic channel transaction substitution rate of 99.70%, leading the industry[128] Customer and Market Engagement - The bank has established 278 branches across 20 provinces and regions in China, including Hong Kong, effectively covering key economic areas[13] - The platform-based service model served 66,600 clients, an increase of 4100 clients, or 6.56% growth from the beginning of the year[106] - Over 75% of the core enterprises served are private enterprises, and over 70% are inclusive small and micro enterprises[106] - The company actively supported new foreign trade formats, focusing on cross-border e-commerce and market procurement, enhancing personalized service models[107] Compliance and Governance - The company is committed to enhancing compliance and internal control, focusing on "internal control first, compliance as the foundation"[103] - The company has fully complied with the Corporate Governance Code as per Hong Kong Listing Rules from January 1, 2021, to June 30, 2021[146] - The company has adopted a set of securities trading guidelines for directors and supervisors, compliant with Hong Kong Listing Rules[145] Shareholder and Capital Structure - The total number of ordinary shares issued by the company is 21,268,696,778, including 16,714,696,778 A-shares and 4,554,000,000 H-shares[148] - The largest shareholder, Hong Kong Central Clearing (Agent) Limited, holds 4,553,781,800 H-shares, accounting for 21.41% of total shares[151] - A total of 4,043,222,355 shares are pledged, with 1,338,434,590 shares subject to judicial freeze[156] - The company has no controlling shareholder or actual controller as of the reporting period[157] Social Responsibility and Community Engagement - The bank has invested a total of RMB 15.7545 million in educational support for 20 rural primary schools, benefiting 7,168 students[192] - The bank's green loan balance reached RMB 84.662 billion, an increase of RMB 6.136 billion, representing a growth of 7.81% compared to the previous year[191] - Agricultural loan balance stood at RMB 180.038 billion, with an increase of RMB 8.890 billion, reflecting a growth of 5.19% year-on-year[192]