Financial Overview - As of the end of 2018, Huishang Bank's registered capital was approximately RMB 12.15 billion[4]. - Operating net income for 2018 reached RMB 26,951 million, an increase of 19.74% compared to RMB 22,508 million in 2017[9]. - Pre-tax profit rose to RMB 10,821 million, reflecting a growth of 12.57% from RMB 9,613 million in the previous year[9]. - Net profit attributable to shareholders was RMB 8,747 million, up 14.87% from RMB 7,615 million in 2017[9]. - Total assets increased by 15.68% to RMB 1,050,506 million from RMB 908,100 million year-over-year[10]. - Total liabilities grew by 15.47% to RMB 980,229 million, compared to RMB 848,888 million in 2017[10]. - The net profit for 2018 was RMB 8.860 billion, representing a year-on-year increase of 13.42%[22]. - The total customer deposits amounted to RMB 573.798 billion, reflecting a year-on-year growth of 11.89%[22]. - The total amount of loans and advances reached RMB 381.766 billion, marking a growth of 21.31%[22]. - The total investment reached RMB 504.645 billion, which is 48.04% of total assets, compared to 46.12% the previous year[50]. Operational Performance - The bank employed 9,515 staff and operated 17 branches and 424 external business institutions, including 2 branch business departments and 422 sub-branches[4]. - The bank's main operations include accepting deposits from corporate and retail customers and providing loans[4]. - The bank's comprehensive strength and management level have steadily improved, achieving coordinated development in scale, quality, and efficiency[4]. - The bank's retail business saw rapid growth, with personal financial assets exceeding RMB 250 billion[20]. - The bank's cash management transaction volume reached RMB 16 trillion, maintaining a leading position in the market[20]. - The bank's credit card service was awarded for "Best User Experience Mobile Banking" in 2018[6]. - The bank's liquidity coverage ratio stands at 132.75%, with high-quality liquid assets amounting to RMB 67.384 billion, and a net cash outflow of RMB 50.762 billion over the next 30 days[141]. Risk Management - The bank has implemented a comprehensive risk management system, focusing on prudent, rational, and stable risk preferences to ensure sufficient risk provisions and capital adequacy[137]. - The bank has optimized its market risk management processes, employing various analytical methods such as gap analysis and stress testing to maintain market risk within acceptable limits[139]. - The bank aims for a balanced development of scale, quality, and efficiency in its operations while maintaining a comprehensive risk management value[137]. - The bank has implemented a robust mechanism for monitoring liquidity indicators and conducting quarterly liquidity risk stress tests to prevent potential liquidity crises[141]. - The bank emphasizes the importance of risk warning and exit mechanisms, particularly in high-risk sectors such as real estate and small enterprises[138]. Awards and Recognition - The bank received multiple awards in 2018, including the "2018 Top 10 City Commercial Banks Golden Dragon Award" and "Outstanding Contribution Bank for Precision Poverty Alleviation" in Anhui region[7]. - The bank was recognized as a "First-Class Taxpayer" in Anhui Province for 2017[6]. - The bank achieved a ranking in the top 20 for "Profitability," "Innovation Capability," and "Comprehensive Wealth Management Capability" among city commercial banks in a report by the China Banking Association[7]. Product and Service Development - Huishang Bank launched several new products, including "Zhongbiao Loan" and "Minsheng Loan," enhancing its product offerings[20]. - The company is focusing on innovation and increasing R&D investments to improve competitiveness and support the development of small and micro enterprises[105]. - The company plans to enhance its retail banking capabilities by improving service levels and expanding wealth management product lines in response to market pressures in 2019[117]. - The company is actively participating in the green finance sector, supporting the development of green economies in Anhui and Jiangsu provinces[153]. Customer Engagement - The number of debit cards issued reached 17.04 million by the end of 2018, with a card balance of RMB 72.22 billion, marking a 49.97% increase year-on-year[119]. - The number of personal online banking customers reached 3.7747 million, with online banking transactions increasing by 32.66% to 290.9439 million transactions in 2018[129]. - Mobile banking customers totaled 3.1957 million, with transaction volume growing by 57.81% to RMB 381.9 billion in 2018[130]. Financial Stability - The bank's non-performing loan ratio improved slightly to 1.04% from 1.05% in the previous year[13]. - The coverage ratio for non-performing loans increased to 302.22%, up from 287.45% in 2017[13]. - The cost-to-income ratio decreased to 23.02% from 25.90% in 2017, indicating improved operational efficiency[11]. - The average return on total assets was 0.90%, down from 0.94% in the previous year[12]. Future Outlook - The company aims to continue its high-quality development in 2019, focusing on stability and progress amid challenges[21]. - The company plans to enhance fiscal policies to reduce taxes and fees, thereby lowering corporate costs and increasing household income[151]. - The company is committed to improving its risk management system to prevent systemic risks while promoting sustainable development[149]. - The company aims for stable growth and high-quality development, focusing on key areas such as infrastructure and new consumption, with a plan to maintain stable credit growth and leverage quality assets[152].