招商银行副行长王颖在该行2025年中期业绩说明会上表示，外部市场一直在变化，招行零售业务一直在 第三方支付崛起、降费让利、消费降级、房地产市场调整等挑战中持续成长，反映到经营结果上，就是 每个季度都会存在的压力，包括支付中收、财富中收、净息差、风险指标等等，招行并没有因此放弃哪 一个板块，而是在顺境的时候就抓住机遇，在逆境的时候就苦练内功。"零售是一个体系，哪一个条件 都非常重要，包括每一个层级的客群，包括每一个板块，从信用卡到个贷到财富、到支付到私行，我们 一直保持战略的坚定和战术的清醒，不断的反躬自省。" ...

Financial Data and Key Indicator Changes - The bank achieved a net operating income of RMB 169.9 billion, a year-on-year decrease of 1.73% [5] - Net profit attributable to shareholders was RMB 74.9 billion, reflecting a year-on-year increase of 0.25% [5] - Return on average assets (ROAA) and return on average equity (ROAAE) were 1.21% and 13.85% respectively, maintaining industry-leading levels [6] - Net interest margin (NIM) was 1.88%, a decrease of 12 basis points year-on-year [6] - Non-interest income was RMB 63.8 billion, a year-on-year decrease of 6.77% [6] Business Line Data and Key Indicator Changes - Retail loans accounted for 51.68% of total loans, a decrease of 1.23 percentage points [10] - Net operating income from retail business accounted for 56.6% of total, representing a year-on-year increase of 1.12 percentage points [11] - Wealth management fee and commission income increased by 11.89% year-on-year, reversing a downward trend since 2022 [6] Market Data and Key Indicator Changes - Total assets amounted to RMB 12.66 trillion, an increase of 4.16% [7] - Total loans and advances reached RMB 7.12 trillion, up by 3.31% [8] - Total deposits from customers were RMB 9.42 trillion, an increase of 3.58% [9] Company Strategy and Development Direction - The bank will continue to advance its value creation strategy, focusing on quality, profitability, and scale [31] - Emphasis will be placed on enhancing asset and liability management and optimizing resource allocation [32] - The bank aims to strengthen its retail finance position and expand its wealth management business [32][33] Management's Comments on Operating Environment and Future Outlook - The management acknowledged challenges such as low interest rates and intensified competition but expressed confidence in achieving steady progress in the second half of the year [40] - The bank plans to balance business development across different lines and improve wealth and fee-based income [40] - Management highlighted the importance of technology and AI in enhancing operational efficiency and customer service [46][48] Other Important Information - The bank's capital adequacy ratios showed slight declines, with CET1 CAR at 14%, Tier 1 CAR at 17%, and total CAR at 18.56% [11] - The non-performing loan (NPL) ratio was 0.93%, a decrease of 0.02 percentage points [12] Q&A Session Summary Question: Can CMB continue its positive growth trend in the second half? - Management expressed confidence in maintaining steady progress and achieving budget goals despite challenges in the first quarter [39] Question: How will CMB carry out its retail strategy amidst challenges? - Management emphasized focusing on deposit and settlement services, enhancing technology integration, and applying AI to improve efficiency in retail banking [44][46] Question: What is the outlook for NIM and funding costs? - Management noted that while NIM is under pressure, it remains higher than the industry average, and efforts will be made to manage funding costs effectively [56][58] Question: How does the anti-evolution policy impact the bank's operations? - Management indicated that the anti-evolution policy aims to stabilize competition and improve asset quality, which is beneficial for the bank's sustainable development [74][75] Question: What opportunities exist in corporate finance amidst market recovery? - Management highlighted the bank's strong customer base and unique financing perspectives, indicating potential growth in M&A and restructuring opportunities [78][80]

Financial Data and Key Indicators Changes - The bank achieved a net operating income of RMB 169.9 billion, a year-on-year decrease of 1.73% [6] - Net profit attributable to shareholders was RMB 74.9 billion, reflecting a year-on-year increase of 0.25% [6] - Return on average assets (ROAA) and return on average equity (ROAAE) were 1.21% and 13.85% respectively, maintaining industry-leading levels [7] - Net interest margin (NIM) was 1.88%, a decrease of 12 basis points year-on-year [7] - Non-interest income was RMB 63.8 billion, a year-on-year decrease of 6.77% [7] - Cost-to-income ratio remained stable at 30.11% [8] Business Line Data and Key Indicators Changes - Retail loans accounted for 51.68% of total loans, a decrease of 1.23 percentage points [12] - Net operating income from retail business accounted for 56.6% of total, representing a year-on-year increase of 1.12 percentage points [13] - Wealth management fee and commission income increased by 11.89% year-on-year, reversing a downward trend since 2022 [7] - The balance of retail wealth management products (WMP) increased by 8.84% [25] Market Data and Key Indicators Changes - Total assets amounted to RMB 12.66 trillion, an increase of 4.16% [8] - Total loans and advances reached RMB 7.12 trillion, up by 3.31% [9] - Total deposits from customers were RMB 9.42 trillion, an increase of 3.58% [11] - The number of retail customers increased by 2.86% to 216 million [16] Company Strategy and Development Direction - The bank aims to enhance refined management practices and optimize customer base [35] - Focus on differentiated development to expand core competitive advantages, particularly in retail finance [36] - Plans to enhance global and integrated operation capabilities, particularly in overseas markets [38] - Emphasis on innovation-driven growth and digital transformation, leveraging AI technology [39] Management Comments on Operating Environment and Future Outlook - The banking industry faces challenges such as low interest rates and intensified competition, but China's economy shows signs of recovery [35] - Management expressed confidence in achieving steady progress in the second half of the year despite external pressures [44] - The bank will continue to balance business development across different lines and improve cost control [44] Other Important Information - The bank's capital adequacy ratio experienced a slight decline, with CET1 CAR at 14% [13] - Non-performing loan (NPL) ratio was 0.93%, a decrease of 0.02 percentage points [14] - The bank's overseas institutions saw total assets increase by 6.56% [28] Q&A Session All Questions and Answers Question: Can CMB continue to have a positive growth trend in the second half? - Management indicated that while the first quarter faced significant pressure, the second quarter showed improvement, and they expect steady progress in the second half [44] Question: How will CMB carry out its retail strategy amidst challenges? - Management highlighted three major areas of focus: enhancing settlement and clearing services, integrating AI into retail banking, and optimizing team structures to improve efficiency [48][50] Question: How will the bank manage NIM in the current interest rate environment? - Management noted that while they face pressure on NIM, they maintain a leading position in the industry and are focused on managing costs and optimizing asset allocation [60][62] Question: What are the implications of the anti-evolution policy for the bank? - Management explained that the anti-evolution policy aims to stabilize competition and improve asset quality, which they believe will benefit the bank's operations [81]

Financial Data and Key Indicators Changes - The bank achieved a net operating income of RMB 169.9 billion, a year-on-year decrease of 1.73% [6] - Net profit attributable to shareholders was RMB 74.9 billion, reflecting a year-on-year increase of 0.25% [6] - Return on average assets (ROAA) and return on average equity (ROAAE) were 1.21% and 13.85% respectively, maintaining industry-leading levels [7] - Net interest margin (NIM) was 1.88%, a decrease of 12 basis points year-on-year [7] - Non-interest income was RMB 63.8 billion, a year-on-year decrease of 6.77% [7] - Cost-to-income ratio remained stable at 30.11% [8] Business Line Data and Key Indicators Changes - Retail loans accounted for 51.68% of total loans, a decrease of 1.23 percentage points [12] - Net operating income from retail business accounted for 56.6% of total, representing a year-on-year increase of 1.12 percentage points [13] - Wealth management fee and commission income increased by 11.89% year-on-year, reversing a downward trend since 2022 [7] - The balance of retail wealth management products (WMP) increased by 8.84% [25] Market Data and Key Indicators Changes - Total assets amounted to RMB 12.66 trillion, an increase of 4.16% [8] - Total loans and advances reached RMB 7.12 trillion, up by 3.31% [9] - Total deposits from customers were RMB 9.42 trillion, an increase of 3.58% [11] - The number of retail customers increased by 2.86%, totaling 216 million [16] Company Strategy and Development Direction - The bank aims to advance its value creation strategy, focusing on quality, profitability, and scale [5] - Plans to enhance refined management practices and optimize customer base [35] - Emphasis on differentiated development in retail finance and wealth management [36] - Focus on global and integrated operations, particularly in overseas markets [38] Management Comments on Operating Environment and Future Outlook - The banking industry faces challenges such as low interest rates and intensified competition, but China's economy shows signs of recovery [35] - Management expressed confidence in achieving steady progress in the second half of the year despite external pressures [44] - The bank will continue to implement strategies to manage costs and improve non-interest income [44] Other Important Information - The bank's capital adequacy ratio experienced a slight decline, with CET1 CAR at 14% [13] - Non-performing loan (NPL) ratio was 0.93%, a decrease of 0.02 percentage points [14] - The bank is enhancing its digital transformation and technology capabilities, implementing AI across various business areas [32] Q&A Session Summary Question: Can CMB continue its positive growth trend in the second half? - Management believes that despite pressures in the first quarter, the second quarter showed improvement and expects steady progress in the second half [44] Question: How will CMB carry out its retail strategy amidst challenges? - Management highlighted a focus on deposit and settlement services, technology integration, and AI application to enhance retail banking [48][49] Question: How will the anti-evolution policy affect CMB's NIM and asset quality? - Management indicated that the anti-evolution policy aims to stabilize competition and improve asset quality, which could benefit the bank's NIM [79] Question: What opportunities does the recovery in the capital market present for corporate finance? - Management noted that CMB has a strong customer base and unique financing perspectives, positioning it well to capitalize on opportunities in corporate finance [81]

人民财讯9月1日电，招商银行（600036）行长王良在该行2025年中期业绩说明会上表示，从前两个季度 经营情况看，一季度经营压力巨大，主要是贷款重定价导致息差降幅进一步加大，对营收增长带来巨大 压力，但二季度已经呈现出好于一季度的态势，相信下半年招行将继续保持稳中求进、逐季向好的发展 态势。 王良表示，招行将落实好各项发展的战略，落实好董事会各项工作部署和要求，特别是在当前利率下 行、利差收窄情况下，加快战略转型，实现四大板块均衡协同发展。同时，通过加强非息收入、财富管 理收入的增长，加强资产质量管理，多措并举，实现年初确定的预算目标。 ...

Core Viewpoint - The low interest rate environment is significantly impacting the banking industry in China, leading to a potential restructuring of the competitive landscape. China Merchants Bank (CMB) is taking various strategic measures to navigate these challenges, including accelerating internationalization, enhancing comprehensive services, leveraging AI for smart banking, and improving management and risk control [1][2]. Group 1: Impact of Low Interest Rates - The one-year and five-year Loan Prime Rates (LPR) in China have been cumulatively reduced by 70 basis points and 105 basis points from 2022 to 2024, respectively [2]. - As a result, the net interest margin for the banking sector has declined to 1.42% in Q2 of this year, putting pressure on revenue and profit growth, as net interest income accounts for over 70% of bank revenues [2]. - The low interest rate scenario is described as the biggest "gray rhino" for the Chinese banking industry, with historical precedents from Europe, the US, Japan, and Taiwan indicating that prolonged low rates can lead to significant operational difficulties for banks [2]. Group 2: Internationalization Strategy - CMB is accelerating its internationalization to adapt to the growing demand for financial services as Chinese enterprises expand overseas. The bank aims to diversify its revenue sources beyond the low-interest domestic market [5][6]. - CMB has established a global presence with branches in major financial centers such as Hong Kong, Singapore, New York, and London, and is leveraging these platforms to enhance its multi-currency operations [6]. - The bank's international business has shown significant growth, with total assets and operating income from its Hong Kong institutions increasing by 9.49% and 25.28%, respectively, in the first half of 2025 [6]. Group 3: Comprehensive Business Development - CMB has been expanding its financial licenses, recently obtaining a Financial Asset Investment Company (AIC) license, which enhances its comprehensive business model [12][13]. - The bank's subsidiaries are performing well, with total assets of major subsidiaries growing by 9% year-on-year, indicating an upward trend in its overall competitive capability [12]. - CMB is focusing on providing integrated services across various business lines to enhance customer loyalty and achieve diversified revenue streams [13]. Group 4: Differentiated Competitive Strategy - CMB emphasizes differentiation in a highly competitive banking environment, aiming to create a unique value proposition through innovation and specialized services [15]. - The bank's retail customer base has reached 216 million, with retail assets under management surpassing 16 trillion yuan, reflecting its strong performance in retail banking [15][16]. - CMB is also investing in key regional branches to enhance its presence in economically vibrant areas, which is expected to drive further growth [17]. Group 5: AI and Digital Transformation - CMB is committed to becoming a smart bank by leveraging AI technologies to enhance service delivery and operational efficiency [19][20]. - The bank has developed a comprehensive AI technology framework, with 184 application scenarios across various functions, resulting in significant labor hour savings [19][21]. - CMB's historical focus on technology adoption positions it well to capitalize on the ongoing AI competition in the banking sector [20]. Group 6: Management and Cost Control - In response to the low interest rate environment, CMB is shifting towards more refined management practices, emphasizing cost control and operational efficiency [22][24]. - The bank has implemented strict cost management measures, resulting in a decrease in business and management expenses over the past two years [22]. - CMB maintains a strong focus on risk management, with a non-performing loan ratio of 0.93% and a provision coverage ratio of 410.93%, indicating robust risk management capabilities [24].

Core Viewpoint - The company reported a slight decline in revenue for the first half of 2025, but net profit showed a modest increase, indicating resilience in its financial performance despite challenging market conditions [1] Financial Performance - The company achieved a revenue of 169.97 billion yuan in 1H25, a year-on-year decrease of 1.7%, with the decline narrowing by 1.4 percentage points compared to 1Q25 [1] - The net profit attributable to shareholders was 74.93 billion yuan, reflecting a year-on-year increase of 0.3%, with growth accelerating by 2.3 percentage points from 1Q25 [1] - The net interest margin stood at 1.63%, down 12 basis points year-on-year, but the decline was less severe than the 17 basis points drop in 2024 [1] Income Sources - Net interest income grew by 1.6% year-on-year to 106.09 billion yuan, supported by volume despite a slight drag from net interest margin [2] - Non-interest income saw a reduced decline, with net commission and fee income at 37.6 billion yuan, down 1.9% year-on-year, an improvement from the 2.5% decline in 1Q25 [2] - Investment income increased by 12.3% year-on-year to 21.89 billion yuan, contributing to a narrowing of the decline in other non-interest income [2] Loan Growth and Quality - The loan balance reached 7.1166 trillion yuan at the end of 1H25, a year-on-year increase of 5.5%, slightly lower than the 5.8% growth at the end of 2024 [3] - Corporate loans grew by 11.5% to 3.0897 trillion yuan, with manufacturing loans increasing by 18.4%, while real estate loans continued to decline by 8.3% [3] - Retail loans increased by 3.9% to 3.6782 trillion yuan, with a slowdown attributed to external factors affecting consumer leverage [3] Cost of Liabilities and Asset Quality - The net interest margin was 1.88%, down 12 basis points year-on-year, but the decline was less than the previous year's [4] - The cost of interest-bearing liabilities decreased by 37 basis points to 1.35%, reflecting effective management of funding costs [4] - The non-performing loan ratio was 0.93% at the end of 1H25, stable compared to 1Q25, with corporate non-performing loans improving while retail non-performing loans showed slight increases [4] Investment Outlook - The company is expected to continue benefiting from its wealth management strategy, with strong growth in retail assets under management, suggesting potential for sustained performance improvement as the economy recovers [5]

Core Viewpoint - The introduction of the "825 New Policy" in Shanghai has led to multiple banks adjusting their commercial personal housing loan interest rate pricing mechanisms, eliminating the distinction between first and second homes, allowing banks to set rates based on market conditions and individual risk profiles [1][2]. Group 1: Policy Changes - Several banks in Shanghai have announced adjustments to their commercial personal housing loan interest rate pricing mechanisms, following the issuance of a notification by six departments in Shanghai [1]. - The new pricing mechanism allows banks to determine specific interest rates based on the Shanghai market interest rate pricing self-discipline mechanism, as well as their operational conditions and customer risk profiles [2]. Group 2: Implementation Details - Different banks have varying procedures for borrowers to apply for interest rate adjustments, including in-person applications, phone notifications, and mobile banking options [3]. - The effective dates for these adjustments vary, with some banks implementing changes as early as September 1, while others may start on September 5 [3]. Group 3: Interest Rate Adjustments - For existing second-home loans, if the current interest rate exceeds the average new loan interest rate by 30 basis points, borrowers can apply for a rate adjustment [2]. - The minimum interest rate for first-time home loans is currently 3.05%, while some banks are offering a minimum of 3.09% for new second-home loans [3]. Group 4: Recommendations - It is suggested that relevant departments enhance their communication regarding the new policies to clarify the specifics of loan interest rates and ensure effective implementation to stimulate housing demand [4].

Core Viewpoint - China Merchants Bank reported a slight decline in revenue but a small increase in net profit for the first half of 2025, indicating resilience in its core operations and a recovery in wealth management business [1][2][7] Financial Performance - The bank achieved a revenue of 169.97 billion yuan, a year-on-year decrease of 1.72%, while net profit reached 74.93 billion yuan, a slight increase of 0.25% [1][2] - Net interest income was 106.08 billion yuan, up 1.57% year-on-year, supported by stable growth in scale [2] - The net fee and commission income decreased by 1.89%, showing a narrowing decline compared to the first quarter [2] Wealth Management and Fee Income - Wealth management fee income showed a recovery, reaching 12.80 billion yuan, with an 11.9% year-on-year increase, driven by a rebound in capital markets [2] - The bank's credit card transaction volume declined, leading to a 16.37% drop in card fee income [2] Asset Quality and Risk Management - The non-performing loan (NPL) ratio stood at 0.93%, a decrease of 2 basis points from the beginning of the year, indicating stable asset quality [6] - The provision coverage ratio was 410.93%, reflecting strong risk mitigation capabilities [6] - The annualized NPL generation rate was 0.98%, showing a slight improvement [6] Loan and Deposit Growth - Total assets reached 12.66 trillion yuan, growing by 4.16% year-to-date, with loans and advances totaling 7.12 trillion yuan, up 3.31% [4] - Customer deposits increased to 9.42 trillion yuan, a growth of 3.58% from the start of the year [4] Strategic Developments - The bank is enhancing its retail wealth management capabilities, with total assets under management (AUM) surpassing 16 trillion yuan, reflecting a 7.39% increase [5] - The establishment of a financial asset investment company aims to strengthen equity investment and market-oriented debt-to-equity swap capabilities [5] Profitability Metrics - The net interest margin (NIM) was 1.88%, with a net interest spread of 1.79%, both showing a year-on-year decrease [3] - The average cost of customer deposits fell to 1.26%, a significant improvement of 34 basis points [3]

Investment Rating - The report maintains a "Recommend" rating for China Merchants Bank with a target price of 52.9 CNY [2][8]. Core Views - The bank's performance shows a positive turnaround in profit growth, with a slight increase in net profit by 0.25% year-on-year for H1 2025, despite a revenue decline of 1.72% [2][8]. - The bank's asset quality remains stable, with a non-performing loan (NPL) ratio of 0.93%, and a provision coverage ratio of 410.93% [2][8]. - The bank's wealth management business is recovering, with a significant increase in fee income from wealth management services, growing by 11.9% year-on-year [2][8]. Financial Performance Summary - For H1 2025, total revenue reached 1699.69 billion CNY, with net interest income of 1060.85 billion CNY, reflecting a year-on-year growth of 1.57% [2][8]. - The bank's net fee and commission income was 376.02 billion CNY, with a reduced decline from 2.51% in Q1 to 1.89% in H1 [2][8]. - The average cost of customer deposits decreased significantly by 34 basis points year-on-year to 1.26% [2][8]. Asset Quality and Risk Management - The overall risk indicators are strong, with a stable NPL generation rate of 0.98% annualized for H1 2025, showing a decrease of 0.04 percentage points year-on-year [2][8]. - The bank's corporate loan NPL ratio improved significantly, decreasing by 13 basis points to 0.93% [2][8]. - Retail loan quality remains manageable, with an NPL ratio of 1.03%, influenced by consumer loans [2][8]. Strategic Outlook - The bank is focusing on enhancing its retail wealth management capabilities, with total assets under management (AUM) exceeding 16 trillion CNY, marking a growth of 7.39% year-to-date [2][8]. - The establishment of a financial asset investment company is expected to broaden the bank's service offerings and revenue sources [2][8]. - Long-term fundamentals are solid, with a clear strategic execution plan aimed at deepening retail customer relationships and leveraging financial technology [2][8].