东莞农商银行（股票代码：09889.HK）于2025年3月28日发布2024年度业绩报告，尽管在业务规模上实 现了稳健增长，但盈利下滑与资产质量压力成为核心焦点。以下从财务表现、风险管控、业务亮点及未 来挑战等方面展开分析。 业绩概览：营收净利双降，规模逆势扩张2024年，东莞农商银行实现营业收入123.12亿元，同比下降 7.15%；净利润48.61亿元，同比减少9.08%，归母净利润亦下降10.40%至46.25亿元。税前利润降幅更为 明显，同比减少20.62%至41.04亿元，主要受市场利率下行及金融让利实体经济政策影响，导致利息净 收入减少13.22%。 业务规模持续增长资产总额达7459.04亿元，同比增长5.23%；存款余额5202.48亿元，贷款余额3810.45 亿元，分别增长6.81%和7.31%，显示其区域市场渗透力与支持实体经济的力度。 非息收入结构性调整非利息净收入增长16.73%至31.38亿元，主要依赖交易净收入大幅提升70.87%（达 18.48亿元）。然而，手续费及佣金收入同比减少2.56亿元，因理财产品及保险代销费率调整，反映市场 环境变化对中间业务的冲击。 资产质量：不良率 ...

Core Viewpoint - Dongguan Rural Commercial Bank reported its first annual decline in both revenue and net profit since its listing in Hong Kong in 2021, with revenue of 12.312 billion yuan and net profit of 4.861 billion yuan for 2024, marking a decrease of 7.15% and 9.08% respectively compared to the previous year [1][2][3] Financial Performance - The bank's total assets reached 745.904 billion yuan at the end of 2024, an increase of 37.051 billion yuan or 5.23% from the beginning of the year [1][4] - The total loan balance was 381.045 billion yuan, up 25.972 billion yuan or 7.31% year-on-year [1][4] - The non-performing loan ratio stood at 1.84%, with a provision coverage ratio of 207.72% [1][5] - The capital adequacy ratio and tier 1 capital adequacy ratio were 16.54% and 14.37% respectively [1][5] Revenue Breakdown - Interest income decreased to 9.174 billion yuan, down 1.398 billion yuan or 13.22% year-on-year, while non-interest income increased to 3.138 billion yuan, up 450 million yuan or 16.73% [3] - Non-interest income growth was primarily driven by bond and fund investments, with trading net income reaching 1.848 billion yuan, an increase of 766 million yuan or 70.87% [3] - Fee and commission income, however, declined to 457 million yuan, down 256 million yuan or 35.88% due to changes in market conditions [3] Business Segment Performance - The contribution of corporate banking to revenue decreased, with corporate banking revenue at 5.494 billion yuan, accounting for 44.62% of total revenue, down from 55.19% the previous year [5] - Retail banking revenue increased to 5.561 billion yuan, making it the largest revenue segment, while funding business revenue was 1.501 billion yuan [5] Strategic Focus - The bank aims to enhance its retail banking strategy, with personal deposits growing to 3.146 billion yuan, an increase of 8.09%, and personal loans reaching 1.282 billion yuan, up 3.91% [6] - The bank plans to implement a new five-year development strategy in 2025, focusing on improving management efficiency and enhancing services for small and micro enterprises [6]

Financial Performance - Dongguan Rural Commercial Bank reported a net profit of RMB 4.43 billion for the fiscal year ending December 31, 2024, with a proposed cash dividend of RMB 0.25 per share[10]. - Operating revenue for 2024 was RMB 12,311,928 thousand, a decrease of 7.15% compared to RMB 13,260,162 thousand in 2023[37]. - Pre-tax profit for 2024 was RMB 4,103,910 thousand, down 20.62% from RMB 5,169,736 thousand in 2023[37]. - Net profit for 2024 was RMB 4,860,559 thousand, reflecting a decline of 9.08% from RMB 5,345,816 thousand in 2023[37]. - The non-performing loan ratio stands at 1.84%, with a provision coverage ratio of 207.72%[29]. - The capital adequacy ratio and the tier 1 capital adequacy ratio are 16.54% and 14.37%, respectively[29]. - Basic earnings per share for 2024 was RMB 0.67, down 10.67% from RMB 0.75 in 2023[38]. - The cost-to-income ratio increased to 37.44% in 2024, compared to 35.30% in 2023, reflecting higher operational costs relative to income[40]. Asset and Loan Growth - The total assets of the group reached RMB 746.904 billion, with total deposits amounting to RMB 520.248 billion and total loans at RMB 381.045 billion[22]. - Customer loans and advances reached RMB 381,044,893 thousand, an increase of 7.31% from RMB 355,073,342 thousand in 2023[38]. - Total loans increased to RMB 381.05 billion, reflecting a growth of RMB 25.97 billion or 7.31% from the start of the year[50]. - The balance of personal loans (excluding business loans) was RMB 726.59 billion, an increase of RMB 27.08 billion, or 3.87% year-on-year[185]. - The total loan amount as of December 31, 2024, was RMB 381,044,893 thousand, with normal loans accounting for 96.11% of the total, a slight decrease from 96.55% in 2023[131][132]. Risk Management - The report includes a detailed description of the main risks faced by the bank and the measures taken to address them[10]. - The non-performing loan ratio rose to 1.84% in 2024, up from 1.23% in 2023, indicating a deterioration in asset quality[45]. - The coverage ratio for provisions decreased to 207.72% in 2024 from 308.30% in 2023, suggesting a reduction in the buffer against potential loan losses[45]. - The company continues to assess asset quality and manage risk classification in accordance with regulatory requirements[129]. Strategic Initiatives - The new five-year development strategy has been established, focusing on enhancing strategic execution and promoting digital transformation[24]. - The group aims to improve financial service quality and efficiency, emphasizing the importance of serving the real economy[25]. - The group plans to deepen institutional reforms and enhance innovation capabilities to boost operational management quality[25]. - The group is committed to aligning with national strategies, particularly in rural revitalization and regional coordinated development[22]. - The group will implement a "1+N" strategic planning system to ensure effective execution of its strategic initiatives[24]. Digital Transformation and Technology - The bank emphasizes digital transformation and has implemented a new generation core system to enhance operational efficiency[33]. - The company is actively advancing financial technology innovations, focusing on smart marketing, risk control, and operational efficiency[198]. - The company is enhancing its IT infrastructure, including the construction of a new data center and disaster recovery data center expansion[198]. - The company aims to strengthen technology systems to promote the integration of online and offline business operations[198]. Governance and Compliance - The bank's financial report was audited by KPMG, which issued a standard unqualified audit opinion[9]. - The bank's board meeting was attended by 14 out of 17 directors, ensuring compliance with relevant regulations[9]. - The bank's governance structure is designed to balance diverse shareholder interests, promoting a culture of cooperation and mutual growth[33]. Shareholder Value and Community Impact - The bank plans to allocate 10% of its net profit, amounting to RMB 4.43 billion, to statutory surplus reserves and general reserves[10]. - The group aims to create greater value for shareholders, customers, society, and employees while achieving symbiosis with the economy, society, and environment[25]. - The group is set to continue its efforts in promoting green finance, digital finance, and inclusive finance as part of its strategic initiatives[22].

Group 1 - The People's Bank of China (PBOC) Guangdong Branch issued administrative penalties against Guangdong ChaoYang Rural Commercial Bank for violations in various financial management regulations [1] - Guangdong ChaoYang Rural Commercial Bank was fined 992,000 yuan for violations related to anti-money laundering laws and regulations [2] - Chen*Xiong, the former Deputy Manager of Compliance and Risk Management at Guangdong ChaoYang Rural Commercial Bank, was fined 17,000 yuan for similar violations [3] Group 2 - Dongguan Rural Commercial Bank holds a 67.03% stake in Guangdong ChaoYang Rural Commercial Bank, which was established on December 27, 2020 [4]

Financial Performance - Operating revenue for the six months ended June 30, 2024, was RMB 6,398,182 thousand, a decrease of 11.93% compared to RMB 7,265,200 thousand in the same period of 2023[16]. - Net profit attributable to shareholders for the same period was RMB 3,169,894 thousand, down 11.53% from RMB 3,582,891 thousand year-on-year[16]. - The total operating income for the first half of 2024 was RMB 6.398 billion, a decrease from RMB 7.265 billion in the same period of 2023, representing a decline of 11.93%[113]. - Net profit for the period was RMB 3.38 billion, down RMB 297 million or 8.07% compared to the same period last year[27]. - The group reported a pre-provision profit of RMB 4.36 billion, a decrease of RMB 782 million or 15.21% year-on-year[26]. Asset and Loan Management - As of June 30, 2024, the total assets of Dongguan Rural Commercial Bank reached RMB 737.92 billion, with total deposits of RMB 507.71 billion and total loans of RMB 379.92 billion[10]. - The non-performing loan ratio stood at 1.59%, an increase of 0.36 percentage points compared to the end of the previous year, while the provision coverage ratio decreased by 84.29 percentage points to 224.01%[10]. - The total amount of loans is RMB 379,922,754, with a total NPL amount of RMB 5,967,075[91]. - The total amount of loans classified as normal reached RMB 363.87 billion, accounting for 95.76% of total loans, an increase of RMB 21.04 billion from the end of last year[87]. - The company's non-performing loan balance increased to RMB 5.97 billion, up RMB 1.67 billion from the end of last year, resulting in a non-performing loan ratio of 1.59%[86]. Capital and Equity - The capital adequacy ratio and the Tier 1 capital adequacy ratio were reported at 16.02% and 13.86%, respectively[10]. - As of June 30, 2024, the total equity of the group was RMB 59.91 billion, an increase of RMB 2.42 billion, representing a growth of 4.21% mainly due to the increase in retained earnings[80]. - The company’s retained earnings amounted to RMB 256.49 billion, representing 42.81% of total equity as of June 30, 2024[81]. - The total amount of financial investments was RMB 304.56 billion, accounting for 41.27% of total assets[66]. - The total financial investments of the group amounted to RMB 304.56 billion, an increase of RMB 3.34 billion, representing a growth of 1.11% compared to the end of the previous year[70]. Risk Management - The bank's management discussed the main risks faced during operations and the measures taken to address them in the report[4]. - The bank is actively enhancing risk management measures to address the rising credit risk levels due to a complex external environment[86]. - The bank has established a comprehensive risk management framework, ensuring a balance between risk, capital, and returns[135]. - The bank's liquidity risk management measures include annual liquidity risk preference indicators and limits, as well as regular stress testing to assess resilience against liquidity crises[137]. - The bank has established a unified credit management system for guarantee commitment businesses, including acceptance bills, letters of credit, and guarantees[146]. Governance and Compliance - The bank's corporate governance is overseen by a board of directors and a supervisory board[9]. - The bank's governance structure complies with the requirements of the Company Law of the People's Republic of China and the Hong Kong Stock Exchange[189]. - The internal audit department has focused on risk supervision, applying digital technology to audit key areas such as credit business and risk management[159]. - The bank has established a comprehensive compliance risk management system, with no significant compliance risk events occurring during the reporting period[150]. - The company is subject to regulations under the Securities and Futures Ordinance regarding shareholder control and influence[175]. Shareholder Information - As of June 30, 2024, the total number of shares is approximately 6.889 billion, with domestic shares accounting for 5.740 billion (83.33%) and H-shares 1.148 billion (16.67%)[165]. - The top ten shareholders hold a combined 29.15% of the bank's shares, with the largest domestic shareholder owning 4.05%[169]. - The bank's internal staff shareholders number 3,022, holding 483 million shares, which is 7.01% of the total shares[172]. - The company has a significant concentration of ownership, with the top five shareholders controlling over 50% of the equity[173]. - The company is actively monitoring its major shareholders and their influence on management decisions[175]. Digital Transformation and Innovation - The bank is committed to digital transformation, implementing a new core system and enhancing financial technology capabilities to improve operational efficiency[12]. - The bank is focusing on digital operations to optimize customer online journey experiences and improve service levels through AI applications[129]. - The bank is advancing financial technology innovations, particularly in smart marketing and risk control, to support business development[131]. - The bank has invested a total of RMB 319 million in financial technology during the reporting period, with 380 technology personnel employed[131]. - The bank aims to accelerate digital transformation and optimize processes to ensure stable and sustainable development[163]. Customer Service and Market Position - The bank's customer service hotline is available at (86) 769-961122[9]. - The bank aims to enhance rural economic development and improve the income disparity between urban and rural residents by 2025[7]. - The bank's operational data and financial indicators are summarized in the report, reflecting overall business performance[3]. - The bank has established 497 operating institutions, including 39 primary branches and 199 secondary branches, providing diversified financial services[10]. - The number of retail customers reached 20,112,200, indicating a significant expansion in customer base[122].

Financial Performance - The company's net profit for the first half of 2024 reached RMB 18.25 billion, with a dividend distribution of RMB 0.265 per share[3] - The company did not conduct any profit distribution or capital reserve conversion during the mid-term of 2024[3] - The company's financial report for the first half of 2024 was prepared in accordance with International Financial Reporting Standards (IFRS) and reviewed by KPMG[3] - The company's total assets as of June 30, 2024, were not disclosed in the provided content, but the financial data includes consolidated figures from subsidiaries[3] - Total assets of the group reached RMB 737.92 billion as of June 30, 2024[10] - Total deposits amounted to RMB 507.71 billion[10] - Total loans reached RMB 379.92 billion[10] - Non-performing loan ratio increased to 1.59%, up by 0.36 percentage points from the end of the previous year[10] - Provision coverage ratio decreased to 224.01%, down by 84.29 percentage points from the end of the previous year[10] - Capital adequacy ratio and tier-1 capital adequacy ratio stood at 16.02% and 13.86% respectively[10] - The bank's operating income for the first half of 2024 was RMB 6,398.182 million, a decrease of 11.93% compared to the same period in 2023[16] - Net profit attributable to shareholders for the first half of 2024 was RMB 3,169.894 million, a decrease of 11.53% compared to the same period in 2023[16] - Total assets increased by 4.10% to RMB 737.92 billion as of June 30, 2024, compared to RMB 708.85 billion at the end of 2023[17] - Customer loans and advances (excluding accrued interest) grew by 7.00% to RMB 379.92 billion as of June 30, 2024, compared to RMB 355.07 billion at the end of 2023[17] - Customer deposits (excluding accrued interest) increased by 4.23% to RMB 507.71 billion as of June 30, 2024, compared to RMB 487.09 billion at the end of 2023[17] - Net profit decreased by 8.07% to RMB 3.38 billion in the first half of 2024, compared to RMB 3.68 billion in the same period of 2023[26] - Non-performing loan ratio increased to 1.59% as of June 30, 2024, compared to 1.23% at the end of 2023[22] - Provision coverage ratio decreased to 224.01% as of June 30, 2024, compared to 308.30% at the end of 2023[22] - Capital adequacy ratio improved to 16.02% as of June 30, 2024, compared to 15.85% at the end of 2023[20] - Core tier 1 capital adequacy ratio increased to 13.83% as of June 30, 2024, compared to 13.62% at the end of 2023[20] - Net interest margin (annualized) decreased to 1.40% in the first half of 2024, compared to 1.73% in the same period of 2023[18] - Cost-to-income ratio increased to 31.40% in the first half of 2024, compared to 28.86% in the same period of 2023[18] - Revenue for the reporting period was RMB 63.98 billion, a decrease of 11.93% year-on-year[27] - Net profit was RMB 3.38 billion, a decrease of 8.07% year-on-year, primarily due to market interest rate declines and policy-driven financial support for the real economy[27] - Net interest income was RMB 4.70 billion, a decrease of 12.26% year-on-year, influenced by LPR rate cuts and support policies for the real economy[29][30] - Net interest margin decreased to 1.34%, down 0.34 percentage points year-on-year, while net interest yield fell to 1.40%, down 0.33 percentage points[31] - Average yield on interest-earning assets was 3.32%, down 0.39 percentage points year-on-year, driven by lower loan interest rates and bond investment yields[31] - Average cost rate of interest-bearing liabilities was 1.98%, down 0.05 percentage points year-on-year, due to effective deposit cost control measures and utilization of central monetary support tools[31] - Customer loans and advances generated interest income of RMB 7.41 billion, with an average yield of 4.02%, down from 4.63% in the same period last year[33] - Customer deposits contributed interest expense of RMB 4.50 billion, with an average cost rate of 1.84%, down from 1.93% year-on-year[33] - Total interest-earning assets averaged RMB 672.05 billion, with interest income of RMB 11.16 billion, down 2.94% year-on-year[33] - Total interest-bearing liabilities averaged RMB 653.78 billion, with interest expense of RMB 6.46 billion, up 5.20% year-on-year[33] - Interest income decreased by RMB 3.38 billion (2.94%) year-on-year to RMB 11.16 billion, primarily due to a decline in loan yields[35][36] - Customer loans and advances interest income decreased by RMB 617 million (7.69%) to RMB 7.41 billion, with the average yield dropping from 4.63% to 4.02%[36][38] - Financial investments interest income increased by RMB 182 million (6.02%) to RMB 3.21 billion, driven by a RMB 25.81 billion increase in average balance[39] - Interest income from reverse repurchase agreements, placements, and loans to other financial institutions rose by RMB 106 million (47.42%) to RMB 329 million, due to increased investment and higher market interest rates[40][41] - Interest expenses increased by RMB 319 million (5.20%) to RMB 6.46 billion, with customer deposits accounting for 69.71% of total interest expenses[42][43] - The average cost rate for customer deposits decreased from 1.93% to 1.84%, contributing to a RMB 34 million increase in interest expenses[43] - Issued bonds interest expenses increased by RMB 22 million, with the average cost rate rising from 2.50% to 2.58%[43] - Interest expenses from central bank borrowings, reverse repurchase agreements, and other financial institutions increased by RMB 151 million, with the average cost rate dropping from 2.50% to 2.39%[43] - Customer deposit interest expense increased by RMB 0.34 billion, a 0.77% year-on-year growth, driven by deposit scale expansion[46] - Total customer deposit interest expense reached RMB 4.504 billion, with an average cost rate of 1.84% in 2024, compared to 1.93% in 2023[45] - Issued bond interest expense rose to RMB 0.93 billion, up by RMB 0.22 billion year-on-year, with a cost rate increase of 0.08 percentage points[47] - Central bank borrowing interest expense surged by 48.98% to RMB 0.46 billion, due to increased re-lending and MLF scale[48] - Non-interest net income decreased by 11.02% to RMB 1.695 billion, primarily due to a 37.25% drop in fee and commission net income[50][51] - Trading net income increased by 36.07% to RMB 0.849 billion, driven by market interest rate declines and financial asset fair value changes[54] - Financial instrument net income fell by 31.12% to RMB 0.510 billion, mainly due to decreased investment income from asset management plans[55] - Operating expenses decreased by 4.55% to RMB 2.058 billion, with employee costs dropping by 6.88%[56][57] - Employee costs accounted for 70.80% of total operating expenses in 2024, down from 72.57% in 2023[58] - Employee expenses decreased by RMB 1.08 billion, a 6.88% decline compared to the same period last year[59] - Depreciation and amortization remained stable at RMB 208 million, a slight decrease of RMB 9 million[60] - Expected credit loss for customer loans and advances was RMB 899.36 million, down 18.13% year-on-year[60] - Financial investment credit loss reversed by RMB 26.18 million, a significant decrease of RMB 57.73 million compared to last year[62] - Income tax expenses decreased by RMB 244.43 million, a 75.64% drop, with an effective tax rate of 2.28%[63][64] - Total assets increased by RMB 29.07 billion, reaching RMB 737.92 billion, a 4.10% growth driven by loan and financial investment expansion[65] - Net customer loans and advances grew by RMB 24.73 billion, a 7.22% increase, totaling RMB 367.24 billion[67] - Buyback financial assets and placements with banks and other financial institutions increased by 2.78% to RMB 18.06 billion[69] - The proportion of customer loans and advances to total assets rose to 49.77%, up from 48.32% at the end of 2023[66] - Financial investments accounted for 41.27% of total assets, slightly down from 42.49% at the end of 2023[66] - The company's total financial investments amounted to RMB 304.561 billion, an increase of RMB 3.343 billion (1.11%) compared to the end of the previous year[71] - Bonds issued by central and local governments accounted for 79.24% of the total bond holdings, amounting to RMB 216.674 billion[73] - The company's total liabilities reached RMB 678.011 billion, an increase of RMB 26.646 billion (4.09%) from the previous year, primarily driven by growth in customer deposits[75] - Customer deposits totaled RMB 516.393 billion, with personal deposits accounting for 60.46% and corporate deposits accounting for 38.01%[77][78] - The company's shareholder equity increased by RMB 2.421 billion (4.21%) to RMB 59.909 billion, mainly due to growth in retained earnings[81] - The company's largest bond holdings include "21 附息國債 02" with a face value of RMB 9.280 billion and "21 附息國債 09" with a face value of RMB 6.400 billion[74] - The company's liabilities from selling repurchase financial assets and interbank placements decreased by RMB 4.425 billion (11.23%) to RMB 34.978 billion, mainly due to increased borrowing from the central bank[79][80] - Total shareholder equity reached RMB 59.91 billion, with a 4.21% increase compared to the end of 2023[82] - Unrestricted assets used as collateral for repurchase agreements and central bank borrowing amounted to RMB 59.32 billion[84] - Operating cash flow showed a net outflow of RMB 11.76 billion, a 7% decrease in outflow compared to the same period last year[85][86] - Investment cash flow turned to a net inflow of RMB 3.60 billion, a significant improvement from a net outflow of RMB 5.24 billion in the previous year[85][86] - Non-performing loans (NPL) increased to RMB 5.97 billion, with the NPL ratio rising to 1.59% from 1.23% at the end of 2023[87][88] - Normal loans increased by RMB 21.04 billion, accounting for 95.76% of total loans, up from 96.55% at the end of 2023[88][89] - The migration rate for normal loans was 3.15%, while the migration rate for substandard loans surged to 169.08%[89] - Corporate fixed-asset loans saw an increase in NPL by RMB 782 million, and corporate working capital loans increased by RMB 456 million[89] - Personal consumer loans experienced an increase in NPL by RMB 207 million[89] - The company's retained earnings stood at RMB 256.49 billion, reflecting a 5.48% increase compared to the end of 2023[82][83] - Total loans amounted to RMB 379.92 billion, with a non-performing loan (NPL) ratio of 1.59%, up from 1.23% at the end of 2023[90] - Corporate loans (excluding bill discounts) had an NPL ratio of 1.71%, an increase of 0.48 percentage points from the previous year[91] - Personal loans had an NPL ratio of 1.83%, up by 0.30 percentage points compared to the end of 2023[91] - Manufacturing sector NPLs reached RMB 1.21 billion, with an NPL ratio of 2.01%, an increase of RMB 0.32 billion from the previous year[93] - Wholesale and retail sector NPLs stood at RMB 1.18 billion, with an NPL ratio of 3.37%, an increase of RMB 1.14 billion from the previous year[93] - The hotel and catering industry had the highest NPL ratio at 22.83%, with NPLs amounting to RMB 736.6 million[92] - Real estate sector NPLs were minimal at RMB 52,000, with an NPL ratio of 0.00%[92] - Bill discounting loans totaled RMB 34.76 billion, accounting for 9.15% of total loans[90] - The construction sector had an NPL ratio of 0.07%, with NPLs amounting to RMB 15.79 million[92] - The transportation, storage, and postal sector had an NPL ratio of 0.24%, with NPLs of RMB 14.95 million[92] - Total loans amounted to RMB 379.92 billion, with non-performing loans (NPL) ratio at 1.59%, up from 1.23% at the end of 2023[94] - Mortgage loans accounted for 48.72% of total loans, with an NPL ratio of 2.10%, up from 1.59% at the end of 2023[94] - Loans in the Dongguan region accounted for 81.30% of total loans, maintaining a dominant position in the company's loan distribution[95] - The top ten single borrowers' loans totaled RMB 14.85 billion, accounting for 3.91% of total loans and 22.36% of the company's net capital[97] - Overdue loans increased to RMB 12.37 billion, representing 3.26% of total loans, up from 1.78% at the end of 2023[99] - Loans overdue within 3 months increased to RMB 8.01 billion, up from RMB 2.55 billion at the end of 2023[100] - Restructured loans increased to RMB 70 million, accounting for 0.02% of total loans, up from 0.01% at the end of 2023[102] - The single largest borrower's loan accounted for 4.42% of the company's net capital, below the regulatory limit of 10%[98] - The company's loan distribution remains concentrated in the Dongguan region, with RMB 308.87 billion in loans, representing 81.30% of total loans[95] - The company's loan portfolio is diversified across industries, with the largest exposure to the leasing and business services sector, accounting for 0.77% of total loans[97] - The company's non-performing loan balance increased to RMB 5.967 billion, up by RMB 1.667 billion from the previous year-end, with a non-performing loan ratio of 1.59%, an increase of 0.36%[104] - The company resolved RMB 1.754 billion in non-performing loans during the first half of 2024, including cash recovery of RMB 361 million, debt restructuring of RMB 2 million, write-offs of RMB 1.311 billion, and quality upgrades of RMB 81 million[104] - The company's capital adequacy ratio, Tier 1 capital adequacy ratio, and core Tier 1 capital adequacy ratio were 16.02%, 13.86%, and 13.83% respectively, all meeting regulatory requirements[107] - The company's core Tier 1 capital increased to RMB 57.932 billion, up from RMB 55.706 billion at the end of 2023[109] - The company's total risk-weighted assets amounted to RMB 414.542 billion, with credit risk-weighted assets accounting for RMB 378.967 billion[109] - The company's leverage ratio decreased slightly to 7.55% from 7.64% at the end of 2023[112] - The company's corporate banking business contributed 47.25% of total operating income, amounting to RMB 3.023 billion[114] - The company's retail banking business accounted for 35.96% of total operating income, with RMB 2.300 billion in revenue[114] - The company's off-balance sheet items included credit letters, guarantees, and unused credit card limits, with balances of RMB 3.93 billion, RMB 34.97 billion, and RMB 83.13 billion respectively[115] - Total financial guarantees and credit commitments decreased by 14.09% to RMB 20,536,407 thousand as of June 30, 2024, compared to RMB 23,904,678 thousand at the end of 2023[116] - Personal deposits increased by 5.51% to RMB 306.951 billion, and personal loans grew by 2.92% to RMB 126.999 billion as of the reporting period[121] - Corporate deposits rose by 3.34% to RMB 192.980 billion, and corporate loans (including bill discounts) increased by 9.17% to RMB 252.924 billion[124] - Manufacturing and related industry loans grew by 12.07% to RMB 68.033 billion, supporting the local economy[126] - International business settlement volume reached USD 3.910 billion, and client foreign exchange settlement amounted to USD 2.190 billion during the reporting period[127] - Small and micro enterprise

Financial Performance - The net profit for 2023 is projected to be RMB 5.06 billion, with a proposed cash dividend of RMB 0.265 per share[3]. - The company plans to allocate 10% of the net profit, amounting to RMB 5.06 billion, to statutory surplus reserves[3]. - The group achieved operating income of RMB 13.26 billion and net profit of RMB 5.35 billion, with a capital adequacy ratio of 15.85% and a non-performing loan ratio of 1.23%[9]. - The company's operating income for 2023 reached RMB 13,260,162 thousand, a slight increase of 0.18% compared to RMB 13,235,957 thousand in 2022[19]. - Pre-tax profit decreased by 17.73% to RMB 5,169,736 thousand from RMB 6,284,062 thousand in the previous year[19]. - Net profit for 2023 was RMB 5,345,816 thousand, down 12.11% from RMB 6,082,525 thousand in 2022[19]. - Total assets increased by 7.78% to RMB 708,853,592 thousand from RMB 657,689,972 thousand in 2022[21]. - The total liabilities increased by 7.87% to RMB 651,365,055 thousand compared to RMB 603,870,043 thousand in 2022[21]. - The equity attributable to shareholders rose by 6.89% to RMB 54,649,387 thousand from RMB 51,127,714 thousand in the previous year[21]. Risk Management - The board of directors confirmed that there are no significant risks affecting the company's future development strategy and operational goals[3]. - The report includes a detailed description of the main risks faced by the company and the measures taken to address them[3]. - The bank emphasizes risk management and has implemented a digital risk management system to mitigate various risks effectively[15]. - The bank has established a comprehensive risk management framework, ensuring risk, capital, and return are balanced[140]. - The bank has implemented a credit risk warning system that enhances risk monitoring and management throughout the lending process[142]. - The bank's non-performing loan ratio is controlled within the management target, indicating overall credit risk is manageable as of the end of 2023[142]. Digital Transformation - The bank plans to enhance its digital transformation and data governance as a key strategic initiative for the upcoming year[10]. - The bank has accelerated its digital transformation with a focus on "solidifying foundations and seizing opportunities," and has been selected as a pilot institution for digital transformation and data governance in the province[134]. - The bank's digital transformation focuses on implementing a new generation core system to enhance financial technology innovation and improve risk control capabilities[170]. - The bank has completed 29 data empowerment projects and developed 84 self-researched data analysis models during the reporting period[135]. Customer Service and Community Support - The company aims to enhance customer service and internal operational efficiency in 2024, focusing on innovation and talent as key resources[167]. - The bank has established business cooperation with 556 primary villages and 2,195 village groups, achieving a coverage rate of 98.96% for village clients[172]. - The company actively supported rural revitalization, donating to 20 villages and communities for infrastructure projects, including road upgrades and community kindergarten construction[177]. - The company has established the Dongguan Rural Commercial Bank Education Public Welfare Foundation to enhance public school teaching environments since 2019[177]. Loan and Deposit Growth - Total deposits amounted to RMB 487.10 billion, while total loans reached RMB 355.07 billion, maintaining a leading position in the local industry[9]. - The total amount of customer loans and advances reached RMB 355,073,342 thousand, reflecting a growth of 6.95% from RMB 331,997,701 thousand in the previous year[21]. - Customer deposits reached RMB 495.74 billion, an increase of RMB 30.06 billion or 6.44% compared to RMB 465.69 billion in the previous year[80]. - The total amount of outstanding loans for small and micro enterprises reached RMB 163.657 billion, with a net increase of RMB 7.501 billion, representing a growth rate of 22.75%[121]. Environmental and Social Responsibility - The company intends to increase green loan support, particularly for energy-saving and environmental protection projects, contributing to sustainable development[168]. - The bank has established an ESG management framework to ensure long-term sustainable development[181]. - The bank has implemented strict environmental and social risk management processes to prevent greenwashing and ensure compliance with environmental standards[179]. - The bank actively supports green industries by implementing preferential policies and rapid approvals for green environmental enterprises[178]. Governance and Compliance - The governance structure includes diverse stakeholders, ensuring a balanced and coordinated approach to management[16]. - The internal audit system is independent and vertical, with the board responsible for its effectiveness, enhancing governance and risk management[164]. - The bank has enhanced its compliance risk management framework, ensuring no major compliance risk incidents occurred during the reporting period[156]. Future Outlook - The company plans to promote urban-rural coordinated development by enhancing consumer loan services and supporting housing projects for local residents[168]. - The company is committed to fulfilling its social responsibility by actively engaging in financial poverty alleviation and supporting rural revitalization initiatives[196]. - The company plans to implement a "high-quality development project" in rural areas as a key focus for the upcoming period[198].

Financial Performance - Dongguan Rural Commercial Bank reported a net profit of RMB 5.06 billion for the year 2023, with a proposed cash dividend of RMB 0.265 per share[3]. - The bank plans to allocate 10% of its net profit, amounting to RMB 5.06 billion, to statutory surplus reserves and general reserves[3]. - The group achieved operating income of RMB 13.26 billion and net profit of RMB 5.35 billion, with a capital adequacy ratio of 15.85%[9]. - Operating revenue for 2023 reached RMB 13,260,162 thousand, a slight increase of 0.18% compared to RMB 13,235,957 thousand in 2022[19]. - Net profit attributable to shareholders decreased by 12.99% to RMB 5,161,283 thousand compared to RMB 5,931,681 thousand in 2022[19]. - The pre-tax profit for the reporting period was RMB 5.17 billion, while the net profit was RMB 5.35 billion, reflecting a decrease of 12.11% year-on-year[30]. Asset and Liability Management - Total assets of the group exceeded RMB 700 billion, reaching RMB 708.85 billion[9]. - Total deposits amounted to RMB 487.10 billion, while total loans reached RMB 355.07 billion, maintaining a leading position in the local industry[9]. - The capital adequacy ratio was reported at 15.85%, while the Tier 1 capital adequacy ratio was 13.65%[13]. - Total liabilities amounted to RMB 651.37 billion, an increase of RMB 47.50 billion, or 7.87%, primarily driven by growth in customer deposits and borrowings from the central bank[78]. - Customer deposits totaled RMB 495.74 billion, with a year-on-year increase of RMB 30.55 billion, or 6.56%[80]. Risk Management - The bank's governance structure includes a board of directors and supervisory board, ensuring compliance with corporate governance standards[5]. - The bank has established a solid risk management framework, emphasizing a balance between growth and risk prevention[15]. - The company has implemented a risk-driven management model to optimize risk management mechanisms and strengthen high-risk credit management[168]. - The bank has established a comprehensive risk management framework, with clear responsibilities assigned to the board, supervisory committee, and executive management[140]. - The bank's overall credit risk is manageable, with the non-performing loan ratio maintained within control targets[142]. Digital Transformation and Innovation - The bank plans to enhance digital transformation and data governance, with a focus on upgrading core systems as a key initiative[9]. - The bank's financial technology investment totaled RMB 525.8 million during the reporting period, with 327 technology personnel employed[136]. - The bank aims to enhance its digital infrastructure and data governance to improve data quality and management capabilities[134]. - The bank is focusing on expanding its digital financial services and integrating online and offline business operations[136]. - The bank has launched 29 data empowerment projects and developed 84 self-researched data analysis models during the reporting period[135]. Customer Service and Community Engagement - The bank emphasizes a customer-centric and market-oriented operational philosophy to enhance operational efficiency and customer service capabilities[9]. - The bank conducted 222 consumer education activities in 2023, reaching 442,000 consumers and disseminating online information to nearly 625,000 consumers[175]. - The bank received 1,316 customer complaints in 2023, achieving a 100% resolution rate[175]. - The bank has established business cooperation with 556 primary village communities and 2,195 village groups, achieving a coverage rate of 98.96% for village community clients[171]. - The bank's initiatives in digital empowerment are aimed at creating a new benchmark for rural development, aligning with the national rural revitalization strategy[192]. Strategic Outlook and Future Plans - The bank's future outlook remains optimistic, with expectations for continued growth and stability in its operations[3]. - In 2024, the bank aims to continue supporting the real economy and rural revitalization, aligning with Guangdong Province's "1310" deployment[10]. - The bank aims to enhance customer service and internal operational efficiency in 2024, focusing on innovation and talent as key resources for development[166]. - The bank's strategic plan for 2021-2023 is being closely monitored to ensure alignment with internal and external environments, facilitating effective execution of development strategies[160]. - The bank is committed to enhancing financial services for specialized and innovative enterprises, increasing green loan support for energy-saving and environmental protection projects[167]. Environmental and Social Responsibility - The bank has implemented strict environmental and social risk management, ensuring compliance with environmental standards and limiting credit to non-compliant enterprises[178]. - The bank's green credit balance reached RMB 13.047 billion by the end of the reporting period, an increase of RMB 3.124 billion, or 31.48% from the beginning of the year[177]. - The bank actively participated in poverty alleviation and rural revitalization, providing donations to 20 villages and communities for infrastructure projects[176]. - The bank's ESG management framework was established to integrate social responsibility management with its development strategy and corporate culture[180]. - The bank's efforts in promoting inclusive financial services are part of its commitment to support the rural economy and enhance the quality of life for villagers[195].

Financial Performance - The bank reported a dividend distribution of RMB 1.99 billion for the year ending December 31, 2022, at RMB 2.90 per 10 shares (tax included) [3]. - The company reported a net profit of RMB 500 million for the first half of 2023, representing a year-on-year increase of 15% [7]. - Operating income for the first half of 2023 reached RMB 7,265,200 thousand, a slight increase of 0.73% compared to RMB 7,212,689 thousand in the same period of 2022 [19]. - Net profit attributable to shareholders was RMB 3,582,891 thousand, reflecting a growth of 1.20% from RMB 3,540,384 thousand year-on-year [19]. - The net profit for the first half of 2023 was RMB 3.68 billion, an increase of RMB 0.33 billion or 0.91% year-on-year [28]. - The bank's total assets reached RMB 100 billion, an increase of 10% compared to the previous year [8]. - Total assets as of June 30, 2023, amounted to RMB 686,211,937 thousand, representing a 4.34% increase from RMB 657,689,972 thousand at the end of 2022 [19]. - The bank's total liabilities reached RMB 630,630,349 thousand, up 4.43% from RMB 603,870,043 thousand at the end of 2022 [19]. - The total equity of the group was RMB 55.58 billion, an increase of RMB 1.76 billion or 3.27% from RMB 53.82 billion at the end of 2022 [85]. Risk Management - The bank has not identified any significant risks that could adversely affect its future development strategy and operational goals during the reporting period [3]. - The bank's management emphasizes a comprehensive risk management system based on compliance and risk control [5]. - The company has established a comprehensive risk management system to effectively prevent and mitigate various risks [15]. - The bank has implemented standardized credit risk management policies and procedures, continuously improving its credit risk management system [145]. - The bank's liquidity risk management strategies include maintaining a balance between profitability and liquidity, ensuring operational safety [146]. - The bank has established a comprehensive large exposure risk management framework, ensuring compliance with regulatory requirements for large credit exposures [160]. - The bank's liquidity risk management indicators consistently met regulatory standards throughout the reporting period [147]. Strategic Initiatives - The bank's strategic plan includes the "1+12348" development framework aimed at high-quality growth through digitalization and group integration [5]. - The bank's "133" project focuses on promoting high-quality agriculture, livable rural areas, and farmer prosperity as part of its rural revitalization strategy [5]. - Future strategies focus on high-quality development, emphasizing customer-centricity, market orientation, and profitability, with a push towards digital transformation and group operations [11]. - The bank is actively supporting the "Hundred Counties, Thousand Towns, and Ten Thousand Villages" high-quality development project, aiming to enhance financial services for the real economy [169]. - The bank is committed to product service innovation, focusing on customer needs and enhancing the online and standardized improvement of personal and small micro-loan products [171]. Digital Transformation - The company focuses on digital transformation, aiming to create a smart digital bank through technology-driven value creation [15]. - The bank has implemented 66 digital transformation pilot projects in 2023 to enhance data management and business capabilities [128]. - The bank's technology investment totaled RMB 158.52 million during the reporting period, with a workforce of 695 technology personnel [140]. - The bank's digital transformation strategy includes 53 pilot projects, enhancing data governance and operational capabilities [140]. Customer Base and Services - User base expanded to 1.2 million active customers, reflecting a growth of 20% year-on-year [8]. - Retail customer base reached 20.19 million, an increase of 205,200 customers or 1.03% from the beginning of the year [130]. - The bank's personal deposit balance was RMB 288.342 billion, representing a year-on-year growth of 6.77% [129]. - The bank's small and micro enterprise loans (under RMB 10 million) totaled RMB 37.737 billion, growing by 14.45% since the beginning of the year [126]. Loan and Deposit Growth - Customer loans and advances (excluding accrued interest) totaled RMB 355,061,579 thousand, an increase of 6.95% from RMB 331,997,701 thousand at the end of 2022 [19]. - The loan-to-deposit ratio was 73.13%, an increase of 0.76 percentage points from the end of the previous year [26]. - The group's total loans amounted to RMB 355.06 billion, an increase of RMB 23.06 billion or 6.95% from the end of the previous year [27]. - Customer deposits reached RMB 493.67 billion as of June 30, 2023, an increase of RMB 28.00 billion or 6.00% from RMB 465.69 billion at the end of 2022 [80]. Non-Performing Loans - The non-performing loan ratio improved to 1.5%, down from 1.8% in the previous period [7]. - The non-performing loan ratio stood at 0.86%, a decrease of 0.04 percentage points compared to the end of the previous year, while the provision coverage ratio increased by 24.51 percentage points to 398.34% [10]. - The total amount of normal loans was RMB 346.169 billion, accounting for 97.50% of total loans, an increase of RMB 2.154 billion compared to the end of the previous year [93]. - The non-performing loan ratio for inclusive small and micro enterprise loans was 1.34%, well below the group's overall non-performing loan ratio [136]. Governance and Compliance - The company has established a governance mechanism that includes a core leadership committee, a shareholders' meeting, a board of directors, a supervisory board, and an executive management team to enhance governance and risk control [182]. - The bank has implemented a compliance culture enhancement program to improve employee awareness of compliance responsibilities [158]. - The bank has established a clear governance structure with defined responsibilities and a multi-level internal control system to ensure compliance and orderly operations [165]. Community and Environmental Initiatives - The bank's community support initiatives included donations of RMB 2 million to improve living conditions in 16 villages and communities [178]. - The bank's green credit balance reached RMB 11.064 billion, an increase of RMB 1.141 billion, representing a growth rate of 11.50% [179]. - The bank has invested RMB 9.319 billion in green bonds, supporting various environmental projects [179]. - The bank's consumer rights protection center conducted 727 consumer protection reviews, providing 69 risk mitigation suggestions with a 100% adoption rate [176].

Financial Performance - Dongguan Rural Commercial Bank reported an interim unaudited consolidated performance for the six months ended June 30, 2023[1]. - The company reported a net profit of RMB 1.2 billion for the first half of 2023, representing a year-on-year increase of 15%[5]. - Operating income for the first half of 2023 reached RMB 7,265,200 thousand, a 0.73% increase compared to RMB 7,212,689 thousand in the same period of 2022[19]. - Pre-tax profit for the first half of 2023 was RMB 3,998,415 thousand, reflecting a 1.03% increase from RMB 3,957,731 thousand in the previous year[19]. - Net profit attributable to shareholders for the first half of 2023 was RMB 3,582,891 thousand, up by 1.20% from RMB 3,540,384 thousand in the same period of 2022[19]. - The group achieved a net profit of RMB 3.68 billion for the first half of 2023, an increase of RMB 0.33 billion or 0.91% year-on-year[28][29]. Assets and Liabilities - Total assets reached RMB 150 billion, up 10% compared to the same period last year[6]. - As of June 30, 2023, the total assets of Dongguan Rural Commercial Bank reached RMB 686.212 billion, with total deposits of RMB 485.890 billion and total loans of RMB 355.062 billion[10]. - Total liabilities as of June 30, 2023, were RMB 630,630,349 thousand, which is a 4.43% increase from RMB 603,870,043 thousand at the end of 2022[19]. - Total equity attributable to shareholders increased to RMB 52,830,635 thousand, up by 3.33% from RMB 51,127,714 thousand at the end of 2022[19]. Risk Management - The report includes a detailed description of the main risks faced by the bank and the measures taken to address them[3]. - The bank's strategic focus includes enhancing rural revitalization financial services and expanding its market presence through innovative financial products[9]. - The bank has implemented a "133" project for rural revitalization financial services, enhancing its competitive edge in the market[14]. - The bank's governance structure is designed to ensure a balanced shareholder representation, including state-owned, private, foreign, and individual investors[16]. - The bank has established a comprehensive risk management framework, ensuring full coverage and control of various business risks[144]. Digital Transformation and Technology - The company is focusing on digital transformation, with a budget allocation of RMB 200 million for technology upgrades[5]. - The bank's technology investment amounted to RMB 158.5152 million during the reporting period, with a total of 695 technology personnel[140]. - The bank has identified 66 pilot projects for digital transformation in 2023, aiming to enhance data management and business capabilities[128]. - The bank's online banking platform has been upgraded to improve customer experience and operational efficiency[140]. Customer and Market Expansion - User base expanded to 5 million active customers, a growth of 20% year-on-year[5]. - The bank aims for high-quality development, focusing on five core businesses: retail finance, corporate finance, microfinance, interbank finance, and digital finance, to enhance its market position[11]. - Market expansion efforts include entering two new provinces by Q4 2023[6]. - The bank's retail customer base reached 20.19 million, an increase of 205,200 or 1.03% from the beginning of the year[130]. Shareholder and Capital Structure - The total number of shares issued by the company is approximately 6.889 billion, with domestic shares accounting for about 5.740 billion (83.33%) and H-shares approximately 1.148 billion (16.67%)[183]. - The top ten shareholders hold a combined total of 30.11% of the company's shares, with the largest domestic shareholder, Guangdong Yuefeng Investment Co., Ltd., owning 4.34%[186]. - The company has not experienced any changes in share capital during the reporting period, and no new shares were issued[185]. - The bank has no shareholders holding 5% or more of the shares, excluding Hong Kong Central Clearing (Agent) Co., Ltd., as of June 30, 2023[193]. Awards and Recognition - Dongguan Rural Commercial Bank has received multiple awards, including the "Dongguan Government Quality Award" and "National Benchmark Bank" recognition from the China Banking and Insurance Regulatory Commission[10]. - In the "Forbes 2023 Global 2000" list, Dongguan Rural Commercial Bank was ranked 1,208th, improving by 70 places from the previous year[10]. - The bank was ranked 38th in the "2023 China Banking Industry Top 100" list based on core Tier 1 capital net indicators, and 5th among rural commercial banks in China[10]. Community and Social Responsibility - The bank donated RMB 2 million to support community improvement projects, enhancing the living environment for residents in 16 villages and communities[178]. - The bank organized 165 financial knowledge education activities, reaching 190,800 consumers, and published 56 online educational messages, impacting 531,400 consumers[176]. - The bank's consumer complaint resolution rate reached 100%, handling a total of 594 complaints in the first half of the year[176].