Investment Rating - The report maintains a "Recommended" rating for Changshu Bank (601128) [1] Core Views - The company's revenue and net profit growth remain strong, with a year-on-year increase of 12.05% and 12.01% in 2023 and Q1 2024 respectively, while net profit attributable to shareholders grew by 19.6% and 19.8% [1] - The bank's non-interest income has shown significant improvement, with a year-on-year increase of 14.34% in 2023 and 70.9% in Q1 2024, driven by increased agency service fees and investment income [1] - Asset quality is excellent, with non-performing loan ratios at 0.75% and 0.76% as of the end of 2023 and March 2024, respectively, and a provision coverage ratio of 537.88% and 539.18% [1] Financial Performance Summary - In 2023, net interest income was CNY 8,501.34 million, with a projected increase to CNY 9,454.62 million in 2024, reflecting a growth rate of 19.60% [2] - The bank's total loans reached CNY 2,224.39 billion by the end of 2023, marking a 15% increase from 2022, with individual operating loans growing by 21.12% [1][2] - The net interest margin (NIM) for 2023 and Q1 2024 was 2.86% and 2.83%, respectively, showing a year-on-year decline of 16 basis points and 19 basis points, yet still leading the industry [1] Investment Recommendations - The bank's focus on supporting agriculture and small enterprises solidifies its competitive edge in microfinance, with significant growth potential in credit demand and a strong asset quality [1] - The report forecasts BVPS (Book Value Per Share) of CNY 10.19, 11.62, and 13.31 for 2024, 2025, and 2026, respectively, indicating a favorable outlook for future performance [1][2]

Investment Rating - The report maintains a "Buy" rating for Changshu Bank [3][7][12] Core Views - Changshu Bank's Q1 2024 results demonstrate strong revenue growth and profitability, with a revenue of 2.7 billion yuan, up 12.0% year-on-year, and a net profit of 952 million yuan, up 19.8% year-on-year [3][6][12] - The bank's annualized ROE increased by 0.9 percentage points to 14.7%, indicating a solid growth trajectory [3][6] - The bank's asset quality remains strong, with a slight increase in the non-performing loan (NPL) ratio to 0.76% and a provision coverage ratio of 539% [3][7][12] Summary by Sections Market Data - Closing price: 7.5 yuan - Market capitalization: 19,825 million yuan - Price-to-book ratio: 0.8 [3] Financial Performance - Q1 2024 revenue: 2.7 billion yuan, up 12.0% YoY - Q1 2024 net profit: 952 million yuan, up 19.8% YoY - Q1 2024 NPL ratio: 0.76%, up 1 basis point from the beginning of the year - Provision coverage ratio: 539%, up 1.3 percentage points from the beginning of the year [3][6][12] Growth Drivers - Interest income increased by 5.6% YoY, with a net interest margin of 2.8% in Q1 2024, only slightly down from the previous year [3][7] - Non-interest income surged by 71% YoY, contributing significantly to revenue growth [3][6] - Loan growth maintained at approximately 15% YoY, with deposits growing at 18% YoY, indicating a balanced growth strategy [3][6][12] Future Outlook - The bank is expected to continue its strong performance with projected net profit growth rates of 17.3%, 17.6%, and 18.7% for 2024-2026 [7][12] - The current stock price corresponds to a 2024 price-to-book ratio of 0.72, supporting the "Buy" rating [7][12]

Investment Rating - The investment rating for Changshu Bank (601128) is not explicitly stated in the provided content, but the report indicates a positive outlook based on strong financial performance and growth metrics [1]. Core Insights - Changshu Bank reported a year-on-year net profit growth of 19.80% in Q1 2024, slightly up from 19.60% in the same period of 2023, with operating revenue growth at 12.01% [1]. - The bank's annualized weighted ROE reached 14.74%, an increase of 91 basis points year-on-year, while the annualized ROA was 1.17%, up by 4 basis points [1]. - The bank has maintained double-digit growth in revenue for 12 consecutive quarters, indicating strong operational performance [1]. - The net interest margin (NIM) slightly narrowed to 2.83%, down 19 basis points year-on-year, primarily due to a decline in loan rates affecting interest-earning asset yields [1]. - Non-performing loan ratio increased slightly to 0.76%, but remains low compared to peers, with a provision coverage ratio of 539.18% [1]. Financial Performance Summary - For Q1 2024, Changshu Bank's operating revenue was CNY 110 billion, with a growth rate of 12.01% [2]. - The net profit attributable to shareholders was CNY 39 billion, reflecting an 18.40% growth rate [2]. - The bank's earnings per share (EPS) is projected to grow from CNY 1.42 in 2024 to CNY 2.03 by 2026 [2]. - The price-to-earnings (P/E) ratio is expected to decrease from 5.61 in 2024 to 3.91 by 2026, indicating potential undervaluation [2]. - The price-to-book (P/B) ratio is projected to decline from 0.79 in 2024 to 0.61 by 2026, suggesting a favorable investment opportunity [2]. Growth Drivers - The bank's growth is attributed to its focus on micro and small enterprises, maintaining a strong asset quality while expanding its scale [1]. - The bank's total assets, liabilities, loans, and deposits showed year-on-year growth rates of 15.05%, 15.24%, 15.01%, and 18.02% respectively [1]. - The bank's capital adequacy remains robust, with a core Tier 1 capital ratio of 10.15% as of Q1 2024, supporting its expansion plans [1].

Investment Rating - The report maintains a "Buy" rating for Changshu Bank [6] Core Views - Changshu Bank reported strong performance in Q1 2024, with revenue of 2.7 billion yuan, a year-on-year increase of 12.0%, and a net profit attributable to shareholders of 0.95 billion yuan, up 19.8% year-on-year [1][2] - The bank's asset quality remains stable, with a non-performing loan ratio of 0.76% and a provision coverage ratio of 539.18% as of March 2024 [3] - The bank's financial performance is supported by resilient net interest margins, increased investment income, and a declining cost-to-income ratio [2] Financial Performance - Revenue growth for Q1 2024 was driven by a 5.6% increase in net interest income, despite a 6.1 percentage point decline compared to the previous year [2] - Non-interest income surged by 70.9% in Q1 2024, primarily due to rising bond investment returns [2] - The cost-to-income ratio improved, decreasing by 4.9 percentage points year-on-year, reflecting enhanced operational efficiency [2] Asset Quality - As of Q1 2024, the non-performing loan balance increased to 1.79 billion yuan, with a slight rise in the non-performing loan ratio [3] - The provision coverage ratio improved by 1.3 percentage points compared to the end of the previous year, indicating stronger risk management [3] Asset and Liability Management - Total assets grew by 15.1% year-on-year, with loans increasing by 15.0% [4] - Deposits rose by 18.0%, with significant contributions from personal fixed deposits and corporate current deposits [4] Future Outlook - The bank aims for a revenue growth target of around 10% and a profit growth target of approximately 18% for 2024 [4] - Projected net profits for 2024-2026 are estimated at 3.91 billion yuan, 4.68 billion yuan, and 5.62 billion yuan, respectively [4]

Investment Rating - The report maintains a "Strong Buy" rating for Changshu Bank (601128.SH) [8][9][10] Core Insights - Changshu Bank reported strong financial performance in Q1 2024, with revenue, pre-provision profit, and net profit reaching 2.7 billion, 1.73 billion, and 0.95 billion respectively, representing year-on-year growth of 12.0%, 21.1%, and 19.8% [2][3] - The bank's annualized weighted average ROE increased to 14.74%, up 0.91 percentage points year-on-year, indicating robust profitability [2][3] - Key growth drivers include high growth in scale, non-interest income support, and cost savings, with net interest margin slightly narrowing [3][5] Revenue and Profitability - Core revenue (net interest income + net fee income) grew by 6.1% year-on-year, while other non-interest income surged by 67%, primarily driven by investment income, which increased by 276.8% to 55.6 billion [3][4] - The bank's cost control measures led to a 1.6% reduction in management expenses, contributing positively to pre-provision profit growth of 21.1% [3][4] Asset and Liability Management - The bank maintained a high growth rate in loans and deposits, with loans and financial investments increasing by 15% and 16% year-on-year respectively [4][10] - The deposit growth rate was 18%, reflecting strong performance despite increased competition in the industry [4][10] Interest Margin and Asset Quality - The net interest margin for Q1 2024 was 2.83%, a slight decrease of 3 basis points from 2023, but better than the industry average [5][10] - The bank's non-performing loan ratio stood at 0.76%, with a robust provision coverage ratio of 539.2%, indicating strong asset quality [10][16] Future Outlook - The report forecasts net profit growth rates of 18.6%, 18.1%, and 20.8% for 2024, 2025, and 2026 respectively, with corresponding BVPS of 10.43, 12.14, and 14.18 [10][11] - The bank's strategy focuses on a differentiated approach to inclusive finance, leveraging its local market presence and expanding through branches and village banks [10][19]

Investment Rating - The report maintains a "Recommendation" rating for Changshu Bank (601128) with a target price of 8.60 CNY, while the current price is 7.50 CNY [1]. Core Views - Changshu Bank's Q1 2024 performance is strong, with operating income reaching 2.7 billion CNY, a year-on-year increase of 12.01%, and net profit attributable to shareholders of 950 million CNY, up 19.8% year-on-year [2]. - The bank's growth is attributed to rapid scale expansion and a rebound in net interest margin, with a measured net interest margin of 2.77%, up 25 basis points from the previous quarter [2]. - The bank's asset quality remains stable, with a slight increase in non-performing loan ratio to 0.76%, while the provision coverage ratio improved to 539% [2]. Financial Performance Summary - **Operating Income**: 2023A: 9,869 million CNY; 2024E: 10,993 million CNY; 2025E: 12,353 million CNY; 2026E: 14,047 million CNY [3]. - **Net Profit**: 2023A: 3,282 million CNY; 2024E: 3,848 million CNY; 2025E: 4,613 million CNY; 2026E: 5,508 million CNY [3]. - **Earnings Per Share (EPS)**: 2023: 1.20 CNY; 2024E: 1.40 CNY; 2025E: 1.68 CNY; 2026E: 2.01 CNY [3]. - **Price-to-Earnings Ratio (PE)**: 2024E: 5.36; 2025E: 4.46; 2026E: 3.73 [3]. - **Price-to-Book Ratio (PB)**: 2024E: 0.74; 2025E: 0.64; 2026E: 0.56 [3]. Loan and Asset Quality - **Total Loans**: 2023: 222,440 million CNY; 2024E: 255,806 million CNY; 2025E: 294,177 million CNY; 2026E: 338,304 million CNY [7]. - **Non-Performing Loan Ratio**: 2023: 0.75%; 2024E: 0.75% [7]. - **Provision Coverage Ratio**: 2023: 538.70%; 2024E: 510.70% [7]. Investment Outlook - The report emphasizes Changshu Bank's strong performance and its leading position in micro-lending, projecting revenue growth rates of 11.4%, 12.4%, and 13.7% for 2024-2026, respectively [2][3].

Investment Rating - The report maintains a "Recommended" rating for Changshu Bank, with a closing price of 7.95 yuan as of April 30, 2024, corresponding to 0.8 times the 2024 PB [2][3]. Core Views - Changshu Bank has demonstrated high growth in performance, with a revenue of 2.7 billion yuan in Q1 2024, representing a year-on-year increase of 12.0%, and a net profit attributable to shareholders of 1 billion yuan, up 19.8% year-on-year [1]. - The bank's asset quality remains strong, with a non-performing loan ratio of 0.76% and a provision coverage ratio of 539% as of Q1 2024, indicating robust risk mitigation capabilities [1]. - The bank's net interest margin (NIM) has shown a narrowing decline, decreasing by 3 basis points to 2.83% in Q1 2024, with expectations for continued stabilization in the future [1][2]. Summary by Sections Financial Performance - In Q1 2024, Changshu Bank's revenue and net profit growth rates are 12.0% and 19.8% respectively, maintaining a leading position among peers [1]. - The bank's total assets, total loans, and total deposits grew by 15.1%, 15.0%, and 18.0% year-on-year respectively [1]. Income Structure - Net interest income increased by 5.6% year-on-year, while non-interest income saw a significant rise of 635.4%, primarily due to low base effects [1]. - The bank's management fees are expected to continue decreasing, supporting overall performance [2]. Asset Quality - The non-performing loan ratio slightly increased by 1 basis point to 0.76%, while the attention ratio rose by 7 basis points to 1.24% [1]. - The provision coverage ratio increased by 1.3 percentage points to 539%, indicating strong risk absorption capacity [1]. Future Projections - Earnings per share (EPS) are projected to be 1.42, 1.69, and 2.02 yuan for the years 2024, 2025, and 2026 respectively [2]. - The bank's total assets are expected to reach 3,854 billion yuan in 2024, with a steady growth trajectory anticipated [10].

Investment Rating - The report maintains a "Strong Buy" rating for the company, indicating an expected stock performance that will exceed the market by over 20% within the next six months [2][14]. Core Insights - The company reported a 12.0% year-on-year increase in revenue for Q1 2024, reaching 2.7 billion yuan, and a 19.8% increase in net profit attributable to shareholders, totaling 952 million yuan [5][6]. - The annualized weighted average ROE for Q1 2024 was 14.74%, reflecting strong profitability [5]. - The company's asset scale grew by 9.04% year-to-date, with loan and deposit growth rates of 5.76% and 14.35%, respectively [5][6]. - The net interest margin for Q1 2024 was 2.83%, showing a controlled decline compared to the previous year, indicating a competitive position in the industry [6][9]. Financial Performance Summary - Revenue and profit growth: Q1 2024 revenue increased by 12.0% year-on-year, while net profit rose by 19.8% [5][6]. - Asset quality: The non-performing loan (NPL) ratio slightly increased to 0.76%, but the company maintains a strong position in asset quality compared to peers [9]. - Provisioning: The provision coverage ratio improved to 539%, enhancing the company's risk mitigation capabilities [9][12]. Future Projections - The company is expected to maintain strong growth, with projected EPS of 1.42, 1.69, and 2.01 yuan for 2024 to 2026, corresponding to profit growth rates of 18.6%, 19.1%, and 19.0% respectively [9][12]. - The stock is currently trading at a price-to-book (P/B) ratio of 0.77x for 2024, indicating potential undervaluation [9][12].

Financial Performance - Total operating income for Q1 2024 reached CNY 2,699,689, an increase of 12.01% compared to the same period last year[5] - Net profit attributable to shareholders was CNY 952,266, reflecting a growth of 19.80% year-on-year[5] - The bank's net profit for Q1 2024 was CNY 1,026,730, compared to CNY 858,150 in Q1 2023, representing a growth of 19.6%[31] - The total comprehensive income attributable to shareholders of the parent company reached CNY 969,782 thousand, up 16.4% from CNY 833,578 thousand in the same period last year[32] - The basic earnings per share for Q1 2024 was CNY 0.35, compared to CNY 0.29 in Q1 2023, reflecting an increase of 20.7%[32] Asset and Liability Management - Total assets increased to CNY 364,675,935, representing a growth of 9.04% compared to the end of the previous year[5] - The total liabilities as of March 31, 2024, were CNY 336,439,802, an increase of 9.5% from CNY 307,325,494 at the end of 2023[30] - The total adjusted on-balance and off-balance sheet assets amounted to CNY 444,267,429, up from CNY 408,141,175 as of December 31, 2023, representing an increase of 8.9%[22] Loan and Deposit Growth - Total deposits reached CNY 283,516,212, an increase from CNY 247,938,809 at the end of 2023[12] - Total loans amounted to CNY 235,242,933, up from CNY 222,439,155 at the end of 2023[12] - The bank's loan and advance amount reached CNY 226,403,794, up from CNY 214,226,530 at the end of 2023, indicating a growth of 5.5%[29] - The net increase in customer deposits and interbank placements was CNY 34,794,585 thousand, compared to CNY 29,196,419 thousand in the previous year, indicating a growth of 19.2%[33] Cash Flow and Liquidity - Net cash flow from operating activities amounted to CNY 16,847,220, up by 28.49% from the previous year[5] - The net cash flow from operating activities for Q1 2024 was CNY 16,847,220 thousand, a significant increase from CNY 13,112,003 thousand in Q1 2023[34] - The total cash and cash equivalents at the end of Q1 2024 amounted to CNY 13,428,969 thousand, up from CNY 10,467,173 thousand at the end of Q1 2023[34] - The liquidity coverage ratio stood at 325.93%, indicating a strong liquidity position compared to regulatory requirements[21] Investment Performance - Investment income surged by 276.76%, driven by increased returns from trading financial assets[9] - The bank's investment income for Q1 2024 was CNY 556,127, significantly higher than CNY 147,607 in Q1 2023, showing a growth of 276.5%[31] - The cash inflow from investment activities in Q1 2024 was CNY 59,884,702 thousand, a substantial rise from CNY 14,328,384 thousand in Q1 2023[34] - The company experienced a net cash outflow from investment activities of -CNY 12,159,642 thousand, compared to -CNY 10,054,332 thousand in the previous year, indicating increased investment activity[34] Shareholder Information - The number of ordinary shareholders reached 40,712, with the top ten shareholders holding a combined 30.59% of the total shares[23] - The largest shareholder, Bank of Communications Co., Ltd., holds 9.01% of the shares, followed by the National Social Security Fund with 3.31%[23] - The company has not reported any significant changes in the shareholding structure due to the transfer of shares among the top shareholders[25] Risk and Capital Management - The non-performing loan ratio stood at 0.76%, slightly up from 0.75% at the end of 2023[15] - The capital adequacy ratio was reported at 13.51%, a slight decrease from 13.86% in the previous quarter[22] - The leverage ratio decreased to 6.20% from 6.51% in the previous quarter, indicating a reduction in financial leverage[22] - As of March 31, 2024, the core tier one capital net amount reached CNY 27,383,576, an increase from CNY 26,392,626 as of December 31, 2023, reflecting a growth of 3.7%[22] Future Outlook - The net cash outflow for the future is projected at CNY 14,905,744, highlighting potential liquidity challenges[21] - The company engaged with 19 institutions during a conference call on January 9, 2024, indicating active investor relations efforts[26]

2024年04月01日 公 司点评 公 买入 / 维持 司 常熟银行(601128) 研 究 目标价: 昨收盘:7.03 常熟银行 2023 年年报点评：异地扩张推进，息差韧性充足 事件：常熟银行发布2023年年度报告，报告期内公司实现营业收入 ◼ 走势比较 98.70亿元，同比+12.05%；实现归母净利润32.82亿元，同比+19.60%； ROE（加权）为13.69%，同比+0.63pct。截至报告期末，公司不良率0.75%， 10% 同比-6BP；拨备覆盖率537.88%，同比+1.11pct。 太 2% 业绩增速保持领先，经营计划彰显信心。2023 年公司营收、归母净 平 (6%)13/3/32 11/6/32 22/8/32 2/11/32 31/1/42 52/3/42 利 银润 行同 中比 处分 于别 首位+12 ；. 其05 中%、 利+ 息19 净.6 收0% 入，均 、非实 息现 收两 入位 分数 别增 为长， 85增 .0速 1、在 1已 3.披 69露 亿年 元报 ， 洋 (14%) 同比分别+11.69%、+14.34%，利息净收入增长主要受规模扩张支撑，非息 证 (22%) 收入 ...