Investment Rating - The investment rating for Suzhou Bank is "Buy" (maintained) [9] Core Views - Suzhou Bank's performance remains positive, with revenue growth of 0.8% year-on-year in Q1 2025, although the growth rate has slowed by 2.3 percentage points compared to 2024. The net profit attributable to shareholders increased by 6.8% year-on-year, with a slowdown of 3.4 percentage points compared to 2024. The bank's non-performing loan generation has improved, and the decline in interest margin has narrowed [2][4][5]. Summary by Sections Financial Performance - In Q1 2025, Suzhou Bank's revenue grew by 0.8% year-on-year, while net profit attributable to shareholders increased by 6.8%. The growth rates have slowed compared to 2024, primarily due to fluctuations in non-interest income, which saw an 8% year-on-year decline [2][3]. - The bank's interest income decreased by 0.6% year-on-year, while non-interest income from fees increased by 22.5% [2][14]. Loan and Deposit Growth - In Q1 2025, Suzhou Bank's loans increased by 12.7% year-on-year, although the growth rate has decreased by 1 percentage point compared to Q4 2024. The majority of the loan growth was from corporate loans, which accounted for 95% of the increase [3]. - Deposits saw a slight increase of 1.2 billion, with personal deposits decreasing by 4.7 billion year-on-year, while corporate deposits increased by 3.5 billion [3]. Interest Margin - The interest margin for Q1 2025 narrowed by 18 basis points to 1.31% year-on-year, with the decline in margin narrowing by 11 basis points compared to Q4 2024. This improvement is attributed to a larger reduction in funding costs [4]. Asset Quality - The non-performing loan ratio remained stable at 0.83% as of Q1 2025, with a coverage ratio of 447%, which is still considered high among listed banks. The true non-performing loan generation rate decreased by 14 basis points year-on-year to 0.65% [5]. - The bank's corporate loan non-performing rate improved, while the personal loan non-performing rate increased, particularly in personal business loans [5]. Dividend Policy - Suzhou Bank's dividend payout ratio for 2024 was 34%, an increase of 2 percentage points from 2023, with an estimated dividend yield of 4.85% based on the current price [6]. Profit Forecast and Valuation - The forecast for net profit attributable to shareholders for 2025-2027 is expected to grow by 7.04%, 5.58%, and 5.89%, respectively. The target price is set at 9.79 yuan per share, corresponding to a price-to-book ratio of 0.85 for 2025, indicating a potential upside of 19% [7].

Investment Rating - The investment rating for Suzhou Bank is "Buy" (maintained) [1] Core Views - Suzhou Bank demonstrates significant advantages in corporate banking, with excellent asset quality. The bank's Q1 2025 revenue and net profit attributable to shareholders were 3.25 billion yuan (YoY +0.76%) and 1.55 billion yuan (YoY +6.80%), respectively, indicating stable profitability. The net interest margin for Q1 2025 was 1.34%, a decrease of 4 basis points from the previous year [4][5][6] Financial Performance Summary - For Q1 2025, Suzhou Bank's total assets reached 727.15 billion yuan, growing by 12.18% YoY, with loans increasing by 12.74%. Corporate loans maintained a high growth rate of over 20%, while retail loan demand was relatively weak. Non-interest income for Q1 2025 was 1.14 billion yuan, up 3.33% YoY, with net commission income rising by 22.48% and investment income increasing by 47.11% [5][6] - The bank's non-performing loan ratio remained stable at 0.83% as of Q1 2025, with a high provision coverage ratio of 447.20%. The capital adequacy ratios were also robust, with core, tier 1, and total capital adequacy ratios at 9.80%, 11.62%, and 14.54%, respectively [6][7] Earnings Forecast - The forecast for net profit attributable to shareholders for 2025-2027 is adjusted to 5.53 billion (previously 5.75 billion), 6.06 billion (previously 6.50 billion), and 6.47 billion yuan (previously 6.50 billion), reflecting YoY growth rates of 9.14%, 9.49%, and 6.90% respectively. The current stock price corresponds to a price-to-book ratio of 0.68, 0.63, and 0.61 for 2025-2027 [4][6][7]

银行/城商行Ⅱ 苏州银行（002966.SZ） 对公优势彰显，资产质量优异 2025 年 04 月 30 日 投资评级：买入（维持） | 日期 | 2025/4/29 | | --- | --- | | 当前股价(元) | 8.24 | | 一年最高最低(元) | 8.87/6.60 | | 总市值(亿元) | 368.38 | | 流通市值(亿元) | 361.65 | | 总股本(亿股) | 44.71 | | 流通股本(亿股) | 43.89 | | 近 3 个月换手率(%) | 65.3 | 《盈利能力稳健，资产较快扩张—苏 州银行 2024 年三季报点评》 -2024.10.31 《盈利平稳增长，资产质量持续优异 — 苏州银行 2024 年中报点评》 -2024.9.1 ——苏州银行 2024 年报&2025 年一季报点评 股价走势图 数据来源：聚源 -16% -8% 0% 8% 16% 24% 2024-04 2024-08 2024-12 苏州银行 沪深300 相关研究报告 刘呈祥（分析师） 吴文鑫（分析师） liuchengxiang@kysec.cn wuwenxin@kysec.cn 证书 ...

Retail Sector Activity - The retail sector showed significant activity with Maoye Commercial (600828) hitting the daily limit and achieving five consecutive trading limits [1][4] - Other notable stocks in the retail sector included Cuiwei Co. (603123) and Laisen Tongling (603900), both reaching the daily limit, while Zhongxing Commercial (000715) and Hongqi Chain (002697) also saw substantial gains [4] Economic Indicators - In the first quarter, China's total retail sales of consumer goods reached 12.47 trillion yuan, marking a year-on-year growth of 4.6%, which is an acceleration of 1.1 percentage points compared to the previous year [6] - March alone saw a growth rate of 5.9% in retail sales [6] AI Glasses Concept - The AI glasses concept opened strong with Yingtong Communications (002861) hitting the daily limit, while Deep Konka A surged over 8% [7] Computing Power Leasing Concept - The computing power leasing concept gained momentum with Changshan Beiming (000158), Chaoxun Communication (603322), and Hongbo Co. (002229) all reaching the daily limit, and Yitian Intelligent (300911) rising over 10% [8] Real Estate Sector Movement - The real estate sector experienced a surge with Zhonghua Enterprise (600675) and Yuehongyuan A both hitting the daily limit, while Huayuan Real Estate (600743) and Xinhuangpu (600638) increased by over 7% [9] Banking Sector Decline - The banking sector faced declines, with Huaxia Bank dropping over 8%, and major banks like China Construction Bank, Beijing Bank, and others falling by more than 2% [10] Manufacturing PMI - China's manufacturing purchasing managers' index (PMI) for April was reported at 49%, a decrease of 1.5 percentage points from the previous month, indicating a contraction in the manufacturing sector [11] - High-tech manufacturing PMI stood at 51.5%, indicating continued expansion in that sector [11] - The service sector maintained expansion with a business activity index of 50.1, despite a slight decline from the previous month [11] US Automotive Tariff Developments - President Trump signed an announcement to provide compensation for tariffs on imported auto parts, allowing up to 3.75% of the retail price for compensation, which will decrease to 2.5% in the second year [12] - This move reflects ongoing pressure on the government regarding its tariff policies [12]

Investment Rating - The report maintains a "Strong Buy" rating for Suzhou Bank [4] Core Views - The bank's overall performance remains stable with revenue, PPOP, and net profit growth rates of 3.01%, 1.59%, and 10.16% year-on-year for 2024, and 0.76%, 5.93%, and 6.80% year-on-year for Q1 2025 respectively [1][2] - The bank's asset quality is solid, with a non-performing loan ratio of 0.83% and a provision coverage ratio of 447.2% as of Q1 2025 [2][3] - The bank's capital adequacy ratio has improved following the conversion of convertible bonds, providing a stronger capital buffer for future growth [2][3] Summary by Sections 1. Performance Metrics - For 2024, the bank reported total revenue of 12,224 million yuan, with a year-on-year growth of 3.01% [1][13] - The net profit attributable to shareholders for 2024 was 5,068 million yuan, reflecting a growth of 10.2% year-on-year [8][14] 2. Non-Interest Income - The bank's net fee income turned positive in Q1 2025, with a year-on-year increase of 22.48%, recovering from a decline of 14.48% in 2024 [2][31] - Other non-interest income saw a decline of 7.8% in Q1 2025, primarily due to high base effects from the previous year [3][31] 3. Interest Margin and Asset-Liability Management - The net interest margin for 2024 and Q1 2025 was 1.38% and 1.34% respectively, with a slight decline but manageable [3][14] - The bank's interest-earning assets grew by 12.30% year-on-year in 2024, with loans increasing by 13.62% [2][3] 4. Asset Quality - The non-performing loan ratio remained stable at 0.83% as of Q1 2025, with a new generation rate of 0.36% [2][3] - The provision coverage ratio was reported at 447.2%, indicating a strong buffer against potential loan losses [2][3] 5. Capital and Shareholder Returns - The core Tier 1 capital adequacy ratio improved to 9.80% in Q1 2025, up from 9.77% in the previous quarter [2][3] - The bank's dividend payout ratio for 2024 was 34.07%, positioning it among the top listed banks [2][3]

Core Viewpoint - Suzhou Bank has approved various reports and plans for 2024 and 2025, including sustainability, environmental information disclosure, and risk management policies, indicating a focus on transparency and governance [1][2][3][4][5][8][9][11][12][13][14][16][26][29][32]. Group 1: Reports and Approvals - The bank approved the 2024 Sustainable Development Report, which is available for investor review [1]. - The 2024 Environmental Information Disclosure Report was also approved, with unanimous support [2]. - The 2024 Third Pillar Information Disclosure Report received approval [3]. - The bank's 2025 First Quarter Third Pillar Information Disclosure Report was approved [4]. - The board's special opinion on the independence assessment of independent directors was approved [5]. - The 2024 Financial Settlement Report and 2025 Financial Budget Plan were approved by the Supervisory Board, pending shareholder meeting approval [63][66]. Group 2: Risk Management and Governance - The bank approved adjustments to the 2025 market risk limit indicators [11]. - A new risk preference statement for 2025 was established [12]. - The bank revised its Information Technology Risk Management Policy [12]. - The bank's Risk Charter was also updated [13]. - The bank's valuation enhancement plan was approved, focusing on improving service quality and governance [93][95][105]. Group 3: Shareholder Engagement and Returns - The bank plans to hold the 2024 Annual Shareholders' Meeting on May 23, 2025, with details provided for participation [32][34]. - A profit distribution plan for 2024 was proposed, with a total cash dividend of CNY 1.647 billion, representing 32.50% of the net profit attributable to shareholders [102]. - The bank's major shareholder has increased their stake, reflecting confidence in the bank's long-term value [103]. Group 4: External Audit and Compliance - The bank has proposed to reappoint Ernst & Young Hua Ming as the external auditor for 2025, with an audit fee of CNY 3.35 million [26][108][113]. - The bank has maintained a high standard of compliance and governance, receiving an A rating for information disclosure for four consecutive years [100].

Group 1 - The core point of the announcement is the approval of the 2024 profit distribution plan by the board of directors, which includes a cash dividend of 2.0 yuan per share, totaling approximately 89.41 million yuan, and a total cash dividend for the year of 164.71 million yuan, accounting for 32.50% of the net profit attributable to shareholders [12][14][19] - The company reported a net profit of 481.37 million yuan for 2024, with an undistributed profit at the beginning of the year of 1,262.95 million yuan [12][13] - The board meeting held on April 25, 2025, was attended by all 12 directors, and the profit distribution plan will be submitted for approval at the 2024 annual shareholders' meeting [12][22] Group 2 - The company will allocate 10% of the net profit to statutory surplus reserves, amounting to 8.32 million yuan, which meets the requirement of reaching 50% of the registered capital [14][26] - The general risk reserve will be increased by 82.69 million yuan, ensuring compliance with regulatory requirements [14][26] - The total cash dividends for 2024, including interim dividends already distributed, will be 164.71 million yuan, which is in line with the company's shareholder return policy [19][27] Group 3 - The company has confirmed that the financial data in the annual report is accurate and complete, audited by Ernst & Young Huaming [2][6] - The report includes a detailed description of the company's main business activities, which encompass a wide range of banking services [4] - The company has no major events to disclose other than those already reported [11]

Investment Rating - The report maintains a "Buy" rating for Suzhou Bank [1] Core Views - Suzhou Bank achieved a revenue of 12.2 billion in 2024, a year-on-year increase of 3%, and a net profit attributable to shareholders of 5.1 billion, up 10.2% year-on-year [3] - The bank's credit maintains double-digit growth, with loans increasing by 12.7% year-on-year as of Q1 2025, and a steady expansion of its asset scale [5] - The bank's non-interest income growth has slowed but remains stable at around 35% of total revenue [9] - The bank's asset quality remains strong, with a non-performing loan ratio of 0.83% at the end of 2024 [10] Summary by Sections Financial Performance - In 2024, Suzhou Bank's operating income was 12.2 billion, with a net profit of 5.1 billion, reflecting a 3% and 10.2% increase year-on-year respectively [3] - For Q1 2025, the bank reported operating income of 3.25 billion, a 0.8% increase year-on-year, and a net profit of 1.55 billion, up 6.8% year-on-year [3] Revenue and Profitability - The bank's net interest income decreased by 6.8% in 2024, while non-interest income grew by 27.6% [4] - The bank's cost-to-income ratio was 36.4% in 2024, with credit impairment losses at 9.2% of revenue [4] Asset Quality - The non-performing loan ratio was 0.83% at the end of 2024, with a coverage ratio of 447% [10][11] - The bank's credit risk management remains robust, with a significant reduction in new non-performing loans [10] Capital Adequacy - As of Q1 2025, the bank's core tier 1 capital ratio was 9.8%, indicating a solid capital base for future growth [11] - The bank's capital adequacy ratios are well above regulatory requirements, providing a strong buffer for potential risks [11] Future Outlook - The bank is expected to continue its expansion in both corporate and retail lending, with a focus on manufacturing and small micro-enterprises [5] - The report anticipates stable growth in non-interest income and improvements in asset quality, supporting sustainable development [12][13]

Investment Rating - The report assigns a "Buy" rating for Suzhou Bank, indicating a positive outlook for the stock over the next six months [14]. Core Insights - Suzhou Bank's 2024 annual report shows steady performance with total operating income of 12.224 billion yuan, a year-on-year increase of 3.01%, and a net profit attributable to shareholders of 5.068 billion yuan, up 10.16% year-on-year [1][2]. - The bank's investment business significantly supported its performance, with investment income and fair value changes rising by 50.12% to 3.049 billion yuan, accounting for 24.95% of total income [2]. - The loan portfolio expanded, with total loans reaching 333.36 billion yuan, a 13.62% increase year-on-year, and corporate loans growing by 23.21% to 241.48 billion yuan, representing 72.44% of total loans [3]. Financial Performance Summary - The bank's net interest margin decreased to 1.38%, down 0.30 percentage points year-on-year, while the net interest spread was 1.45%, down 0.28 percentage points [4]. - The non-performing loan ratio improved to 0.83%, a decrease of 0.01 percentage points year-on-year, with corporate loans showing a non-performing rate of 0.51% [4][19]. - Total deposits increased by 14.61% year-on-year to 416.97 billion yuan, with corporate deposits growing by 8.57% and personal deposits by 20.41% [3]. Future Projections - The report forecasts net profits for 2025, 2026, and 2027 to be 5.355 billion yuan, 5.843 billion yuan, and 6.388 billion yuan, respectively, reflecting year-on-year growth rates of 5.66%, 9.12%, and 9.33% [4][25].

Core Insights - The banking industry is leveraging technologies such as artificial intelligence, blockchain, and big data to enhance service efficiency, risk control capabilities, and customer experience amidst digital transformation [1][4] Financial Performance - In 2024, Suzhou Bank achieved operating income of 12.224 billion yuan, a year-on-year increase of 3.01%, and a net profit attributable to shareholders of 5.068 billion yuan, up 10.16% [2] - As of March 2025, the total assets of Suzhou Bank exceeded 700 billion yuan, reaching 727.154 billion yuan, with a growth rate of 4.82% compared to the beginning of the year [2] Digital Transformation Initiatives - Suzhou Bank's digital transformation is integrated across key business segments, including retail, corporate, and financial market operations, with a focus on enhancing asset custody services through automation and intelligent platforms [2][3] - The bank implemented a "228 Action" plan in 2024, advancing 71 transformation projects and enhancing its management systems and digital platforms [3] Innovation in Business Models - In corporate banking, Suzhou Bank is focusing on innovation in science and technology finance and cross-border finance, establishing a structured approach to support technology enterprises [5] - The bank has developed a specialized evaluation model for technology innovation and is enhancing cross-border financing services for foreign trade enterprises [5] Retail Banking Developments - In retail banking, Suzhou Bank is building a "民生+财富" (Livelihood + Wealth) development engine, particularly in the pension finance sector, creating a comprehensive service network for elderly care [6] - The bank has successfully launched wealth management campaigns and is actively involved in the distribution of related financial products [7]