Financial Performance - Operating income for the first half of 2021 was RMB 15,802.87 million, a decrease of 1.51% compared to RMB 16,045.20 million in the same period of 2020[9] - Pre-tax profit increased by 6.93% to RMB 6,720.78 million from RMB 6,285.34 million year-on-year[9] - Net profit rose by 5.90% to RMB 5,344.57 million compared to RMB 5,046.71 million in the first half of 2020[9] - Basic earnings per share attributable to ordinary shareholders decreased by 14.29% to RMB 0.30 from RMB 0.35 in the previous year[10] - The bank's net profit for the period was RMB 5.34 billion, representing a year-on-year growth of 5.90%[29] Asset and Liability Management - Total assets increased by 11.97% to RMB 1,560,327,530 as of June 30, 2021, compared to RMB 1,393,523,125 at the end of 2020[12] - Total liabilities grew by 12.62% to RMB 1,453,124,227, up from RMB 1,290,277,295[12] - Total deposits increased by 13.39% to RMB 846,729,827, compared to RMB 746,725,783 at the end of 2020[12] - The bank's total equity as of June 30, 2021, was RMB 107.20 billion, representing a growth of 3.83% from the previous year-end[64] Loan and Credit Quality - Total loans and advances rose by 10.06% to RMB 976,828,197 from RMB 887,537,545[12] - Non-performing loan ratio slightly improved to 1.76% as of June 30, 2021, from 1.77% at the end of 2020[14] - The non-performing loan balance was RMB 17.19 billion, with a non-performing loan ratio of 1.76%, a slight decrease of 0.01 percentage points from the previous year[28] - The total overdue loans reached RMB 32.98 billion, representing an increase of RMB 8.33 billion compared to RMB 24.65 billion at the end of 2020, with an overdue loan ratio of 3.38%[80] Income and Expenses - Net interest margin decreased by 0.45 percentage points to 1.79% in the first half of 2021, down from 2.24% in the same period of 2020[14] - The net interest income was RMB 13.54 billion, down 3.48% year-on-year[32] - Total interest expenses amounted to RMB 18.044 billion, reflecting an 18.53% year-on-year increase[39] - Operating expenses rose by 6.66% to RMB 4,711.56 million from RMB 4,417.20 million in the previous year[50] Risk Management - The report includes a detailed description of the main risks faced by the bank and the measures taken to address them[7] - The bank has implemented a robust large exposure risk management system, ensuring compliance with regulatory requirements throughout the reporting period[86] - The bank's risk management framework includes a three-line defense system to ensure effective risk control across all business lines and branches[122] - The bank's liquidity risk management strategy aims to ensure compliance with liquidity regulatory indicators while minimizing additional liquidity costs[126] Capital Adequacy - Capital adequacy ratio increased by 0.68 percentage points to 12.76% from 12.08%[14] - The core tier 1 capital adequacy ratio stood at 8.73%, while the total capital adequacy ratio was 12.76%, both meeting regulatory requirements[66] - The bank's capital management strategy aims to balance capital constraints, risk management, and shareholder returns while maintaining adequate capital levels[141] Business Development and Strategy - The bank's business development philosophy for the second half of 2021 emphasizes innovation and transformation, aligning with national strategies and focusing on high-quality development[152] - The bank aims to enhance its marketing capabilities and ensure steady growth across all business sectors, focusing on corporate and retail business expansion[153] - The bank's strategic vision includes becoming the best experience modern financial manager, providing comprehensive financial services with a focus on retail banking and transaction banking[146] Employee and Governance - The bank's governance structure includes a shareholders' meeting, board of directors, supervisory board, and senior management, ensuring effective communication and governance[182] - The bank's management team underwent significant changes, with multiple resignations and new appointments effective from May 28, 2021[169] - The bank's training programs included courses on party history, financial technology, big data, and artificial intelligence[178] Shareholder Information - The bank's total ordinary shares remained unchanged at 17,762,000,000 shares, with domestic shares accounting for 65.09% and H shares for 34.91%[154] - Tianjin TEDA Investment Holding Co., Ltd. is the largest shareholder, holding 3,612,500,000 shares, which is 20.34% of the total[155] - The top ten shareholders hold a total of 12,000,000,000 shares, representing approximately 67.5% of the total ordinary shares[155]

Financial Performance - Total assets reached CNY 1,393.52 billion, an increase of CNY 276.59 billion or 24.76% compared to the previous year[13]. - Total liabilities amounted to CNY 1,290.28 billion, up CNY 255.99 billion or 24.75% year-on-year[13]. - Net assets increased to CNY 103.25 billion, reflecting a growth of CNY 20.61 billion or 24.94% from the previous year[13]. - Operating income was CNY 32.49 billion, an increase of CNY 4.11 billion or 14.50% year-on-year[13]. - Net profit for 2020 was RMB 8,444.57 million, up by 3.07% from RMB 8,192.76 million in 2019[25]. - Pre-tax profit for 2020 reached RMB 10,085.09 million, reflecting a growth of 1.85% from RMB 9,901.85 million in the previous year[25]. - The net cash flow from operating activities was RMB 52,085.41 million, a significant recovery from a negative cash flow of RMB (41,679.52) million in 2019[25]. - Basic earnings per share for 2020 decreased to RMB 0.47, down by 17.54% from RMB 0.57 in 2019[25]. - The average return on total assets was 0.60%, a decline of 0.16 percentage points from 0.76% in 2019[25]. - The weighted average return on net assets was 10.68%, down by 3.03 percentage points from 13.71% in the previous year[25]. Risk Management - The company is committed to comprehensive risk management, addressing major risks faced in its operations[10]. - The bank aims to enhance its risk management and continue its high-quality transformation in 2021, focusing on serving the real economy and preventing financial risks[13]. - The bank's risk management framework consists of three lines of defense, ensuring effective risk management across all departments[140]. - The bank is implementing a comprehensive risk management system, focusing on various types of risks including credit, liquidity, market, operational, and compliance risks[141]. - The bank's liquidity risk management framework includes a centralized management model to ensure compliance with liquidity regulatory indicators[144]. - The bank's non-performing loan ratio stands at 1.77%, indicating stable asset quality[143]. Compliance and Regulatory - The company emphasizes its compliance with regulatory requirements set by the China Banking and Insurance Regulatory Commission[8]. - The bank is committed to maintaining compliance with regulatory requirements while continuously improving the effectiveness of its risk management practices[141]. - The bank has actively fulfilled anti-money laundering obligations, implementing new regulations and conducting comprehensive customer identity checks to mitigate money laundering risks[163]. Strategic Planning - The company’s strategic planning for 2021-2025 is outlined in the "Four Five" plan[9]. - The bank is focused on expanding its ecological banking model, integrating core services into collaborative platforms to create a win-win ecosystem[170]. - The bank aims to become the "best experience modern financial steward," providing comprehensive financial management solutions and actively supporting national strategic projects[168]. Shareholder Information - The total number of ordinary shares increased from 14.45 billion to 17.76 billion, with H shares accounting for 34.91% of the total by the end of 2020[178]. - The top shareholder, Tianjin TEDA Investment Holding Co., Ltd., holds 3.61 billion shares, representing 20.34% of the total[179]. - The major shareholders of Bohai Bank do not have any pledged or frozen shares, except for Tianjin TEDA Investment Holding Co., Ltd., which pledged 1 billion shares[187]. Awards and Recognition - The bank received the "2020 Excellent Digital Bank" award at the Golden Jubilee Awards, recognizing its advancements in digital banking[23]. - The bank was awarded the "2020 Annual Contribution to Inclusive Finance" and "Annual Financial Technology Progress" at the China Golden Ding Awards[24]. Technology and Innovation - The company invested 560 million yuan in technology throughout the year, focusing on building a unified application platform and a big data service platform to facilitate digital transformation[136]. - The bank has formed a strategic partnership with Alibaba Cloud to enhance core technology research and deployment, laying a solid foundation for further technological innovation[170]. - The bank is leveraging a technology-driven approach to optimize customer service and operational efficiency, enhancing the overall banking experience[170]. Customer Service and Experience - The bank's customer service center ensured 24/7 service availability, with a problem identification rate of 96.01% in the intelligent customer service channel[121]. - The bank's strategy includes enhancing customer service through online channels and targeted marketing to adapt to the pandemic's impact[115]. Economic Outlook - The bank anticipates that China's economy will maintain a recovery trend in 2021, driven by exports, infrastructure, and domestic circulation[173]. - The monetary policy will remain stable and neutral, with a focus on maintaining liquidity balance and preventing financial risks, as social financing and M2 growth rates gradually decline[174].

Financial Performance - Operating income for the first half of 2020 reached RMB 16,045,199 thousand, an increase of 19.25% compared to RMB 13,454,705 thousand in the same period of 2019[21]. - Pre-tax profit was RMB 6,285,339 thousand, reflecting a growth of 3.38% from RMB 6,079,868 thousand year-on-year[21]. - Net profit amounted to RMB 5,046,711 thousand, up by 2.52% from RMB 4,922,793 thousand in the previous year[21]. - Basic earnings per share attributable to shareholders was RMB 0.35, a 2.94% increase from RMB 0.34 in the same period last year[21]. - The bank's net profit for the reporting period was RMB 5.05 billion, a year-on-year increase of 2.52%[32]. - Interest income for the period was RMB 29.17 billion, representing an 18.97% year-on-year growth[42]. - The bank's operating income for the first half of 2020 was RMB 16.05 billion, with a pre-tax profit of RMB 6.29 billion, compared to RMB 13.45 billion and RMB 6.08 billion respectively in the same period of 2019[76]. Asset and Liability Management - Total assets increased by 13.49% to RMB 1,267,627,207 compared to the end of 2019[22]. - Total liabilities reached RMB 1,180.10 billion, an increase of 14.10% compared to the beginning of the year[29]. - The bank's total equity was RMB 87.52 billion, up by RMB 4.88 billion, representing a growth of 5.91% due to increased net profit during the reporting period[69]. - The bank's total general and administrative expenses were RMB 616.63 million, a decrease of 2.25% compared to the previous year[55]. Loan and Deposit Growth - Total loans and advances rose by 15.55% to RMB 818,159,922 from the previous year[22]. - Total deposits increased by 18.77% to RMB 757,655,272 compared to the end of 2019[22]. - Customer deposits totaled RMB 757.66 billion, reflecting an 18.77% increase from the beginning of the year[29]. - The total amount of loans and advances (including discounts) was RMB 818.16 billion, reflecting a growth of 15.55% year-to-date[60]. Risk Management - The bank faces various operational risks and has implemented measures to manage these risks, detailed in the report[18]. - Non-performing loan ratio remained stable at 1.78% compared to the end of 2019[24]. - Provision coverage ratio increased by 0.25 percentage points to 187.98% compared to the end of 2019[24]. - The bank's non-performing loan ratio stands at 1.78%, indicating stable asset quality and controllable overall credit risk[119]. - The bank has established a three-line defense risk control system to manage various types of risks effectively[117]. Capital Adequacy - Capital adequacy ratio decreased by 1.64 percentage points to 11.43% compared to the end of 2019[24]. - The core tier 1 capital adequacy ratio stood at 7.85%, while the tier 1 capital adequacy ratio was 10.18% and the total capital adequacy ratio was 11.43%, all meeting regulatory requirements[71]. Strategic Planning - The bank's strategic planning for 2021-2025 is referred to as the "Four Five" plan[16]. - The bank aims to enhance customer experience and expand its financial service ecosystem[26]. - The bank is focusing on transforming into a retail and transaction banking model for high-quality development[26]. Employee and Governance - As of the end of the reporting period, the bank had a total of 9,862 employees, with a gender distribution of 4,735 male employees (47.8%) and 5,127 female employees (52.2%)[162]. - The bank's board of directors consists of 18 members, including 4 executive directors and 6 independent non-executive directors[157]. - The bank's governance structure has improved, with 49 resolutions passed in board meetings[171]. Compliance and Regulatory Matters - The bank did not engage in any significant related party transactions during the reporting period, adhering to the minimum exemption levels set by the Hong Kong Stock Exchange[184]. - The bank has not faced any significant penalties from regulatory authorities during the reporting period[186]. - The bank's compliance risk management system was strengthened, ensuring adherence to applicable laws and regulations, with a focus on proactive risk identification and mitigation[138].