Dividends and Shareholder Returns - The company declared a cash dividend of RMB 1.97 per share for the 2020 fiscal year, totaling approximately RMB 57.994 billion before tax[9]. - The company did not declare an interim dividend for 2021 and will not implement a capital reserve increase[9]. - The company approved a total dividend distribution of RMB 1.54 billion (pre-tax) for the second phase of domestic preferred shares, with a dividend rate of 5.50% (pre-tax) paid on March 15, 2021[132]. - The company also distributed approximately USD 10.2 million (post-tax) for the second phase of overseas preferred shares, with a dividend rate of 3.60% (post-tax) on March 4, 2021[132]. - The company plans to distribute RMB 3.285 billion (pre-tax) for the third phase of domestic preferred shares at a dividend rate of 4.50% (pre-tax) on June 28, 2021[133]. - The company will distribute RMB 1.1745 billion (pre-tax) for the fourth phase of domestic preferred shares at a dividend rate of 4.35% (pre-tax) on August 30, 2021[133]. Financial Performance - Net interest income for the first half of 2021 was RMB 208.77 billion, a slight increase from RMB 205.41 billion in the same period of 2020[11]. - Non-interest income rose to RMB 94.08 billion, up from RMB 81.57 billion year-on-year, reflecting a growth of 15.4%[11]. - Total operating income reached RMB 302.86 billion, compared to RMB 286.98 billion in the first half of 2020, marking an increase of 5.8%[11]. - The bank's net profit attributable to shareholders was RMB 112.81 billion, an increase from RMB 100.92 billion in the same period last year, representing a growth of 11.8%[11]. - The group achieved a net profit of RMB 118.55 billion for the first half of 2021, representing a year-on-year increase of 9.96%[15]. - The basic earnings per share increased to RMB 0.36, compared to RMB 0.32 in the first half of 2020, representing a growth of 12.5%[11]. Asset and Loan Growth - Total assets as of June 30, 2021, amounted to RMB 26.32 trillion, up from RMB 24.40 trillion at the end of 2020, indicating a growth of 7.9%[12]. - Customer loans totaled RMB 15.42 trillion, an increase from RMB 14.22 trillion in the previous year, reflecting a growth of 8.5%[12]. - The non-performing loan ratio remained stable at 1.30%, unchanged from the end of 2020[12]. - The bank's total liabilities amounted to RMB 308 trillion, also reflecting a growth of 5.1% compared to the previous year[14]. - The total customer loans of the group reached RMB 15,416.40 billion, an increase of RMB 119.99 billion, representing a growth of 8.44% compared to the end of the previous year[28]. Risk Management - The company is actively managing various risks, including changes in macroeconomic conditions and borrower credit status, to comply with regulatory requirements[9]. - The company faced risks from changes in political and economic conditions across different countries and regions[9]. - The company emphasizes the importance of risk awareness among investors regarding forward-looking statements and future plans[9]. - The bank's capital adequacy ratio was reported at 15.61%, down from 16.22% at the end of 2020[12]. - The group has strengthened risk management systems in line with the Basel III framework and international interest rate reforms to enhance risk management capabilities[83]. Digital Transformation and Innovation - The bank is focusing on high-quality development in corporate finance, supporting key sectors such as inclusive finance and green finance[45]. - The bank's digital transformation strategy includes the issuance of 114 million physical social security cards and 3.19 million electronic social security cards[58]. - The bank is leveraging big data and AI technology to enhance online trading and wealth management applications[71]. - The company has established a "Knowledge Property Financing Innovation Laboratory" in collaboration with the National Intellectual Property Administration to enhance financial services for intellectual property[48]. - The bank is actively promoting the internationalization of the RMB by providing quality domestic bond and derivative pricing services to overseas institutional investors[67]. Corporate Governance - The company emphasized the protection of shareholders' rights and decision-making powers during the reporting period[123]. - The company conducted a self-inspection of the execution of governance mechanisms without finding any unauthorized approvals[123]. - The company maintained compliance with the corporate governance code and achieved most of the recommended best practices[123]. - The company has established a comprehensive risk management framework, including specialized committees for anti-money laundering and asset disposal[128]. - The company has implemented a profit distribution policy that mandates a minimum cash dividend of 10% of the after-tax profit attributable to ordinary shareholders, provided there are profits and retained earnings are positive[130]. Social Responsibility and Community Engagement - The bank provided over 40 million yuan in aid to four targeted poverty alleviation counties, implementing nearly 30 assistance projects in the first half of the year[103]. - The bank actively participates in social responsibility initiatives, including financial services for the ice and snow industry in support of the Beijing 2022 Winter Olympics[102]. - The bank raised 1.81 million yuan for 104 charitable activities, with 36,300 donors participating in the first half of the year[103]. - The bank's green finance products include green credit, green bonds, and green deposits, aiming to become the preferred bank for green financial services[103]. - The company has focused on enhancing its institutional framework and management capabilities to improve consumer rights protection[149].
中国银行(03988) - 2021 - 中期财报