BANK COMM(03328)2023-09-21 08:30Financial Performance - The bank reported a total revenue of RMB 100 billion for the first half of 2023, representing a year-on-year increase of 12%[3]. - The net profit attributable to the parent company's shareholders for the first half of 2023 was RMB 46.039 billion, representing a year-on-year increase of 4.51%[11]. - The net operating income for the same period was RMB 137.307 billion, an increase of 4.74% compared to the previous year[11]. - The pre-tax profit for the first half of 2023 was RMB 49.674 billion, an increase of 8.83% year-on-year[12]. - The total net operating income for the first half of 2023 was RMB 137,307 million, an increase from RMB 131,094 million in the same period of 2022, representing a growth of approximately 4.9%[59]. - The pre-tax profit for the first half of 2023 was RMB 49,674 million, compared to RMB 45,642 million in the same period of 2022, indicating an increase of about 8.3%[59]. - The effective tax rate increased significantly to 6.26% from 3.27% in the previous year, reflecting a 108.45% increase in income tax expense[13]. - The bank aims to create shared value for customers, shareholders, employees, and society, emphasizing risk management and quality service[8]. Asset and Liability Management - Total assets reached RMB 13.813 trillion, reflecting a growth of 6.33% from the end of the previous year[11]. - The bank's capital adequacy ratio stands at 14.5%, maintaining a strong position to support future growth initiatives[3]. - The bank's liquidity coverage ratio is reported at 150%, ensuring sufficient liquidity to meet short-term obligations[3]. - As of June 2023, the total liabilities of the group amounted to RMB 12,758.46 billion, an increase of RMB 800.41 billion or 6.69% compared to the end of the previous year[49]. - Customer deposits reached RMB 8,579.60 billion, up RMB 630.53 billion or 7.93% year-on-year, accounting for 67.25% of total liabilities, an increase of 0.78 percentage points[50]. - The group's total assets reached RMB 13,813.36 billion, an increase of RMB 821.79 billion or 6.33% compared to the end of the previous year[36]. Loan and Deposit Growth - Customer loan balance stood at RMB 7.796 trillion, up RMB 500.74 billion, marking a 6.86% increase[11]. - The balance of personal public fund products sold was CNY 243.84 billion, while wealth management products reached CNY 808.28 billion[82]. - The total amount of customer deposits increased by RMB 630.53 billion, with corporate deposits increasing by RMB 291.54 billion and personal deposits increasing by RMB 321.26 billion[50]. - The balance of inclusive small and micro enterprise loans grew by 19% year-on-year, while personal consumption loans increased by 39%[70]. - The balance of green loans increased by 25% compared to the end of the previous year, achieving the highest level for the same period in recent years[70]. Digital Transformation and Innovation - The bank has set a target for a net profit growth of 10% for the full year 2023, with a focus on enhancing digital services and customer engagement[3]. - The bank's strategic focus includes enhancing digital transformation and expanding in key areas such as inclusive finance and green finance[8]. - The bank plans to expand its digital banking services, aiming for a 30% increase in online transactions by the end of 2024[197]. - The company is actively promoting the application of artificial intelligence across various business scenarios to enhance customer service[72]. - The bank's digital transformation initiatives included the launch of 23 convenient service scenarios across various channels, serving 260,000 customers[108]. Risk Management - The bank has implemented new risk management strategies to mitigate credit and market risks, aiming for a reduction in non-performing loans by 5% by the end of 2023[3]. - The non-performing loan ratio remained stable at 1.35% as of June 30, 2023[11]. - The company has strengthened its risk management framework, focusing on unified credit risk management and optimizing credit asset structure[116]. - The group continuously improved its market risk management system, optimizing risk management processes and enhancing product management[128]. - The company is actively supporting the "carbon peak and carbon neutrality" goals by integrating climate risk into its overall risk management framework[137]. Strategic Initiatives - The bank plans to expand its market presence in Southeast Asia, targeting a 20% increase in regional customer base by 2025[3]. - A strategic acquisition of a fintech company is expected to enhance the bank's technological capabilities and improve service delivery, with an estimated investment of RMB 1 billion[3]. - The company aims to strengthen its service to the real economy by increasing financial support in key areas and improving customer service offerings[138]. - The company has established a green finance development strategy, focusing on supporting the "carbon peak and carbon neutrality" goals[171]. - The company is focused on optimizing its asset allocation and enhancing loan pricing management to stabilize and improve net interest margins[139]. Shareholder and Governance - The total number of ordinary shares at the end of the reporting period was 74,262,726,645, with A-shares accounting for 52.85% and H-shares for 47.15%[143]. - The top shareholder, the Ministry of Finance of the People's Republic of China, held 13,178,424,446 A-shares, representing 17.75% of total shares[145]. - The company has approved a cash dividend distribution of CNY 27.7 billion for the fiscal year 2022, with a distribution of CNY 0.373 per share based on a total of 74.263 billion ordinary shares[159]. - The company has not conducted any profit distribution or capital reserve increase in the first half of 2023[159]. - The company is focused on expanding its market presence and enhancing its governance structure[162].