Financial Performance - Operating income for the first half of 2021 was RMB 105.656 billion, with a net profit of RMB 29.031 billion[9]. - Non-interest income reached RMB 31.574 billion, reflecting a net profit growth rate of 13.66%[9]. - Total profit for the first half of 2021 reached RMB 34,923 million, reflecting a 13.59% increase compared to RMB 30,746 million in the first half of 2020[15]. - Net profit attributable to shareholders for the first half of 2021 was RMB 29,031 million, up 13.66% from RMB 25,541 million in the same period of 2020[15]. - Basic earnings per share for the first half of 2021 were RMB 0.59, an increase of 13.46% from RMB 0.52 in the first half of 2020[15]. - Diluted earnings per share for the first half of 2021 were RMB 0.54, a 12.50% increase from RMB 0.48 in the same period of 2020[15]. - The company achieved operating revenue of RMB 105.656 billion, a year-on-year increase of 3.38%[29]. - Net interest income was RMB 74.082 billion, reflecting a slight increase of 0.21% year-on-year[32]. - Non-interest income reached RMB 31.574 billion, up 11.66% year-on-year, accounting for 29.9% of total revenue[30]. Asset Quality - The non-performing loan ratio stood at 1.50%, with a provision coverage ratio of 189.37%[9]. - Non-performing loan ratio improved to 1.50% as of June 30, 2021, down from 1.64% at the end of 2020[18]. - Provision coverage ratio increased to 189.37% as of June 30, 2021, compared to 171.68% at the end of 2020[18]. - The non-performing loan balance decreased by RMB 2.770 billion, down 3.77% year-on-year, with a non-performing loan ratio of 1.50%[28]. - The total non-performing loans amounted to RMB 70,682 million, representing 1.50% of the total loan portfolio, a decrease from 1.64% at the end of 2020[97]. Customer Base and Deposits - The bank serves a customer base of 87.18 million corporate clients and 115 million individual clients[10]. - Customer deposits totaled RMB 4,665,631 million as of June 30, 2021, reflecting a growth of 3.03% from RMB 4,528,399 million at the end of 2020[17]. - Corporate deposits reached CNY 3,541.517 billion, an increase of CNY 97.536 billion from the end of last year[126]. - The proportion of customer deposits in RMB was 90.9%, compared to 90.6% at the end of the previous year[80]. Capital and Liquidity - The capital adequacy ratio was 13.53%, an increase of 0.52 percentage points from the end of the previous year[110]. - The first-tier capital adequacy ratio was 10.71%, up 0.53 percentage points from the end of the previous year[110]. - The liquidity coverage ratio was 117.31% as of June 30, 2021, indicating strong liquidity management[19]. - The net stable funding ratio was 103.36%, surpassing the regulatory minimum by 3.36 percentage points, demonstrating the availability of stable funding sources for business continuity[183]. Risk Management - The bank has not identified any significant risks that could adversely affect its future development strategies[2]. - The bank is committed to risk management with a focus on effective risk control and the establishment of a unified credit approval system[22]. - The bank's risk management framework aims to enhance the foresight and precision of risk control through intelligent risk management systems[22]. - The bank has strengthened operational risk management by implementing the Basel III operational risk new standard and enhancing daily management practices[185]. - The bank actively managed foreign exchange risk, with the RMB appreciating by 1.22% against the USD during the first half of the year[179]. Strategic Initiatives - The bank aims to be a comprehensive financial service provider with a focus on value for customers and benefits for shareholders[5]. - The company aims to enhance its market expansion strategies and product development in the upcoming quarters[15]. - The bank aims to provide comprehensive financial solutions leveraging its "Finance + Industry" platform, focusing on customer-centric services[21]. - The company is committed to supporting the real economy and enhancing green finance capabilities as part of its strategic development plan[194]. Technology and Innovation - The bank has made significant investments in technology, aiming to become a leading tech-driven bank, with advancements in AI and blockchain applications across various business areas[22]. - The AI model center has over 300 models, covering major business areas, enhancing operational efficiency[121]. - The blockchain projects have been recognized as the best in China, showcasing the company's innovation in financial technology[121]. Governance and Compliance - The financial report has been reviewed by PwC and Deloitte, ensuring compliance with Chinese and Hong Kong standards[2]. - The company's governance structure integrates party leadership, ensuring effective operation of the board and management teams[22]. - The company held 3 shareholder meetings, 9 board meetings, and 8 supervisory meetings during the reporting period, all in compliance with legal and regulatory requirements[194]. - The board of directors convened 9 meetings during the reporting period, passing 61 resolutions and reviewing 33 reports[199].
中信银行(00998) - 2021 - 中期财报