PSBC(01658)2019-04-23 23:31Customer Base and Services - Postal Savings Bank of China serves 578 million personal customers and operates nearly 40,000 branches[8]. - The bank aims to enhance service capabilities and expand business varieties in response to strategic opportunities[8]. - The bank has established a comprehensive electronic banking system, integrating online and offline services[8]. - The bank's strategic focus includes serving small and medium enterprises and participating in major project constructions[8]. - The bank plans to enhance its service capabilities for rural revitalization and support for small and medium enterprises in 2019[89]. - The bank aims to enhance support for the real economy, particularly focusing on rural revitalization and increasing credit for private and small enterprises[90]. Financial Performance - Operating income for 2018 was RMB 261,245 million, an increase from RMB 224,864 million in 2017, representing a growth of approximately 16.2%[65]. - Net profit for 2018 reached RMB 52,384 million, up from RMB 47,709 million in 2017, reflecting a year-on-year increase of about 5.6%[65]. - The bank achieved operating revenue of CNY 261.25 billion, a year-on-year increase of 16.18%, and net profit of CNY 52.38 billion, up 9.80% year-on-year[88]. - The bank's total equity amounted to RMB 475.31 billion, an increase of RMB 43.96 billion, representing a growth of 10.19%[174]. Asset and Liability Management - Total assets as of December 31, 2018, amounted to RMB 9,516,211 million, compared to RMB 9,012,551 million at the end of 2017, indicating a growth of approximately 5.6%[67]. - The bank's total liabilities reached RMB 9,040,898 million as of December 31, 2018, compared to RMB 8,581,194 million in 2017, representing an increase of about 5.4%[67]. - The bank's core tier 1 capital net amount was RMB 421,678 million, up from RMB 381,673 million in 2017, indicating a growth of approximately 10.5%[67]. - The capital adequacy ratio increased to 13.76%, up 1.25 percentage points from the previous year[89]. Risk Management - The bank is actively managing various risks to mitigate potential adverse impacts on future development strategies[43]. - The non-performing loan ratio increased to 0.86% from 0.75% year-over-year[72]. - Provision coverage ratio improved to 346.80% compared to 324.77% in the previous year[72]. - The bank's internal control system will be strengthened to ensure compliance and mitigate systemic risks[92]. Investment and Loans - Customer loans totaled RMB 4,276,865 million at the end of 2018, an increase from RMB 3,630,135 million in 2017, marking a growth of about 17.8%[67]. - Agricultural loans amounted to CNY 1.16 trillion, with a net increase of CNY 107.29 billion[88]. - The total personal loan amount was RMB 2,319.840 billion, an increase of RMB 373.367 billion, reflecting a growth of 19.18% year-on-year[148]. - The balance of personal housing loans reached RMB 1.42 trillion, representing 83.73% of the personal consumption loan total[181]. Digital Transformation and Technology - The bank plans to accelerate its digital transformation and increase investment in information technology to enhance software development capabilities[92]. - The bank intends to deepen cooperation with strategic investors and innovate new collaboration models with internet companies to create an open banking environment[92]. Awards and Recognition - The bank was recognized as the 56th in the "2018 Global 2000" list by Forbes, reflecting its strong market position[81]. - The bank received multiple awards for its contributions to financial technology and risk management in 2017 and 2018[82]. Operational Efficiency - The cost-to-income ratio improved to 57.60% in 2018 from 64.64% in 2016, indicating enhanced operational efficiency[71]. - The bank's trading net income was RMB 4.569 billion, an increase of RMB 2.694 billion or 143.68% year-on-year[125].