Financial Performance - For the first half of 2024, the company's operating revenue was RMB 13,144.94 million, a slight increase of 0.48% compared to RMB 13,082.52 million in the same period of 2023[8]. - The company's net profit for the first half of 2024 was RMB 3,697.11 million, representing a decrease of 9.80% from RMB 4,098.83 million in the first half of 2023[8]. - The total assets as of June 30, 2024, amounted to RMB 1,747,995.74 million, reflecting a growth of 0.88% from RMB 1,732,733.84 million at the end of 2023[9]. - The total loans and advances issued reached RMB 947,852.11 million, an increase of 1.63% from RMB 932,644.44 million at the end of 2023[9]. - The total deposits absorbed by the bank increased to RMB 934,621.54 million, up by 2.13% from RMB 915,161.98 million at the end of 2023[9]. - The company reported a basic earnings per share of RMB 0.21 for the first half of 2024, down 8.70% from RMB 0.23 in the same period of 2023[8]. - The weighted average return on equity decreased to 7.67%, down 1.24 percentage points from 8.91% in the first half of 2023[8]. Risk Management - The report includes a detailed description of the major risks faced by the bank in its management operations and the measures taken to address these risks[5]. - The bank is committed to enhancing its risk management framework, ensuring compliance and effective risk control across all business lines[100][101]. - The bank has implemented a ten-level asset quality classification management system to enhance risk control[104]. - The bank's liquidity risk management strategy focuses on maintaining compliance with liquidity regulatory indicators while minimizing additional liquidity costs[108]. - The bank's liquidity stress tests cover cash flow gaps over 7, 30, and 90-day windows, ensuring compliance with a minimum survival period of 30 days under various stress scenarios[109]. Capital and Equity - The capital adequacy ratio improved to 12.46%, up by 0.88 percentage points from 11.58% at the end of 2023[11]. - The net amount of core tier 1 capital increased to RMB 93.52 billion as of June 30, 2024, compared to RMB 88.81 billion at the end of the previous year[49]. - The bank successfully issued CNY 14 billion in subordinated capital bonds, significantly increasing the net amount of subordinated capital[123]. - The total nominal amount of derivative financial liabilities increased by 43.69% to RMB 1,423.38 million compared to RMB 990.61 million at the end of the previous year[45]. Shareholder Information - The total number of ordinary shares remained unchanged at 17,762,000,000, with 65.09% held by domestic shares and 34.91% by H shares as of June 30, 2024[138]. - The top shareholder, Tianjin TEDA Investment Holding Co., Ltd., holds 3,612,500,000 shares, representing 20.34% of the total shares[139]. - The bank's major shareholders include state-owned entities, with Tianjin TEDA Investment Holding Co., Ltd. being the controlling shareholder[140]. - The company did not issue any new shares during the reporting period[145]. Governance and Compliance - The governance structure includes a shareholders' meeting, board of directors, supervisory board, and senior management, ensuring effective communication and decision-making[164]. - The independent non-executive directors accounted for at least one-third of the board members, ensuring independent oversight of major decisions[169]. - The company has established a compliance system to strengthen internal control and operational risk management[137]. - The bank has strengthened its anti-money laundering internal control mechanisms and conducted on-site inspections of compliance with core obligations[127]. Digital Transformation and Innovation - The bank is focusing on digital transformation and enhancing customer service efficiency through a multi-channel approach[80]. - The bank's technology investment during the reporting period reached 640 million yuan, focusing on digital transformation and enhancing financial service quality[96]. - The mobile banking platform was upgraded to version 6.3, enhancing user experience and increasing monthly active users[92]. - The bank's digital innovation efforts include launching a personal pension investment insurance and wealth management products, improving its retirement financial service system[96]. Economic Outlook - The company anticipates continued economic recovery in China, with GDP growth projected at 5.0% year-on-year for the first half of 2024[13]. - The global economy is expected to continue its recovery trend in the second half of 2024, with a potential interest rate cut by the Federal Reserve[134]. - Credit growth in the banking sector is anticipated to continue declining, but the rate of decline is expected to slow down[134]. Employee and Operational Structure - The group in the reporting period had a total of 13,728 employees, with a gender distribution of 6,414 male and 7,314 female employees[156]. - The bank has established a total of 372 operational branches across 25 provinces, municipalities, and regions, including 35 first-level branches and 286 sub-branches[161]. - The bank's training system has been optimized, focusing on areas such as international settlement, trade financing, and risk management, enhancing the professionalism of its financial team[160]. Non-Performing Loans and Asset Quality - The non-performing loan ratio rose to 1.81% as of June 30, 2024, an increase of 0.03 percentage points from 1.78% at the end of 2023[11]. - The company reported a non-performing loan amount of RMB 1,216,976 thousand in the real estate sector, with a non-performing loan ratio of 1.38%[58]. - The bank's asset quality remains stable, with public loans in infrastructure and manufacturing sectors showing resilience against marginal increases in non-performing loans[135].
渤海银行(09668) - 2024 - 中期业绩