Capital and Financial Overview - The registered capital of China Bohai Bank is RMB 17.762 billion[15]. - The bank's H shares are listed on the Hong Kong Stock Exchange under stock code 9668[15]. - The bank's interim financial report for 2024 has not been audited[10]. - The board of directors approved the interim report on August 28, 2024, with all 13 directors present[8]. - No profit distribution or capital reserve transfer to increase share capital will be made for the interim period of 2024[9]. - The report period covers six months ending June 30, 2024[10]. - The bank's financial data and indicators are prepared in accordance with International Financial Reporting Standards[10]. - Operating revenue for the first half of 2024 was RMB 13,144,941, showing a slight increase of 0.48% compared to RMB 13,082,522 in the same period of 2023[17]. - Pre-tax profit decreased by 11.68% to RMB 4,114,362 from RMB 4,658,582 year-on-year[17]. - Net profit fell by 9.80% to RMB 3,697,109 compared to RMB 4,098,828 in the first half of 2023[17]. - Basic and diluted earnings per share attributable to ordinary shareholders decreased by 8.70% to RMB 0.21 from RMB 0.23[17]. - Total assets increased by 0.88% to RMB 1,747,995,740 as of June 30, 2024, compared to RMB 1,732,733,836 at the end of 2023[17]. - The total amount of loans and advances rose by 1.63% to RMB 947,852,113 from RMB 932,644,435[17]. - Total liabilities amounted to RMB 1,629.425 billion, with an increase of RMB 11.094 billion, a growth rate of 0.69%[33]. - Customer deposits reached RMB 952.835 billion, increasing by RMB 18.241 billion, which is a growth of 1.95%[33]. Risk Management and Asset Quality - The bank emphasizes the importance of risk management in its operations[10]. - The non-performing loan ratio increased to 1.81%, up 0.03 percentage points from 1.78% at the end of 2023[21]. - The capital adequacy ratio improved to 12.46%, an increase of 0.88 percentage points from 11.58% at the end of 2023[21]. - The bank's leverage ratio increased to 5.57% from 5.48% year-on-year, indicating a stronger capital position[102]. - The bank's non-performing loan ratio stands at 1.81% as of the end of the reporting period, indicating stable asset quality[178]. - The total impairment provision for financial assets amounts to CNY 38.039 billion, an increase of CNY 1.933 billion compared to the end of the previous year[178]. - The bank has implemented a ten-level asset quality classification management system to enhance risk control measures[178]. - The bank's credit risk management system has been further optimized, with a focus on key areas, businesses, and customer groups to improve risk identification and strategy[177]. - The bank has established a three-line defense system for risk control, with business lines as the first line of defense and the audit department as the third line[176]. Income and Expense Analysis - Net interest income was RMB 8.080 billion, down 13.37% year-on-year[40]. - Non-interest income increased by 34.89% to RMB 5.065 billion compared to the previous year[39]. - The average yield on loans and advances was 4.48%, compared to 4.78% in the same period last year[48]. - The average cost rate for deposits was 2.48%, down from 2.78% in the first half of 2023[54]. - The net interest margin decreased to 1.16% from 1.24% year-on-year[57]. - Total commission and fee income for the first half of 2024 was RMB 2,254.52 million, a decrease of 2.22% compared to RMB 2,305.68 million in the same period of 2023[63]. - Net income from commission and fees was RMB 1,695.92 million, down 3.92% from RMB 1,765.17 million year-on-year[63]. - Operating expenses decreased by 6.38% to RMB 5,018.27 million, driven by reductions in employee compensation and other general administrative expenses[68]. Loan and Deposit Performance - The balance of loans and advances was RMB 935.947 billion, with an increase of RMB 15.552 billion, marking a growth of 1.69%[32]. - The balance of green loans was RMB 37.75 billion, an increase of RMB 6.49 billion or 20.75% compared to the previous year[139]. - The balance of loans to specialized and innovative enterprises increased by 23.03% year-on-year[138]. - The amount of personal loans decreased to RMB 224,765,387 thousand, with a non-performing loan rate of 3.30% as of June 30, 2024[111]. - The company loans in the leasing and business services sector reached RMB 238,773,667 thousand, with a non-performing loan rate of 1.21%[113]. - The total deposits amounted to RMB 594.28 billion, an increase of RMB 28.11 billion or 4.96% compared to the previous year[136]. - Retail deposits increased by CNY 9.32 billion to CNY 210.32 billion by the end of the reporting period[148]. - The total number of retail customers reached 7.93 million, with a net increase of 219,300 customers during the reporting period[149]. Digital Transformation and Technology Investment - The bank's technology investment reached 640 million yuan during the reporting period, focusing on digital transformation and the development of new financial service systems[169]. - The bank's mobile banking system was upgraded to version 6.3, enhancing user engagement and increasing monthly active users and wealth product transaction volume[164]. - The bank's online financial services emphasized digital and smart finance, aiming to enhance user operations and portal channel construction[163]. - The bank's customer transaction experience was improved through optimized business processes and enhanced risk management strategies[162]. - The bank's website underwent a complete overhaul, enhancing user experience with improved navigation and accessibility features[165]. Market and Liquidity Risk Management - The bank's liquidity risk management framework is governed by a clear structure, with the board of directors ultimately responsible for liquidity risk management[182]. - The liquidity ratio of the group was 75.05% and the liquidity coverage ratio was 138.27% as of June 30, 2024[186]. - The group maintained a sufficient level of high-quality liquid assets, totaling approximately RMB 162 billion, to cover future cash outflows of about RMB 117 billion over the next 30 days[188]. - The bank's liquidity risk levels remained stable and controllable, with no significant liquidity risk events reported during the period[186]. - The bank's market risk management framework includes independent identification, measurement, monitoring, and control of market risks, ensuring alignment with strategic planning and business decisions[189]. - The bank's interest rate risk exposure was measured at 11.29% of Tier 1 capital, remaining within internal limits[191].
渤海银行(09668) - 2024 - 中期财报