2025-04-24 08:45Financial Performance - Net operating income before impairment provisions for 2024 was HKD 71,253 million, an increase of 8.5% from HKD 65,498 million in 2023[6] - Operating profit for 2024 reached HKD 48,677 million, up 14.5% compared to HKD 42,558 million in 2023[6] - Annual profit for 2024 was HKD 39,118 million, representing a 12.9% increase from HKD 34,857 million in 2023[6] - Basic earnings per share for 2024 were HKD 3.6162, a rise of 16.9% from HKD 3.0950 in 2023[6] - Net operating income before impairment provisions was HKD 71.25 billion, up 8.8% year-on-year, and annual profit was HKD 39.12 billion, an increase of 12.2%[24] - Annual profit for the company reached HKD 39.118 billion, representing a year-on-year increase of 12.2%[42] Asset and Deposit Growth - Total assets as of year-end 2024 amounted to HKD 4,194,408 million, up from HKD 3,868,783 million in 2023, reflecting a growth of 8.4%[6] - Customer deposits for 2024 increased to HKD 2,724,221 million, a growth of 8.8% from HKD 2,503,841 million in 2023[8] - Total assets reached HKD 4,194.41 billion, an increase of 8.4% year-on-year[24] - Total customer deposits reached HKD 2,724.22 billion, an increase of HKD 220.38 billion or 8.8% year-on-year[84] Capital and Efficiency Ratios - The cost-to-income ratio improved to 24.55% in 2024 from 25.35% in 2023, indicating enhanced operational efficiency[6] - The total capital ratio improved to 22.00% in 2024 from 21.18% in 2023, indicating a stronger capital position[6] - The bank's capital adequacy ratio is robust, with a Common Equity Tier 1 capital ratio of 20.02% and a non-performing loan ratio of 1.05%, outperforming industry averages[14] - The average return on total assets for 2024 was 0.95%, up from 0.90% in 2023[8] - The average return on equity and average return on total assets were 11.61% and 0.95%, respectively, with increases of 1.01 percentage points and 0.05 percentage points year-on-year[42] Loan and Deposit Management - The loan-to-deposit ratio decreased to 61.55% in 2024 from 67.99% in 2023, suggesting a more conservative lending approach[6] - Customer loans totaled HKD 1,676.89 billion, a decrease of HKD 254.16 billion or 1.5% compared to the previous year[78] - Personal loans increased by HKD 144.08 billion or 2.5%, driven by government-subsidized housing plans[81] - Trade finance loans decreased by HKD 28.41 billion or 6.0%[80] Digital Transformation and Innovation - The company plans to focus resources on digitalization, regionalization, and integration to drive future growth[54] - The mobile banking app introduced new features, including the ability to buy and sell certificates of deposit and deposit physical checks, enhancing customer convenience[93] - The "Property Expert" mobile app has achieved approximately 192,000 downloads, with online mortgage applications accounting for over 80% of total mortgage applications, an increase of over 20 percentage points year-on-year[93] - The group is focusing on digital transformation, aiming for seamless service across regions and channels, with enhancements in online and mobile banking services[120] Sustainable Development and ESG Initiatives - Green and sustainable development-related loan balances and ESG fund sales increased by 28.8% and 37.7%, respectively[16] - Green private loan applications increased by 48% year-on-year, indicating a growing focus on sustainable finance[92] - The bank launched Hong Kong's first carbon footprint tracking feature in its mobile banking app, promoting green financial practices among customers[92] - The company has been recognized for its sustainable development efforts, receiving the "Most Influential ESG Bank in Hong Kong" award[103] Risk Management - The group emphasizes the importance of effective risk management, balancing risk control with business development to ensure shareholder value while maintaining acceptable risk levels[127] - Credit risk primarily arises from lending, trade financing, and funding operations, with detailed management strategies outlined in the financial statements[128] - The group maintains a prudent liquidity risk preference, ensuring stable and sufficient cash sources to meet liquidity demands under normal and stressed conditions[134] - The group has established a "three lines of defense" system for operational risk management, with all departments as the first line of defense responsible for self-assessment and self-correction[136] Awards and Recognition - The bank was recognized as "Hong Kong's Most Stable Bank" for five consecutive years by The Asian Banker[19] - The company has been awarded "Best Cash Management Bank in Hong Kong" for the 10th time by The Asian Banker[100] - The company received multiple awards for its asset management capabilities, including the "Best RMB Fund Manager in Hong Kong" for 2024[109] Leadership and Governance - The board includes members with diverse expertise in risk management, corporate governance, and sustainable development[176] - The company emphasizes sustainable development and corporate governance as key strategic areas[175] - The board's composition reflects a strong commitment to diversity and extensive industry experience[181] - The independent directors collectively bring a wealth of knowledge from various industries, including finance, technology, and public service[191][199]