CZBANK(SH:601916)2022-08-29 16:00Financial Performance - In the first half of 2022, China Zheshang Bank reported operating income of RMB 31.74 billion, a year-on-year increase of 22.53%[14]. - The net profit attributable to shareholders for the same period was RMB 6.974 billion, reflecting a year-on-year growth of 1.80%[14]. - The company's operating income for the first half of 2022 reached RMB 31,740 million, representing a 22.53% increase compared to RMB 25,903 million in the same period of 2021[24]. - The net profit attributable to shareholders for the first half of 2022 was RMB 6,974 million, a 1.80% increase from RMB 6,851 million in the first half of 2021[24]. - The net interest margin for the first half of 2022 was 2.28%, an increase of 0.01 percentage points from 2.27% in the first half of 2021[25]. - The cost-to-income ratio improved to 23.88% in the first half of 2022, down by 1.21 percentage points from 25.09% in the same period of 2021[25]. - The company reported a non-recurring profit of RMB 39 million for the first half of 2022, after accounting for tax effects[29]. - The net interest income for the first half of 2022 was RMB 23.237 billion, up by RMB 2.859 billion or 14.03% compared to the same period last year[38]. - The non-interest income reached RMB 8.503 billion, representing a significant increase of RMB 2.978 billion or 53.90% year-on-year[38]. Asset and Liability Management - As of the end of the reporting period, total assets reached RMB 2.52 trillion, up 10.26% from the end of the previous year[14]. - Total liabilities amounted to RMB 2.36 trillion, growing by 11.47% year-on-year, with customer deposits reaching RMB 1.64 trillion, up 15.88%[14]. - The total amount of loans and advances was RMB 1.47 trillion, an increase of 9.41% compared to the end of last year[14]. - The total assets as of June 30, 2022, amounted to RMB 2,521,244 million, reflecting a 10.26% increase from RMB 2,286,723 million at the end of 2021[27]. - The total loans and advances amounted to RMB 1,474.061 billion, increasing by RMB 126.822 billion or 9.41% year-on-year[33]. - Total liabilities reached RMB 2,362.89 billion, an increase of RMB 243.05 billion or 11.47% compared to the end of the previous year[71]. - Customer deposits amounted to RMB 1,640.46 billion, up by RMB 224.76 billion or 15.88% year-over-year, with corporate deposits increasing by RMB 230.69 billion or 19.04%[72]. Loan Quality and Risk Management - The non-performing loan ratio stood at 1.49%, with a provision coverage ratio of 185.74%, indicating stable asset quality[14]. - The non-performing loan ratio as of June 30, 2022, was 1.49%, a decrease of 0.04 percentage points from 1.53% at the end of 2021[26]. - The provision coverage ratio increased to 185.74% as of June 30, 2022, up by 11.13 percentage points from 174.61% at the end of 2021[26]. - The proportion of normal loans was 95.20%, with a total of RMB 1,403.23 billion, reflecting an increase of RMB 110.44 billion from the previous year[75]. - Non-performing loans stood at RMB 219.69 billion, with a non-performing loan ratio of 1.49%, a decrease of 0.04 percentage points from the previous year[75]. - The company aims to control credit risk within a manageable range, maximizing comprehensive benefits adjusted for risk in local currency[97]. - Unified credit management is implemented for corporate clients, with comprehensive analysis and assessment of client risks and financial conditions[99]. - The company has established a credit risk management system for small and micro enterprises, focusing on standardized credit operations and risk mitigation measures[100]. Capital Adequacy and Regulatory Compliance - The capital adequacy ratio was 11.75%, with a tier 1 capital ratio of 9.64% and a core tier 1 capital ratio of 8.04%, all maintaining reasonable levels[14]. - The core Tier 1 capital adequacy ratio as of June 30, 2022, was 8.04%, a decrease of 0.09 percentage points from 8.13% at the end of 2021[28]. - The total risk-weighted assets amounted to RMB 1,596.18 billion, with a minimum capital requirement of 8.00%[89]. - The bank's leverage ratio was 4.97% as of June 30, 2022, down from 5.93% at the end of the previous year[90]. - The compliance risk management framework has been enhanced to ensure adherence to laws and regulations, with a focus on improving internal control and compliance management effectiveness[116]. Digital Transformation and Innovation - The company’s digital transformation efforts are centered around the "185N" system framework, enhancing operational efficiency across five major business segments[142]. - The company has launched a comprehensive product service system centered on customer needs, enhancing its core competitiveness across five major sectors and introducing new platforms such as the wealth management platform and mobile banking 5.0[143]. - The digital banking service system has achieved an electronic channel transaction substitution rate of 99.71%, leading the industry[149]. - The company has filed over 90 financial technology patents and published papers in top-tier conferences and international journals[147]. - The company has developed a digital RMB system and conducted pilot projects in multiple locations[144]. Shareholder and Corporate Governance - The company disclosed a total of 78 announcements for A-shares and 99 announcements for H-shares during the reporting period, ensuring equal access to information for all shareholders[168]. - The total number of issued ordinary shares was 21,268,696,778, comprising 16,714,696,778 A-shares and 4,554,000,000 H-shares[174]. - The company maintained a stable shareholding structure, with no changes in ordinary shares during the reporting period[175]. - The company actively engaged with investors through online meetings, with over 40,000 participants in the annual performance briefing[170]. - The company emphasizes board diversity, with 2 female members among 13 directors and 11 holding postgraduate degrees[167].