2020-03-20 16:00Dividend Policy - The company plans to distribute a cash dividend of RMB 2.00 per 10 shares to all ordinary shareholders, subject to the approval of the 2019 annual general meeting[2]. - The proposed cash dividend for 2019 is RMB 2.00 per 10 shares, totaling approximately RMB 901.94 million, which represents 51.11% of the net profit attributable to ordinary shareholders[196]. - In 2018, the cash dividend was also RMB 2.00 per 10 shares, with a total payout of RMB 902 million, accounting for 59.37% of the net profit[196]. - For 2017, the cash dividend was RMB 2.00 per 10 shares, with a total distribution of RMB 811.74 million, which was 42.72% of the net profit[196]. - The total distributable profit for 2019 was RMB 3.11 billion, with cash dividends constituting 100% of the profit distribution[197]. - The company has committed to maintaining a minimum cash dividend ratio of 80% during profit distribution[197]. - The company has distributed RMB 520 million in dividends to overseas preferred shareholders as of September 19, 2019[197]. - The cash dividend for H shares will be paid in Hong Kong dollars, based on the average exchange rate published by the People's Bank of China[197]. Financial Performance - Net interest income increased by 53.36% to RMB 6,846,055 thousand from RMB 4,464,029 thousand in 2018[13]. - Total operating income rose by 30.44% to RMB 9,616,315 thousand compared to RMB 7,371,953 thousand in the previous year[13]. - Net profit attributable to shareholders increased by 12.92% to RMB 2,284,815 thousand from RMB 2,023,352 thousand in 2018[13]. - Total assets reached RMB 373,622,150 thousand, reflecting a growth of 17.62% from RMB 317,658,502 thousand in 2018[14]. - Customer loans increased by 36.72% to RMB 172,795,443 thousand compared to RMB 126,386,870 thousand in 2018[14]. - Total liabilities amounted to RMB 343,144,232 thousand, an increase of 18.26% from RMB 290,161,778 thousand in 2018[14]. - Total customer deposits grew by 21.13% to RMB 212,790,909 thousand from RMB 175,675,849 thousand in 2018[14]. - Basic earnings per share rose by 5.41% to RMB 0.39 from RMB 0.37 in the previous year[12]. - The bank's core tier 1 capital increased by 15.34% to RMB 22,224,697 thousand from RMB 19,268,600 thousand in 2018[15]. - The bank's total capital net amount reached RMB 39,252,505 thousand, reflecting an increase of 8.97% from RMB 36,021,656 thousand in 2018[15]. - The bank's net profit for the year was CNY 2.336 billion, a growth of 14.3% compared to the previous year[27]. - Operating income for the year was CNY 9.616 billion, an increase of 30.44%[25]. Risk Management - The report emphasizes the importance of risk management and outlines the main risks and corresponding measures taken by the company[3]. - The company has established a large credit review committee to manage concentration risk and prevent large credit risks[114]. - The company has implemented a risk warning mechanism for group clients to monitor and mitigate risks effectively[114]. - The company has strengthened credit risk management by implementing a unified credit approval system and enhancing risk identification and monitoring processes[175]. - The liquidity risk management policy ensures sufficient cash flow to meet obligations, with a focus on optimizing asset-liability structure and increasing self-operated deposits[177]. - The company conducts quarterly stress tests to assess liquidity risk, achieving a minimum survival period of not less than 30 days under various scenarios[177]. - Market risk management has been enhanced by establishing a comprehensive system to monitor interest rate and exchange rate risks, in compliance with Basel III requirements[178]. - Interest rate risk is managed through methods such as repricing gap analysis and duration analysis, leading to a rapid growth in net interest income[180]. Asset Quality - The non-performing loan ratio decreased to 1.65% in 2019 from 1.68% in 2018, indicating improved asset quality[16]. - The total amount of non-performing loans was RMB 2.852 billion, an increase of RMB 734 million from the previous year[99]. - The bank's loan impairment provision balance at the end of 2019 was CNY 4,422,549 thousand, an increase of CNY 865 million or 24.31% year-on-year[111]. - The bank's provision coverage ratio was 155.09%, down 12.95 percentage points from the previous year[111]. - The company's loan quality improved, with the proportion of normal loans increasing to 94.86% of total loans[100]. - The overdue loans amounted to CNY 2,495,450 thousand, with an overdue loan ratio of 1.44%, a decrease of 2.00 percentage points from the beginning of the year[109]. Customer and Market Expansion - The bank's retail loans reached CNY 54,508,817 thousand, accounting for 31.55% of the total loan portfolio[104]. - The number of retail customers increased to 4.582 million, a growth of 503,700 customers or 12.35% year-on-year[155]. - The bank's corporate banking revenue was CNY 5.267 billion, a year-on-year increase of 36.30%[161]. - The bank's micro-loan business issued loans totaling CNY 19.048 billion, with a year-end balance of CNY 10.831 billion, an increase of 38.50%[158]. - The bank's smart branch project is underway, focusing on customer-centric services and intelligent processes[155]. - The bank's technology personnel accounted for 3.75% of the total workforce, totaling 152 employees[172]. Strategic Initiatives - The company aims to enhance wholesale business capabilities and expand customer base in retail business as part of its 2020 strategic initiatives[190]. - The focus for 2020 includes improving service capabilities and enhancing financial market collaboration[190]. - The company plans to optimize branch efficiency and strengthen virtual channel functionalities in the upcoming year[190]. - The management emphasizes the importance of maintaining a balance between growth and risk, ensuring coordinated development of scale, efficiency, and quality[189]. Regulatory Compliance - The company operates under the supervision of the China Banking and Insurance Regulatory Commission[6]. - The bank's stock was listed on the Shenzhen Stock Exchange in 2019, becoming the first A-share listed bank in the province and the second A+H listed urban commercial bank in the country[31].