Financial Performance - Bank of Zhengzhou reported an unaudited consolidated interim performance for the six months ended June 30, 2023[1]. - Operating revenue for the first half of 2023 was RMB 6,903,597, a decrease of 8.74% compared to RMB 7,564,388 in the same period of 2022[14]. - Net profit attributable to shareholders was RMB 2,046,633, down 19.14% from RMB 2,531,066 in the previous year[14]. - The bank achieved a net profit of RMB 2.114 billion for the reporting period, a decrease of 19.67% compared to the previous year[34]. - Total operating income decreased to RMB 6.904 billion, reflecting a decline of 8.74% from the previous year[35]. - Non-interest income fell to RMB 978 million, a significant drop of 25.85% year-on-year[35]. - Net interest income was RMB 5.926 billion, down 5.12% year-on-year, accounting for 85.84% of total operating income[36]. - The bank's operating profit decreased by 22.80% to RMB 2.503 billion compared to the same period last year[35]. Assets and Liabilities - Total assets increased by 4.28% to RMB 616,859,397 from RMB 591,513,618 at the end of 2022[14]. - The bank's total liabilities amounted to RMB 561.95 billion, an increase of RMB 23.06 billion or 4.28% compared to the end of the previous year[81]. - Customer deposits totaled RMB 353.41 billion, reflecting an increase of RMB 15.71 billion or 4.65% from the previous year-end[83]. - The total amount of loans and advances increased by 6.11% to RMB 351,144,063 from RMB 330,921,097 at the end of 2022[14]. - The bank's total equity reached RMB 54.91 billion, up RMB 2.29 billion or 4.35% from the end of the previous year[86]. Capital and Dividends - The bank plans not to distribute cash dividends or bonus shares for the first half of 2023[4]. - The bank's capital reserve will be converted into shares at a ratio of 1 share for every 10 shares held, as part of the 2022 annual dividend distribution plan[6]. - The total number of issued shares increased from 8,265,537,599 to 9,092,091,358 shares due to a capital reserve conversion of 826,553,759 shares[181]. - The company implemented a capital reserve conversion, increasing the number of ordinary shares from 8,265,537,599 to 9,092,091,358, resulting in a 10% increase in shares[182]. Risk Management - The report indicates no significant risks affecting the bank's future development strategy and operational goals[4]. - The bank's non-performing loan ratio improved slightly to 1.87% from 1.88% at the end of 2022[15]. - The bank's liquidity coverage ratio decreased significantly to 205.17% from 300.13% at the end of 2022[16]. - The bank's risk management framework has been continuously optimized to enhance risk management capabilities and effectiveness[165]. - The bank has implemented online monitoring for information technology risk management, enhancing the identification of potential risks[172]. Economic Context - In the first half of 2023, China's GDP reached RMB 59.3 trillion, growing by 5.5% year-on-year, with the primary, secondary, and tertiary industries growing by 3.7%, 4.3%, and 6.4% respectively[20]. - The total retail sales of consumer goods in China increased by 8.2% year-on-year in the first half of 2023, indicating a recovery in consumer spending[20]. - The total amount of social financing in the first half of 2023 was RMB 21.55 trillion, an increase of RMB 475.4 billion compared to the previous year[23]. Customer and Market Engagement - The bank has served over 190,000 rural residents and individual businesses, adding more than 30,000 new high-quality customers during the reporting period[26]. - The bank's focus on high-quality development has led to enhanced customer management, resulting in 10,830 new corporate accounts opened during the reporting period[139]. - The bank's mobile banking customer base reached 3.2 million, a growth of 16% compared to the end of the previous year[162]. - The bank's electronic channels have opened 70,000 accounts, with transaction amounts reaching RMB 7.3 trillion during the reporting period[151]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period is 99,731, with 99,677 being A-share shareholders and 54 being H-share shareholders[188]. - The largest shareholder, Hong Kong Central Clearing (Agent) Co., Ltd., holds 22.22% of H shares, totaling 2,020,248,927 shares, with an increase of 183,660,203 shares during the reporting period[189]. - Zhengzhou Investment Holding Co., Ltd. holds 6.69% of A shares, totaling 608,105,180 shares, with an increase of 55,282,289 shares during the reporting period[189]. - The report indicates that there are no dilutive potential ordinary shares affecting the earnings calculations[186]. Strategic Initiatives - The bank is focused on digital financial innovation, enhancing the customer experience in online and offline consumption loans[26]. - Zhengzhou Bank aims to build a platform-based financial ecosystem by integrating trade, information, capital, and logistics flows[28]. - The bank's strategy includes supporting stable and healthy development in the real estate sector and promoting policy-oriented financial innovation[178]. - The bank has implemented measures to strengthen anti-money laundering management, including the revision of 2 internal control systems and the enhancement of risk monitoring capabilities[175].
郑州银行(06196) - 2023 - 中期业绩