INDUSTRIAL BANK(SH:601166) Nan Fang Du Shi Bao·2025-08-29 02:57Core Viewpoint - The performance report of Industrial Bank for the first half of 2025 shows a slight decline in revenue but a positive turnaround in net profit growth, indicating resilience amidst industry challenges [1][2][9]. Financial Performance - The bank achieved operating income of 1,104.58 billion yuan, a year-on-year decrease of 2.29%, with the decline narrowing by 1.29 percentage points compared to the first quarter [1][2]. - Net profit attributable to shareholders reached 431.41 billion yuan, reflecting a year-on-year growth of 0.21%, reversing the negative trend from the first quarter [1][2]. - The net interest margin stood at 1.75%, down 7 basis points from the previous year, but still above the industry average of 1.42% for commercial banks and 1.55% for joint-stock banks [2][3]. Asset Quality - Total assets reached 10.61 trillion yuan, growing by 1.01% from the end of the previous year, while non-performing loans amounted to 634.93 billion yuan, increasing by 20.16 billion yuan [1][4][7]. - The non-performing loan ratio was stable at 1.08%, unchanged from the first quarter and up 0.01 percentage points from the end of the previous year [1][7]. - The bank's provision coverage ratio was 228.54%, indicating a strong capacity to absorb potential losses [7]. Loan and Deposit Trends - Customer deposits totaled 5.87 trillion yuan, up 6.10% from the end of the previous year, with a deposit interest rate of 1.76%, down 22 basis points year-on-year [4][5]. - The loan balance reached 59,034.33 billion yuan, a growth of 2.91% from the previous year, with corporate loans making up 62.15% of the total [5][6]. - Green loans exceeded 1 trillion yuan, reaching 1,075.63 billion yuan, with a growth rate of 15.61% [6]. Non-Interest Income - Non-interest income was reported at 367.03 billion yuan, a decrease of 3.80% year-on-year, primarily due to market interest rate fluctuations [3][6]. - Fee and commission income increased by 2.59% to 130.75 billion yuan, driven by enhanced customer service capabilities [3][6]. Strategic Developments - The establishment of the Industrial Bank Asset Investment Company (AIC) has been approved, aimed at enhancing support for technology and private enterprises, thereby optimizing the bank's asset structure [8][9]. - The bank continues to focus on maintaining a competitive edge in green finance, wealth management, and investment banking, while also developing its technology finance capabilities [6][9].