2 1 Shi Ji Jing Ji Bao Dao·2025-08-30 03:11Core Viewpoint - The banking industry is experiencing marginal improvement in the first half of 2025, but faces challenges such as low growth, low demand, and low interest margins, with intensified homogeneous competition [1] Financial Performance - In the first half of 2025, Zheshang Bank reported operating income of 33.248 billion yuan, a year-on-year decrease of 5.76%, and net profit attributable to shareholders of 7.667 billion yuan, down 4.15% year-on-year [2] - As of the end of June, the bank's total assets reached 3.35 trillion yuan, an increase of 0.63% from the end of the previous year, with total loans and advances amounting to 1.89 trillion yuan, up 1.69% [2] Challenges and Strategic Adjustments - The bank's management identified three main reasons for the slowdown in growth and fluctuations in performance indicators: high previous growth leading to a high base, a proactive adjustment of growth targets, and a shift in asset structure towards lower-risk, lower-yield assets [3] - The bank's non-performing loan ratio improved to 1.36% by the end of June, down from 1.38% at the beginning of the year [3] - Total deposits increased by 7.47% year-on-year to 20.658 trillion yuan, with the deposit interest rate decreasing by 31 basis points to 1.88% [3] Interest Margin and Non-Interest Income - The net interest margin for Zheshang Bank was 1.69%, narrowing by 2 basis points since the beginning of the year, while the industry average fell from 1.52% to 1.42% [4] - Non-interest income declined due to fluctuations in the bond market, with investment interest income down 5.01% year-on-year to 12.597 billion yuan [5][4] Investment Strategy - The bank plans to enhance trading frequency, optimize asset allocation, and strengthen market risk management to address challenges in investment returns [6][8] - A dynamic hedging mechanism for bond market value will be established to mitigate the impact of interest rate fluctuations on revenue and capital regulatory indicators [8] Service Differentiation and Regional Focus - The bank aims to strengthen customer service capabilities and create differentiated competitive advantages by providing tailored service solutions [9] - The corporate banking segment contributed 57% of total revenue, with a significant increase in corporate deposits and customer base [9] - The bank has initiated a three-year action plan to deepen its service in Zhejiang province, with financing services totaling 1.12 trillion yuan in the first half of 2025, surpassing last year's total [11][12] Future Initiatives - The bank will focus on government, enterprise, and resident sectors to enhance service offerings and support regional economic development [12]