Xin Lang Cai Jing·2025-10-09 09:23Core Viewpoint - The company reported its 2025 semi-annual results, showing stable revenue growth but a slight decline in net profit, with a focus on maintaining asset quality and managing interest margin pressures. Financial Performance - In the first half of 2025, the company achieved operating revenue of 427.09 billion yuan (+1.57% YoY) and a net profit attributable to shareholders of 168.10 billion yuan (-1.39% YoY) [1] - As of the end of Q2, total assets reached 52.32 trillion yuan (+11.04% YoY) and total loans were 30.19 trillion yuan (+8.44% YoY) [1] - The non-performing loan (NPL) ratio remained stable at 1.33%, while the NPL coverage ratio increased to 217.71% (+2.01 percentage points QoQ) [1] Loan and Investment Trends - Government financing has driven rapid growth in investment assets, while loan growth has marginally slowed due to demand factors [2] - The company’s loan growth outpaced the industry average, reflecting its leading position [2] - The company saw a significant year-on-year increase of 46.5% in repurchase agreements, contributing positively to total assets [2] Interest Margin and Fee Income - The net interest margin for Q2 was 1.27%, showing a decrease of 6 basis points QoQ and 11 basis points YoY, indicating a trend towards stabilization in interest margin pressures [3] - Fee and commission income turned positive YoY, driven by strong growth in corporate wealth management and a narrowing decline in settlement and investment banking fees [4] Asset Quality and Risk Management - The overall asset quality remains robust, with the NPL ratio at a near-record low and a decrease in the attention rate due to proactive risk management [5] - The company has maintained a cautious approach to risk disposal, with a high NPL write-off ratio of 13.44% [5] Profit Forecast and Investment Recommendations - The company expects stable operating revenue growth for 2025-2027, with projected revenues of 829.2 billion yuan, 834.4 billion yuan, and 887.3 billion yuan respectively [6] - The net profit forecasts for the same period are 369.5 billion yuan, 375.8 billion yuan, and 383.5 billion yuan, reflecting a gradual increase [6] - The company maintains a "buy" rating based on its strong customer base, diversified business, and stable dividend yield [6]