HUA XIA BANK(SH:600015) Xin Lang Cai Jing·2025-10-24 06:41Core Viewpoint - Huaxia Bank's management expresses confidence in the bank's future development despite a decline in revenue and net profit for the first three quarters of 2025, as evidenced by significant share purchases by executives [1][2]. Financial Performance - For the first three quarters of 2025, Huaxia Bank reported operating income of 64.881 billion yuan, a year-on-year decrease of 8.79%, and a net profit attributable to shareholders of 17.982 billion yuan, down 2.86% [1]. - The bank's total assets reached 4,586.358 billion yuan by the end of September, an increase of 209.867 billion yuan since the beginning of the year [1]. Market Value Management - Huaxia Bank's current price-to-book ratio stands at 0.36, below the industry average. The management emphasizes that market value management is a long-term and systematic effort [2]. - The bank has implemented a value enhancement plan aimed at improving operational efficiency, profitability, and investor relations, alongside maintaining stable cash dividends and encouraging share purchases by major shareholders [2]. Dividend Policy - In the first half of 2025, Huaxia Bank executed a cash dividend plan with a total payout exceeding that of 2023. The proposed mid-2025 dividend is 1.00 yuan per share, totaling 1.591 billion yuan [4]. Asset Quality and Risk Management - As of the end of Q3 2025, Huaxia Bank's non-performing loan (NPL) ratio was 1.58%, a slight decrease of 0.02 percentage points from the beginning of the year. The bank aims to enhance asset quality management and reduce NPLs through various measures [5][6]. - The bank's provision coverage ratio was 149.33%, down 12.56 percentage points from the start of the year, indicating a need for continued focus on risk management [6]. Revenue Decline Factors - The bank's revenue decline in Q3 2025 was primarily attributed to fluctuations in the bond market, which negatively impacted fair value changes. The bank reported a fair value change loss of 4.505 billion yuan, a decrease of 7.831 billion yuan year-on-year [7]. - Despite the revenue drop, cost control measures and a release of provisions supported net profit growth in Q3 2025 [7].