PAB(SZ:000001) ZHONGTAI SECURITIES·2024-08-19 04:03Investment Rating - The investment rating for the company is "Accumulate" [1] Core Views - The company reported a year-on-year revenue decline of 13.0% in the first half of 2024, while net profit increased by 1.9% [5][9] - The company is expected to benefit from structural adjustments and improved asset quality, with a long-term outlook of transforming into a high-quality bank [6] Summary by Sections Revenue and Profitability - The company's total revenue for the first half of 2024 was 145,606 million yuan, reflecting a year-on-year decrease of 13.0% [4][9] - Net profit for the same period was 47,497 million yuan, showing a year-on-year increase of 1.9% [4][9] - Net interest income decreased by 21.6% year-on-year, while non-interest income increased by 8.0% [5][9] Interest Income and Costs - The annualized net interest margin decreased by 10 basis points to 1.91% in the first half of 2024 [14] - The yield on interest-earning assets fell by 19 basis points to 4.06%, while the cost of liabilities decreased by 10 basis points to 2.20% [14][18] Asset and Liability Structure - The company continued to adjust its asset structure, with new loans primarily supported by corporate lending [20] - In the second quarter of 2024, new loans totaled 141.76 billion yuan, with corporate loans increasing by 115.17 billion yuan and retail loans decreasing by 89.22 billion yuan [20] Non-Interest Income - Non-interest income showed a significant increase of 56.7% year-on-year, primarily driven by other non-interest income [5][9] Asset Quality - The company reported an improvement in asset quality, with a non-performing loan generation rate of 2.18% in the second quarter, a slight decrease from the previous quarter [5][9]