Changshu Bank(601128) 国信证券·2024-08-21 03:40Investment Rating - The investment rating for the company is "Outperform the Market" [4][7] Core Views - The company has shown continuous high growth, with revenue of 5.505 billion yuan in the first half of 2024, representing a year-on-year increase of 12.0%, and a net profit of 1.734 billion yuan, up 19.6% year-on-year [1] - The company is deepening its strategy of focusing on small and scattered loans, which has led to a slight narrowing of the net interest margin [1] - Retail loan growth has slowed, prompting the company to increase its allocation to corporate loans and non-credit assets [1] - The asset quality remains strong, with a non-performing loan ratio of 0.76% as of June, unchanged from March [1] Financial Performance Summary - Revenue and net profit forecasts for 2024-2026 are 10.949 billion yuan, 3.904 billion yuan, 12.389 billion yuan, 4.589 billion yuan, and 14.296 billion yuan, 5.602 billion yuan respectively, with corresponding year-on-year growth rates of 10.9%, 19.0%, 13.2%, 17.5%, and 15.4% [2][5] - The annualized weighted average ROE for the first half of 2024 is 13.28% [1] - The total assets as of June 2024 are 367.3 billion yuan, an increase of 9.8% from the beginning of the year [1] Loan and Asset Quality - The total loan amount reached 238.9 billion yuan, growing 7.4% year-to-date, with corporate loans increasing by 14.6% and retail loans by 3.1% [1] - The company has a strict non-performing loan recognition policy, with a coverage ratio of 539% as of June [1][5]