Bank of Ningbo(SZ:002142)2024-08-29 08:43Investment Rating - The report maintains a "Buy" rating for Ningbo Bank [4][9][10] Core Views - Ningbo Bank's revenue for the first half of 2024 reached 34.44 billion yuan, a year-on-year increase of 7.1%, while net profit attributable to shareholders grew by 5.4% [4][9] - The increase in net interest income significantly supported revenue growth, although a rise in the effective tax rate temporarily impacted profit growth [4][10] - The bank's asset quality remains stable, with a non-performing loan ratio holding steady at 0.76% in the second quarter of 2024 [4][9] Financial Data and Earnings Forecast - Total operating income (in million yuan) is projected to be 57,879.00 in 2024E, with a year-on-year growth rate of 9.67% [3] - Net profit attributable to shareholders is expected to reach 23,075.00 million yuan in 2024E, reflecting an 18.05% year-on-year growth [3] - The bank's return on equity (ROE) is forecasted to be 15.53% in 2024E, with a price-to-earnings (P/E) ratio of 6.07 [3][10] Key Performance Indicators - The bank's net interest income increased by 14.7% in the first half of 2024, contributing 9.3 percentage points to revenue growth [4][10] - Non-interest income declined by 5.7%, primarily due to a 25% drop in fee income [4][10] - The effective tax rate increased by 4.4 percentage points, mainly due to deferred tax expenses related to unrealized gains on financial assets [5][10] Loan Growth and Asset Quality - Total loans increased by 1,566 billion yuan in the first half of 2024, with corporate loans contributing over 70% of the new loans [4][9] - The non-performing loan generation rate is estimated to be around 1% for the first half of 2024, with retail loans showing a rising trend in non-performing rates [4][9] - The bank's provision coverage ratio decreased to 420.5% in the second quarter of 2024, down 11.1 percentage points from the previous quarter [4][9]