NJBK(601009) 光大证券·2024-10-24 02:10Investment Rating - The report maintains a "Buy" rating for Nanjing Bank (601009.SH) with a current price of 10.30 CNY [1]. Core Views - Nanjing Bank's revenue and profit have shown steady growth, with a 8% year-on-year increase in revenue to 38.56 billion CNY and a 9% increase in net profit to 16.66 billion CNY for the first three quarters of 2024 [1][4]. - The bank's return on average equity (ROAE) stands at 15.1%, a slight decrease of 0.2 percentage points year-on-year [1]. - Shareholder confidence is reflected in increased shareholdings, with significant purchases made by major shareholders [8]. Summary by Sections Revenue and Profit Growth - For the first three quarters of 2024, Nanjing Bank's revenue, pre-provision profit, and net profit grew by 8%, 10.1%, and 9% respectively, indicating stable growth compared to the first half of 2024 [4]. - Net interest income and non-interest income growth rates were -1.4% and 19.8%, showing improvements in non-interest income compared to the previous half [4]. Deposit and Loan Trends - As of Q3 2024, the bank's interest-bearing liabilities and deposits grew by 13.5% and 4.5% year-on-year, with a decrease in deposits of 15.9 billion CNY in the quarter [5][6]. - The bank maintained a high loan growth rate, with a year-on-year increase of 13.7% in loans, and a significant rise in retail loans due to new credit card products [6]. Asset Quality and Risk Management - The non-performing loan (NPL) ratio remained low at 0.83%, with a strong risk coverage capability indicated by a provision coverage ratio of 340.4% [7][15]. - The bank's capital adequacy ratios improved, with the core tier 1 capital ratio reaching 9.0% [8][16]. Future Outlook and Valuation - The bank's net profit growth forecasts for 2024-2026 are set at 7.7%, 9.2%, and 10.7%, with adjusted earnings per share (EPS) estimates of 1.86, 2.03, and 2.25 CNY respectively [8][10]. - The current price-to-book (PB) and price-to-earnings (PE) ratios are projected to be 0.71, 0.65, and 0.59, and 5.54, 5.07, and 4.58 for the respective years [10][17].