宁波银行：息差韧性凸显，资产质量保持优异

Investment Rating - The investment rating for the company is "Strong Buy" (maintained) [1][16] Core Views - The company has demonstrated resilience in net interest margin and maintained excellent asset quality [1] - Revenue growth has rebounded, with net interest income increasing against the trend, while non-interest income has slightly declined [4] - The company is expected to maintain high profitability levels, supported by a diversified shareholding structure and a stable management team [9] Financial Performance Summary - For the first three quarters of 2024, the company achieved operating income of 50.8 billion yuan, a year-on-year increase of 7.4%, and a net profit attributable to shareholders of 20.7 billion yuan, up 7.0% year-on-year [3][4] - The annualized weighted average ROE was 14.05% as of the end of Q3 2024 [3] - Total assets reached 3.07 trillion yuan, with loans amounting to 1.46 trillion yuan and total deposits of 1.86 trillion yuan [3] Margin and Growth Metrics - The net interest margin for Q3 2024 was 1.85%, with a slight decrease of 4 basis points year-on-year [5] - The company’s total asset size grew by 14.9% year-on-year, with loan growth at 19.6% [5] - Total deposits increased by 17.6% year-on-year, maintaining a strong growth rate [5] Asset Quality Indicators - The non-performing loan (NPL) ratio remained stable at 0.76%, indicating low absolute levels of bad loans [8] - The annualized NPL generation rate for the first three quarters was 1.16% [8] - The coverage ratio for provisions was 405%, reflecting a solid buffer against potential loan losses [8] Future Earnings Projections - The company’s earnings per share (EPS) for 2024-2026 are projected to be 4.10, 4.49, and 4.95 yuan, respectively, with corresponding growth rates of 6.1%, 9.6%, and 10.2% [9][12] - The price-to-book (P/B) ratios for the same period are expected to be 0.89x, 0.78x, and 0.69x, indicating attractive valuation levels [9]