SRCB(SH:601825) ZHONGTAI SECURITIES·2024-11-04 02:19Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company's performance in Q3 2024 shows improvement in growth rates, with revenue increasing by 0.4% year-on-year and net profit rising by 0.8% compared to the first half of 2024 [5][7] - The bank's asset and liability growth rates are recovering, with individual loan issuance showing signs of recovery [7][8] - The non-interest income has increased by 12.1% year-on-year, indicating a positive trend in this area [10] Summary by Relevant Sections Revenue and Profitability - In Q3 2024, the company's revenue increased by 0.4% year-on-year, while net profit rose by 0.8% [5] - The cumulative revenue growth for the company was 4.4% year-on-year, with net profit growth of 8.2% [5] Net Interest Income - The net interest income decreased by 1.6% quarter-on-quarter, with the annualized net interest margin declining by 3 basis points to 1.48% [7] - The yield on interest-earning assets fell by 4 basis points to 3.31%, while the cost of interest-bearing liabilities remained stable at 1.92% [7] Asset and Liability Growth - The growth rate of interest-earning assets increased by 7.3% year-on-year, with loans growing by 6% [7] - Individual loans saw a quarterly increase of 21.3 billion, reflecting a recovery in loan issuance [7] Non-Interest Income - Non-interest income grew by 12.1% year-on-year, with net fee income showing a reduction of 16.4% [10] - The growth in other non-interest income was significant, increasing by 33.5% year-on-year [10] Asset Quality - The non-performing loan ratio remained stable at 0.97%, indicating a solid asset quality [12][14] - The coverage ratio for provisions decreased to 364.98%, but overall safety margins remain high [14]