PAB(SZ:000001) EBSCN·2025-03-16 13:40Investment Rating - The report maintains an "Accumulate" rating for Ping An Bank (000001.SZ) with a current price of 11.97 CNY [1]. Core Insights - Ping An Bank's 2024 annual report shows a total operating income of 146.7 billion CNY, a year-on-year decrease of 10.9%, and a net profit attributable to shareholders of 44.5 billion CNY, down 4.2% year-on-year [3][4]. - The bank's net interest income decreased by 20.8% year-on-year, while non-interest income grew by 14% [4][10]. - The bank's non-performing loan (NPL) ratio remained stable at 1.06%, with a provision coverage ratio above 250% [11][12]. Financial Performance - For 2024, the bank's revenue and net profit decreased by 10.9% and 4.2% respectively, with a weighted average return on equity (ROE) of 10.08%, down 1.3 percentage points year-on-year [3][4]. - The bank's net interest margin (NIM) for 2024 was 1.87%, a decrease of 6 basis points from the previous year [9]. - The bank's total assets increased to 5.77 trillion CNY, with a loan balance of 3.37 trillion CNY, reflecting a year-on-year growth of 3.2% in interest-earning assets [27][28]. Business Segments - Retail financial services contributed 48.6% to revenue, down 9.8 percentage points from the previous year, while wholesale financial services increased their contribution to 43.5%, up 11 percentage points [5]. - The bank has actively reduced high-risk retail loans, with a focus on increasing mortgage and secured lending [6]. Capital Adequacy - As of the end of 2024, the core tier 1 capital adequacy ratio was 9.12%, with a total capital adequacy ratio of 13.11% [12][29]. - The bank's dividend payout ratio for 2024 was 27%, a slight decrease of 3 percentage points from the previous year [12]. Earnings Forecast - The earnings per share (EPS) estimates for 2025 and 2026 have been revised down to 2.24 CNY and 2.26 CNY respectively, with a new estimate for 2027 at 2.30 CNY [12][15].