ZHONGTAI SECURITIES·2025-09-01 02:42Investment Rating - The report maintains an "Accumulate" rating for the company [4] Core Views - The company's revenue growth rate is showing marginal improvement, primarily driven by non-interest income contributions, while net interest income has decreased [7] - The company has increased its dividend payout ratio to 30.7%, reflecting a positive outlook on profitability [7] - The report emphasizes the importance of the company's strategic focus on five leading areas: wealth management, comprehensive financing, transaction settlement, foreign exchange services, and digitalization [7] Summary by Sections Financial Performance - For 1H25, the company's revenue decreased by 3.0% year-on-year, but improved by 0.7 percentage points compared to 1Q25. The net profit attributable to shareholders increased by 2.8% year-on-year [7] - The company's net interest income decreased by 1.9% year-on-year, while net non-interest income fell by 5.1% [7] - The annualized net interest margin slightly decreased to 1.58% [7] Profitability Metrics - The forecasted net profit for 2025 is 69,905 million yuan, with a growth rate of 1.94% year-on-year [4] - The report projects a decline in return on equity (ROE) from 10.66% in 2024 to 9.94% in 2025 [4] Asset Quality - The non-performing loan (NPL) ratio remains stable at 1.16%, with a provision coverage ratio of 207.53% [7] - The report indicates a slight increase in the NPL generation rate to 1.11% for the first half of 2025 [7] Dividend Policy - The company has announced a mid-term dividend plan, distributing a cash dividend of 0.188 yuan per share, totaling 104.6 billion yuan, which is 30.7% of the net profit for the first half of 2025 [7] Valuation Metrics - The report estimates the price-to-earnings (P/E) ratio for 2025 at 6.75 and the price-to-book (P/B) ratio at 0.59 [4]