Tianfeng Securities·2025-09-01 13:13Investment Rating - The investment rating for the company is "Buy" (maintained) [8] Core Views - The company's revenue showed steady improvement, with a 3.76% year-on-year increase in revenue for the first half of 2025, reaching approximately 329 billion CNY [2][13] - The net interest income decreased by 5.27% year-on-year, while non-interest income increased by 26.43%, indicating a shift in revenue structure [2][3] - The company is expected to see a gradual increase in net profit attributable to shareholders, with projected growth rates of 0.61%, 3.26%, and 3.81% for 2025-2027 [5] Financial Performance - For the first half of 2025, the company reported a net interest margin of 1.26%, down 3 basis points from the first quarter of 2025 [2][15] - The total interest-earning assets amounted to 35.69 trillion CNY, reflecting a year-on-year growth of 8.84% [4][22] - The non-performing loan ratio stood at 1.24%, with a provision coverage ratio of 197.4% [4][27] Revenue Structure - The revenue structure for the first half of 2025 consisted of net interest income at 214.82 billion CNY (65.29% of total revenue) and non-interest income at 114.19 billion CNY [2][3] - The company’s fee and commission income increased by 9.17% year-on-year, while investment income decreased by 14.72% [3][21] Asset and Liability Management - The company’s interest-bearing liabilities reached 31.24 trillion CNY, a year-on-year increase of 5.10% [4][26] - The average cost of deposits decreased to 1.74%, down 25 basis points from the end of 2024 [3][20] - The proportion of demand deposits increased to 42.73%, reflecting a growth of 11.63% year-on-year [25][26] Asset Quality - The overall non-performing loan ratio for corporate loans was recorded at 1.19%, showing improvement compared to the end of 2024 [27][29] - Retail loan non-performing rates increased slightly to 1.15% [28][30]