Changshu Bank(SH:601128) EBSCN·2025-10-30 02:38Investment Rating - The report maintains a "Buy" rating for the company [1]. Core Insights - The company demonstrated strong resilience in performance growth, with a revenue of 9.05 billion and a net profit of 3.36 billion for the first three quarters of 2025, reflecting year-on-year growth rates of 8.2% and 12.8% respectively [5]. - The report highlights a slowdown in revenue growth while maintaining double-digit profit growth, with net interest income and non-interest income growth rates of 2.4% and 35.3% respectively [6]. - The bank's asset and loan growth rates were 11.6% and 7.1% year-on-year, indicating stable credit growth [7]. - Deposit growth was steady, but there are signs of a slowdown in the trend towards term deposits, with a year-on-year growth rate of 9.7% [8]. - The net interest margin (NIM) for the first three quarters was 2.57%, with a narrowing decline in the margin observed [8]. - Non-interest income grew by 35% year-on-year, but its proportion of total revenue decreased to 21.9% [9]. - The bank's non-performing loan (NPL) ratio remained low at 0.76%, indicating strong risk coverage capabilities [10]. - The capital adequacy ratios showed marginal improvement, with a core Tier 1 capital ratio of 11.14% [11]. - The report forecasts EPS for 2025-2027 at 1.28, 1.42, and 1.50 respectively, with corresponding PB valuations of 0.7, 0.62, and 0.56 [12]. Summary by Sections Financial Performance - For the first three quarters of 2025, the company achieved a revenue of 90.5 billion, a year-on-year increase of 8.2%, and a net profit of 33.6 billion, up 12.8% [5]. - The weighted average return on equity (ROAE) was 15.02%, an increase of 0.06 percentage points year-on-year [5]. Revenue and Profitability - Revenue growth slowed, with year-on-year growth rates for revenue, pre-provision profit, and net profit at 8.2%, 10.1%, and 12.8% respectively [6]. - The bank's net interest income and non-interest income growth rates were 2.4% and 35.3%, respectively [6]. Asset Quality and Risk Management - The NPL ratio was stable at 0.76%, with a provision coverage ratio of 463% [10]. - The bank's risk compensation ability remains robust, with a decrease in the provision for loan losses [10]. Capital Adequacy - The core Tier 1 capital ratio improved to 11.14%, with a total capital adequacy ratio of 13.66% [11]. Earnings Forecast - The report maintains EPS forecasts for 2025-2027 at 1.28, 1.42, and 1.50, with corresponding PB valuations of 0.7, 0.62, and 0.56 [12].