Changshu Bank(SH:601128) Guoxin Securities·2025-10-30 03:27Investment Rating - The investment rating for the company is "Outperform the Market" [5] Core Views - The company achieved a revenue of 9.05 billion yuan in the first three quarters of 2025, representing a year-on-year growth of 8.15%, with a net profit of 3.56 billion yuan, up 12.82% year-on-year [1][3] - The non-performing loan ratio remained stable at 0.76%, and the company released profits due to a decrease in asset impairment losses [1][2] - The net interest margin showed a year-on-year increase of 2.4%, indicating improved deposit cost management [2][3] Summary by Sections Financial Performance - Revenue for the first three quarters of 2025 was 90.5 billion yuan, with a 4.41% growth in Q3 [1] - Net profit reached 35.6 billion yuan, with a Q3 growth of 11.86% [1] - Annualized weighted ROE was 15.02%, the highest since the company was listed [1] Loan Growth - Total loans amounted to 256.8 billion yuan, growing 7.1% year-on-year, with corporate and personal loans increasing by 10.6% and 2.5% respectively [2] - Personal operating loans showed a quarterly increase, indicating a marginal improvement in retail credit demand [2] Profitability Metrics - The net interest margin for the first three quarters was 2.57%, with a slight decrease from the previous half-year but a narrowing year-on-year decline [2] - The company is expected to maintain a net profit growth of 13.1% to 16.4% from 2025 to 2027 [3][4] Valuation - The projected PB values for 2025-2027 are 0.71x, 0.64x, and 0.56x respectively, indicating potential undervaluation [3][4] - The company is focusing on a strategy of small and scattered lending, which is expected to enhance its medium to long-term growth prospects [3]