HZBank(SH:600926) Guoxin Securities·2026-01-24 13:33Investment Rating - The investment rating for Hangzhou Bank is "Outperform the Market" [5] Core Views - The company continues to demonstrate high growth, with a net profit increase of 12.1% year-on-year, reaching 19.03 billion yuan in 2025 [1][2] - Net interest income showed a strong growth of 12.8%, while non-interest income declined by 19.5%, primarily due to significant losses in trading accounts [1][2] - The bank's asset quality remains strong, with a non-performing loan ratio of 0.76% and a provision coverage ratio of 502% [2] Financial Performance Summary - In 2025, the total revenue was 38.799 billion yuan, a year-on-year increase of 1.1% [1] - The total assets reached 2.36 trillion yuan, with loans and deposits growing by 14.3% and 13.2% respectively [2] - The forecast for net profit in 2026 and 2027 has been adjusted to 21.3 billion yuan and 24.1 billion yuan, reflecting a growth rate of 12.0% and 13.2% respectively [2][4] Financial Metrics - The diluted earnings per share (EPS) for 2025 is projected at 3.03 yuan, with a price-to-book (PB) ratio of 0.90 [4][9] - The bank's return on equity (ROE) is expected to be 15.6% in 2025, with a return on assets (ROA) of 0.85% [9] - The dividend payout ratio is projected to increase, with a dividend per share (DPS) of 0.77 yuan in 2025 [9]