Investment Rating - The report maintains a "Buy" rating for the company [3] Core Insights - The company's annual performance for 2025 met expectations, with total revenue of 37.731 billion RMB, a year-on-year decrease of 5.17%. Interest income was 21.807 billion RMB, an increase of 2.95%, and net profit attributable to shareholders was 3.889 billion RMB, up 0.67% year-on-year [9] - The net interest margin expanded significantly, benefiting from both volume and price contributions. The average balance of interest-earning assets increased by 1.36% to 266.438 billion RMB, while the net interest margin reached 4.39%, up 33 basis points from the first half of 2025 [9] - The company plans to distribute a dividend of 0.31 HKD per share, resulting in a dividend payout ratio of 61%, which is an increase of 6 percentage points from 2024 [9] Financial Forecasts - Total revenue projections for 2026, 2027, and 2028 are 37.828 billion RMB, 38.201 billion RMB, and 38.734 billion RMB, respectively, with growth rates of 0.26%, 0.98%, and 1.40% [2] - Net profit attributable to shareholders is expected to be 3.939 billion RMB, 4.046 billion RMB, and 4.151 billion RMB for the same years, with growth rates of 1.29%, 2.73%, and 2.58% [2] - The company's price-to-earnings (PE) ratio is projected to decrease from 7.75 in 2025 to 7.26 by 2028, while the price-to-book (PB) ratio remains stable around 0.61 [2][10]
远东宏信：利差明显走扩，分红比例提升-20260312