JRCB(SZ:002807) EBSCN·2024-03-31 16:00Investment Rating - The report maintains a "Buy" rating for Jiangyin Bank [3][23]. Core Views - Jiangyin Bank's total assets, interest-earning assets, and loans grew by 10.2%, 10.1%, and 11.9% year-on-year, respectively, indicating a strong performance in the corporate lending sector while retail lending remains weak [4]. - The bank's non-interest income increased significantly by 51% year-on-year, with investment income being a major contributor [7]. - The bank's capital adequacy ratios improved, with the core Tier 1 capital ratio at 13.1% and the total capital adequacy ratio at 14.2% [8]. Financial Performance Summary - Revenue for 2023 was 3,865 million yuan, a 2.3% increase from the previous year, while net profit reached 1,888 million yuan, up 16.8% [18]. - The bank's EPS for 2023 was 0.87 yuan, with projections for 2024 and 2025 at 0.86 yuan and 0.97 yuan, respectively [29]. - The P/E ratio for 2023 is 4.26, with forecasts of 4.28 and 3.82 for 2024 and 2025 [29]. Asset Quality Summary - The non-performing loan (NPL) ratio remained stable at 0.98%, indicating strong asset quality [22]. - The provision coverage ratio was 396.4%, reflecting a robust ability to cover potential loan losses [29]. Capital and Funding Summary - The bank's funding structure shows a trend towards increased term deposits, with term deposits accounting for 60% of total deposits by year-end [19]. - The net interest margin (NIM) narrowed to 2.06%, down from 2.18% in the previous year, due to competitive pressures and lower loan pricing [5][21]. Strategic Outlook - Jiangyin Bank is focusing on expanding its retail and small business lending while maintaining a strong presence in corporate lending [23]. - The bank's strategy includes enhancing its market position through local expansion and improving its service offerings to small and micro enterprises [23].