2024年一季报点评：零售业务整装再出发

Investment Rating - The investment rating for Ping An Bank is upgraded to "Accumulate" from "Buy" [1] Core Views - The report highlights that Ping An Bank is undergoing a transformation in its retail business, focusing on a stable business model while actively reducing high-risk retail loans. This transition is expected to lead to a period of adjustment, which is necessary for solidifying future business development [9] Financial Performance - In Q1 2024, Ping An Bank achieved operating revenue of 38.8 billion, a year-on-year decrease of 14%, while net profit attributable to shareholders was 14.9 billion, a year-on-year increase of 2.3% [4][5] - The weighted average return on equity (ROE) was 13.36%, down 1.02 percentage points year-on-year [4] Revenue Composition - The main components of revenue showed a significant decline in net interest income, which fell by 21.7% year-on-year, primarily due to slowed expansion and narrowed interest margins. Non-interest income, however, grew by 4.9% year-on-year, supported by net other non-interest income [5][8] Deposit and Loan Growth - Deposit growth was weaker than the same period last year, with new interest-bearing liabilities added in Q1 2024 amounting to 85.8 billion, a decrease of 27.5 billion year-on-year. The balance of deposits showed a year-on-year growth rate decline of 0.5% [6] - The loan growth rate was also subdued, with total loans increasing by only 1.2% year-on-year, reflecting a strategic shift towards more stable business practices [7] Asset Quality - The non-performing loan (NPL) ratio slightly increased to 1.07%, with the bank actively managing problem assets and writing off 17.7 billion in loans during the quarter [8][14] - The provision coverage ratio decreased to 261.7%, indicating a reduction in the bank's buffer against potential loan losses [8][15] Capital Adequacy - As of Q1 2024, the capital adequacy ratios showed improvement, with the core tier one capital ratio at 9.59%, up 37 basis points from the end of the previous year [8][15] Earnings Forecast - The earnings per share (EPS) forecast for 2024-2026 is maintained at 2.45, 2.54, and 2.67 yuan respectively, with the current stock price corresponding to a price-to-book (PB) ratio of 0.48, 0.44, and 0.41 times [9][10]