Bank of Ningbo(002142) 东方证券·2024-04-30 05:32Investment Rating - The report maintains a "Buy" rating for Ningbo Bank with a target price of 27.31 CNY per share, based on a 35% discount to the historical PB (FY1) central value of 1.32x, resulting in a 24-year PB of 0.90x [2][4] Core Views - Revenue structure optimization with marginal improvement in net interest income growth: Net interest income growth increased by 3.2pct to 12.2% YoY in 24Q1, driven by scale expansion and stable interest margins [1] - Corporate loan growth supports accelerated credit expansion: Corporate loans grew by 5.5pct YoY, contributing significantly to the total loan growth of 24.2% in 24Q1 [1] - Net interest margin (NIM) rebounded by 2bp to 1.90% in 24Q1, attributed to stabilized asset yields and the impact of deposit rate adjustments [1] - Asset quality remains stable with a non-performing loan (NPL) ratio of 0.76%, while the provision coverage ratio decreased by 29.4pct to 431.6% [1] Financial Performance and Projections - Revenue, PPOP, and net profit attributable to shareholders grew by -0.6pct, 5.6pct, and -4.4pct YoY, respectively, in 24Q1 [1] - Net fee income continued to face pressure, declining by 0.1pct to -22.8% YoY, while net other non-interest income growth fell by 12.7pct to 3.0% [1] - Corporate deposits showed resilience, accounting for 74.0% of total deposits, up 0.4pct from the end of 2023 [1] - The report forecasts net profit attributable to shareholders to grow by 9.6%/9.1%/9.6% YoY in 2024/2025/2026, with EPS of 4.12/4.51/4.95 CNY and BVPS of 30.34/34.30/38.64 CNY [2] Valuation Metrics - The current stock price corresponds to 24/25/26 PB of 0.75x/0.67x/0.59x [2] - Historical valuation suggests a 24-year PB of 0.90x, implying a target price of 27.31 CNY per share [2] Key Financial Indicators - Total assets and loan balances grew by -0.3pct and 4.4pct YoY, respectively, in 24Q1 [1] - Corporate loans grew by 5.5pct YoY, while personal loans declined by 2.3pct [1] - Total liabilities and deposits grew by -0.3pct and -6.0pct YoY, respectively, with corporate deposits showing relative resilience [1] - The credit cost ratio increased by 42bp to 1.20% in 24Q1 [1]