Bank of Ningbo(SZ:002142) EBSCN·2024-04-30 06:32Investment Rating - The investment rating for the company is "Buy" (maintained) with a current price of 22.84 CNY [1] Core Views - The company reported a revenue of 17.51 billion CNY in Q1 2024, representing a year-on-year growth of 5.8%, and a net profit attributable to shareholders of 7.01 billion CNY, up 6.3% year-on-year [5][6] - The annualized weighted average return on equity (ROE) was 15.51%, a decrease of 1.39 percentage points year-on-year [5] - The bank's loan growth accelerated, with a year-on-year increase of 24.2%, and the total interest-earning assets increased by 30 billion CNY compared to the previous year [6][8] Summary by Sections Financial Performance - Revenue and net profit growth rates for Q1 2024 were 5.8% and 6.3% respectively, with pre-provision profit growth at 8.8% [6] - The net interest income and non-interest income growth rates were 12.2% and -4.7% respectively [6] - The company achieved a net interest margin of 1.9%, which improved by 2 basis points compared to 2023 [7] Loan and Deposit Growth - The bank's loan balance increased by 1,579 billion CNY in Q1 2024, with a year-on-year growth rate of 18.4% [6] - Retail deposits maintained a high growth rate, with the deposit ratio rising to nearly 70% [6][8] Asset Quality - The non-performing loan (NPL) ratio remained stable at 0.76%, with a total NPL balance of 10.33 billion CNY [8] - The provision coverage ratio was 431.6%, indicating strong risk mitigation capabilities [8] Capital Adequacy - The risk-weighted asset growth rate was 20.4%, with a slight decline in capital adequacy ratios [8][14] - The core tier 1 capital ratio was reported at 9.26%, down from the previous year [14] Earnings Forecast and Valuation - The earnings per share (EPS) forecast for 2024-2026 is 4.26 CNY, 4.78 CNY, and 5.31 CNY respectively [8][15] - The current price-to-book (PB) ratios for 2024-2026 are projected at 0.75, 0.66, and 0.58 [8][15]