Dongguan Securities·2024-05-07 03:30Investment Rating - The report maintains a "Buy" rating for the company [6] Core Views - In 2023, the company achieved operating revenue of 339.123 billion yuan, a year-on-year decrease of 1.64%, while net profit attributable to shareholders was 146.602 billion yuan, an increase of 6.22% [4] - The fourth quarter of 2023 showed a recovery in revenue and net profit growth, with revenue declining by 1.38% year-on-year, a smaller decline compared to the previous quarter, and net profit increasing by 5.22% year-on-year [4] - The non-performing loan ratio remained low at 0.95% at the end of 2023, with a provision coverage ratio of 437.70% [5] - The company is expected to have a high dividend yield of 5.65% with an increase in the dividend payout ratio from 33% to 35.01% [14] Summary by Relevant Sections Financial Performance - In 2023, the company reported a net interest income of 214.669 billion yuan, with a projected decrease to 208.302 billion yuan in 2024 [8] - Other non-interest income is expected to grow from 40.346 billion yuan in 2023 to 48.415 billion yuan in 2024, reflecting a positive trend [8] - The total loan amount is projected to increase from 6.508 trillion yuan in 2023 to 6.965 trillion yuan in 2024 [8] Asset Quality - The non-performing loan ratio is projected to remain stable at around 0.95% over the next few years [24] - The provision coverage ratio is expected to be around 438% in 2024, indicating strong risk mitigation capabilities [24] Dividend Policy - The company plans to increase its cash dividend to 2.03 yuan per share in 2024, up from 1.972 yuan in 2023 [24] - The dividend payout ratio is expected to remain high, enhancing the attractiveness of the stock for income-focused investors [14]