Guolian Securities·2024-05-09 13:30Investment Rating - The investment rating for the company is "Buy" with a target price of 6.67 CNY [19]. Core Insights - The company's revenue growth is marginally improving, primarily supported by non-interest income, with total revenue for Q1 2024 at 219.84 billion CNY, a year-on-year decrease of 3.41% [5][4]. - The net profit attributable to shareholders for Q1 2024 is 87.65 billion CNY, reflecting a year-on-year decline of 2.78% [5]. - The net interest margin for Q1 2024 is 1.48%, down 13 basis points from the previous year, indicating a slight narrowing of the margin due to asset-side pressures [16]. Financial Performance Summary - The company reported a total revenue of 875,734 million CNY in 2022, which decreased to 843,070 million CNY in 2023, with an estimated revenue of 838,948 million CNY for 2024 [21]. - The net profit attributable to shareholders was 361,132 million CNY in 2022, slightly increasing to 363,993 million CNY in 2023, with an estimated decline to 359,828 million CNY in 2024 [21]. - The earnings per share (EPS) for 2024 is projected to be 0.97 CNY, with a price-to-earnings (P/E) ratio of 5.55 [8]. Asset Quality and Capital Adequacy - The non-performing loan (NPL) ratio remains stable at 1.36% as of Q1 2024, with a non-performing loan balance of 370.89 billion CNY, an increase of 4.92% from the beginning of the year [17]. - The provision coverage ratio is 216.31%, indicating strong risk mitigation capabilities [17]. - The core Tier 1 capital adequacy ratio stands at 13.78%, suggesting ample capital to support future lending [17].