Investment Rating - The report maintains a "Buy" rating for Hangzhou Bank (600926.SH) with a current price of 14.69 CNY [1]. Core Views - Hangzhou Bank's Q1 2025 report shows a revenue of 9.98 billion CNY, a year-on-year increase of 2.2%, and a net profit attributable to shareholders of 6.02 billion CNY, up 17.3% year-on-year. The annualized weighted average return on equity is 20.6%, an increase of 0.64 percentage points year-on-year [3][4]. Summary by Sections Financial Performance - Revenue, pre-provision profit, and net profit growth rates for Q1 2025 are 2.2%, 3%, and 17.3% respectively, showing a decline from 2024 by 7.4, 6.5, and 0.8 percentage points [4]. - Net interest income and non-interest income growth rates are 6.8% and -5.4% respectively, with changes from 2024 of +2.4 and -25.6 percentage points [4]. Credit and Loan Growth - As of Q1 2025, the growth rates for interest-earning assets and loans are 15.9% and 14.3% respectively, with changes from the end of the previous year of +1.1 and -1.9 percentage points [5]. - The bank's loan increment for Q1 2025 is 57.7 billion CNY, with a focus on corporate loans, which increased by 61.6 billion CNY, while retail loans decreased by 3.9 billion CNY [5]. Deposit Growth - In Q1 2025, the increase in interest-bearing liabilities is 98 billion CNY, with a year-on-year growth rate of 15.1%, up 1.1 percentage points from the end of the previous year [6]. - The proportion of demand deposits increased to 40.8% by the end of Q1 2025, reflecting a slight improvement in the trend towards term deposits [6]. Interest Margin and Non-Interest Income - The net interest margin for Q1 2025 is 1.32%, down 6 basis points from 2024, primarily due to a decrease in the yield on interest-earning assets [7]. - Non-interest income decreased by 5.4% year-on-year to 3.48 billion CNY, with a significant drop in net other non-interest income [8]. Asset Quality and Capital Adequacy - The non-performing loan ratio remains low at 0.76%, with a provision coverage ratio of 530.1% as of Q1 2025 [9]. - Capital adequacy ratios show a stable increase, with the core tier 1 capital ratio at 9.01% as of Q1 2025 [9]. Profit Forecast and Valuation - The report maintains net profit forecasts for 2025-2027, with slight adjustments to EPS estimates due to potential dilution from convertible bonds [10]. - The current stock price corresponds to a price-to-book (PB) ratio of 0.75 for 2025 [10].

Investment Rating - The investment rating for the company is "Accumulate" with a target price of 7.88 CNY, representing a potential upside of 17% from the current price of 6.76 CNY [5]. Core Views - The company's profit continues to recover, with a reported revenue of approximately 821.8 billion CNY for 2024, showing a year-over-year decline of 2.52%. The net profit attributable to shareholders is 365.9 billion CNY, reflecting a slight increase of 0.51% year-over-year [2][4]. - The bank's net interest income for 2024 is 637.4 billion CNY, down 2.69% year-over-year, while non-interest income decreased by 1.95% to 184.4 billion CNY [2][9]. - The asset quality remains stable, with a non-performing loan ratio reduced to 1.34% by the end of 2024, down from previous periods [24]. Summary by Sections Financial Performance - The company achieved a revenue of approximately 821.8 billion CNY in 2024, with a net interest income of 637.4 billion CNY, accounting for 77.6% of total revenue, which is an increase of 1.5 percentage points compared to the first three quarters of 2024 [2][9]. - The net profit for 2024 is 365.9 billion CNY, with quarterly performance showing a trend of recovery: Q1 (-2.78%), H1 (-1.89%), first three quarters (+0.13%), and full year (+0.51%) [2][4]. Asset and Liability Management - By the end of 2024, the bank's interest-earning assets totaled 47.52 trillion CNY, with a year-over-year growth of 2.7%. Corporate loans increased by 8.3%, with strong growth in sectors such as mining and real estate [17][18]. - The cost of interest-bearing liabilities improved to 1.94%, a decrease of 10 basis points from mid-2024, supported by a reduction in deposit rates [12][18]. Asset Quality - The non-performing loan ratio decreased to 1.34% by the end of 2024, with a provision coverage ratio of 214.9%, indicating a healthy asset quality [24][26]. - The overdue loan ratio increased slightly to 1.43%, reflecting some pressure on asset quality despite the overall improvement [24]. Profitability Forecast - The forecast for net profit growth is 0.82%, 2.64%, and 3.40% for the years 2025, 2026, and 2027, respectively, with corresponding book value per share (BPS) estimates of 11.05, 11.84, and 12.60 CNY [4][26].

Investment Rating - The investment rating for Agricultural Bank is "Buy" with a target price of 6.16 CNY, representing a potential upside of 21% from the current price of 5.11 CNY [6]. Core Views - Agricultural Bank's revenue and profit have shown a continuous recovery in 2024, with total revenue approximately 710.6 billion CNY, a year-on-year increase of 2.26%, and a net profit attributable to shareholders of 282.1 billion CNY, up 4.72% year-on-year [2][10]. - The bank's net interest income has increased to 580.7 billion CNY, reflecting a year-on-year growth of 1.56%, with the proportion of net interest income in total revenue rising to 81.7% [2][10]. - The asset quality remains stable, with a non-performing loan ratio reduced to 1.30% by the end of 2024, showing improvements compared to previous periods [26]. Financial Performance - In 2024, Agricultural Bank's revenue structure shows a recovery in net interest income, which constitutes 81.7% of total revenue, while non-interest income reached 129.9 billion CNY, growing by 5.51% year-on-year [2][10]. - The bank's net interest margin recorded 1.42%, down 3 basis points quarter-on-quarter and 18 basis points year-on-year [4][14]. - The bank's total assets increased by 5.3% year-on-year, with a significant growth in corporate loans by 10.2% [20][21]. Profitability Forecast - The forecast for net profit attributable to shareholders for 2025-2027 is expected to grow by 2.25%, 4.12%, and 4.31% respectively, with corresponding book values per share of 7.95 CNY, 8.50 CNY, and 9.02 CNY [5]. - The price-to-earnings ratio is projected to decrease from 6.34 in 2024 to 5.71 by 2027, indicating an improving valuation [5]. Asset Quality - By the end of 2024, the non-performing loan ratio improved to 1.30%, with a provision coverage ratio of 299.6% [26][28]. - The overdue loan ratio increased slightly to 1.18%, indicating some pressure in the retail loan segment, particularly in personal housing loans [26][28]. Loan and Deposit Structure - The bank's total interest-bearing liabilities grew by 9.8% year-on-year, with a significant portion coming from deposits, which accounted for 76.0% of total liabilities [21][24]. - The retail loan segment showed a notable increase in personal operating loans, which surged by 234% year-on-year, while personal housing loans faced a decline of 3.6% [20][23].