Investment Rating - The investment rating for Jiangsu Bank is "Buy" and is maintained [9] Core Views - Jiangsu Bank's revenue growth accelerated to 7.8% in the first half of 2025, with a net profit growth of 8.0%. The second quarter saw a revenue growth rate of 9.4% [2][6] - Net interest income increased significantly by 19.1%, driven by rapid asset expansion. Non-interest income showed signs of recovery, particularly benefiting from a stabilized bond market in Q2 [2][12] - Total assets grew by 21% compared to the beginning of the year, with loans increasing by 16.0%. Corporate loans surged by 23.3%, primarily in infrastructure and manufacturing sectors [2][12] - The non-performing loan ratio decreased to 0.84%, with a provision coverage ratio of 331%. The net generation rate of non-performing loans fell to 1.10%, a decrease of 31 basis points compared to the full year of 2024 [2][12] Summary by Sections Revenue and Profitability - Revenue growth for the first half of 2025 was 7.8%, with Q1 at 6.2% and Q2 at 9.4%. Net profit growth was 8.0% [2][6] - Net interest income rose by 19.1%, while non-interest income decreased by 14.6%, although the decline narrowed significantly in Q2 [12][19] Asset Growth - Total assets increased by 21% year-to-date, with loans growing by 16.0%. Corporate loans saw a substantial increase of 23.3%, particularly in government infrastructure and manufacturing [2][12] - Retail loans grew by 3.1%, with positive growth in housing and consumer loans, benefiting from a recovering real estate market [12][19] Risk and Asset Quality - The non-performing loan ratio improved to 0.84%, with a provision coverage ratio of 331%. The net generation rate of non-performing loans decreased to 1.10%, indicating improved risk management [2][12] - The bank's credit impairment losses increased by 48% year-on-year, but the trend in provisions is expected to stabilize in the second half of the year [12][19] Investment Outlook - Jiangsu Bank is positioned as a dividend growth bank, with a projected dividend yield of 5.0% for 2025. The current PB valuation is 0.80x and PE valuation is 6.4x, highlighting its attractive investment appeal [12][19]