Financial Data and Key Metrics Changes - In Q4 2025, earnings per common share was $0.30, with an adjusted EPS of $0.37, reflecting a 9% year-over-year increase [17] - Revenue growth for 2025 was 11%, with adjusted EPS growth of 16% and 290 basis points of positive operating leverage [6][24] - Average loans grew 14.4% year-over-year, with organic loan growth of $10.1 billion, exceeding the $9.5 billion added through the Veritex partnership [17][19] - Average deposits increased 5.1% quarter-over-quarter and 8.6% year-over-year, with core deposits growing $5.5 billion year-over-year [19][20] Business Line Data and Key Metrics Changes - Consumer banking saw a 4% year-over-year increase in primary bank relationships, while business banking grew by 7% [7] - New initiatives contributed $1.8 billion to loan growth, with significant contributions from Texas and North and South Carolina expansions [17] - Fee income businesses grew, with payments up 5%, commercial payment revenues up 8%, and wealth management growing 10% [21][22] Market Data and Key Metrics Changes - The company expanded its consumer and regional banking presence to 21 states, focusing on fast-growing markets [4] - The partnership with Veritex and Cadence is expected to enhance market growth and customer share in Texas and other new markets [15] Company Strategy and Development Direction - The company aims to become the leading people-first, customer-centered bank, leveraging a differentiated operating model [4] - Strategic investments in branch build-out, new commercial verticals, and fintech solutions are designed to enhance long-term growth [8] - The focus remains on organic growth, customer relationship deepening, and expanding wallet share while maintaining a moderate to low-risk profile [5][6] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the sustainability of growth targets, emphasizing the effectiveness of the operating model and recent partnerships [32][34] - The outlook for 2026 includes expectations for net interest income growth of 10% to 13%, supported by loan and deposit growth [27] - Credit quality remains strong, with net charge-offs expected between 25 and 35 basis points, and a stable non-performing asset ratio [26][30] Other Important Information - The company plans to initiate programmatic share repurchases and maintain a strong dividend yield [25] - Investments in technology, including AI, are expected to continue driving growth and efficiency [79] Q&A Session Summary Question: Clarification on expense trajectory and cost savings - Management indicated that underlying expense growth is expected in the mid-single digits, with cost synergies from Veritex and Cadence expected to be realized in 2026 [40][41] Question: Revenue synergies from partnerships - Management highlighted that the partnership model has allowed for quicker decision-making and greater certainty, which is expected to enhance both cost and revenue synergies [44][46] Question: Guidance on first quarter expenses - Management refrained from providing specific quarterly guidance but emphasized the importance of positive operating leverage and continued investment back into the business [52] Question: Credit guidance and deposit beta - Management confirmed that the credit guidance reflects historical performance and that deposit beta is expected to remain in the high 30s to 40% range [86][87] Question: Technology investment details - Management stated that technology investments are focused on customer-facing capabilities and digital marketing, with significant growth expected in these areas [89]

Core Insights - Ping An Insurance has been upgraded to the highest global ESG rating of AAA for 2025 by MSCI, reflecting its leadership in responsible investment and sustainable development in the Asia-Pacific region [1][9][10] ESG Performance - Ping An leads the industry in six key areas: Human Capital Development, Privacy & Data Security, Access to Finance, Financing Environmental Impact, Responsible Investment, and Corporate Behavior [2] Financial Inclusion Initiatives - In 2025, Ping An introduced the "Policy Statement on Financial Inclusion (2025)" and supported 972,900 micro and small enterprise loan customers, with inclusive loans outstanding reaching RMB 499.524 billion [3] Green Finance Efforts - By June 2025, Ping An's insurance fund allocated to green investments reached RMB 144.482 billion, with green loan balances at RMB 251.746 billion and green insurance premium income of RMB 55.279 billion in the first nine months of 2025 [4] Responsible Investment Strategy - Ping An has integrated ESG factors into its investment processes, with responsible investment of insurance funds reaching RMB 1,017.407 billion by June 2025, including RMB 144.482 billion in green investments [5] Information Security Enhancements - In 2025, Ping An revised its policies on information security and privacy protection, conducting 67 security emergency drills to improve its emergency response capabilities [6] Employee Development and Diversity - In 2024, Ping An invested RMB 956 million in training, averaging over 49 training hours per employee, and by the end of 2024, women represented 51% of employees and 36% of senior management [7][8] Sustainable Development Commitment - Ping An's sustainable development strategy is foundational for maximizing long-term value, with a focus on integrating sustainability into corporate strategy and enhancing its ESG management system [10]