's third quarter report disclosure date is approaching, and many listed banks in A shares have announced some "good performance" in advance. With the disclosure of the performance report of Xiamen Bank on October 18, as of now, 6 banks have announced the third-quarter performance report or expected increase in performance. Judging from the data, the six banks continued their growth momentum in the second quarter, with year-on-year increase in net profit attributable to shareholders between 19% and 32%, and asset quality continued to be optimized. In the view of analysts, based on the operating conditions and market conditions in the second quarter, it is expected that the overall net profit of A-share listed banks will maintain a high growth rate in the third quarter, and the asset quality will be stable and improving.
6 banks "predicting good" performance
6 banks took the lead in releasing the third quarter performance report or the announcement of expected increase in performance "predicting good" performance in advance. On October 18, Xiamen Bank issued a brief announcement on its performance report for the first three quarters of 2022. From January to September 2022, the bank achieved a net profit attributable to shareholders of listed companies of 1.8 billion yuan, an increase of 19% over the same period last year.
In addition to Xiamen Bank, Beijing Business Daily reporters found that as of now, Hangzhou Bank , Chengdu Bank, Changshu Rural Commercial Bank , Suzhou Rural Commercial Bank, and Jiangsu Bank have also announced the third-quarter performance report or expected increase announcements. The net profit attributable to shareholders of the five banks increased by more than 20% year-on-year. Among them, Hangzhou Bank had the highest growth rate. In the first three quarters of 2022, the bank achieved a net profit attributable to shareholders of listed companies of 9.275 billion yuan, an increase of 31.82% over the same period last year. The net profit attributable to shareholders of Chengdu Bank and Jiangsu Bank increased by year-on-year by , respectively. The year-on-year increase in the net profit attributable to shareholders of Changshu Rural Commercial Bank and Suzhou Rural Commercial Bank also exceeded 20%, reaching 25.24% and 20.62%.
compared with interim report data, the net profit attributable to shareholders of 6 banks continued the double-digit growth trend in the last quarter. In the first half of 2022, the year-on-year growth rate of the net profit attributable to shareholders of Hangzhou Bank, Chengdu Bank and Jiangsu Bank exceeded 30%, up 31.67%, 31.52% and 31.2% year-on-year respectively; the net profit attributable to shareholders of Xiamen Bank, Changshu Rural Commercial Bank increased by 15.11%, 19.96% and 20.89% year-on-year.
In the view of Zhou Maohua, analyst of the Financial Markets Department of Everbright Bank, the net profits of the six banks continued to grow strongly in the second quarter, mainly due to the continued recovery of the domestic real economy and the benefits of bank operations. Although the overall interest rate spread of banks in and shows a narrowing trend, the bank's credit side is supplemented by quantity and continuously optimizes the asset-liability structure, so its operating performance is good.
Beijing Business Daily reporter noticed that among the six banks that announced their performance reports or expected increase in performance, four disclosed the total loan amount. Among them, the total loan amount of Hangzhou Bank, Changshu Rural Commercial Bank in the first three quarters increased by more than 10% from the end of the previous year, and the total loan amount of Xiamen Bank in the first three quarters increased by more than 8% from the end of the previous year. Recently, state-owned banks have also announced "report cards" of credit issuance serving the real economy. In the first three quarters, six state-owned banks added more than 9.5 trillion yuan in new RMB loans.
Asset quality continues to be optimized
Performance is improving, and asset quality continues to improve. Among the six banks that disclosed performance reports or expected increase in performance announcements, 5 announced the non-performing loan ratio . As of the end of September 2022, the non-performing loan ratios of Xiamen Bank, Hangzhou Bank, Chengdu Bank, Changshu Rural Commercial Bank and Suzhou Rural Commercial Bank were all below 1%.
Among them, the non-performing loan ratios of Hangzhou Bank and Changshu Rural Commercial Bank were 0.77% and 0.78% respectively, down 0.09 and 0.03 percentage points from the end of the previous year. Xiamen Bank, Chengdu Bank and Suzhou Rural Commercial Bank decreased by 0.05, 0.17 and 0.06 percentage points from the end of the previous year to 0.86%, 0.81% and 0.94% respectively.
Provision coverage ratio , Xiamen Bank, Hangzhou Bank, Changshu Rural Commercial Bank and Suzhou Rural Commercial Bank disclosed relevant data. The four banks rose by 14.38, 15.96, 10.2 and 25 percentage points respectively from the end of the previous year to 385.02%, 583.67%, 542.02% and 437.22%.
"From the performance report, the bank's asset quality continues to improve." Zhou Maohua said that the main purpose is to increase efforts to help enterprises alleviate difficulties and stabilize growth, improve the operating conditions of the real economy, and the overall asset quality of banks has steadily improved.
Wang Hongying, director of the China (Hong Kong) Financial Derivatives Investment Research Institute, further analyzed that the improvement of asset quality of some banks in the third quarter is first related to banks' strengthening credit supply management and using data platforms to dynamically understand the real business conditions of enterprises; secondly, affected by the high-quality development of the regional economy, enterprises have relatively good operations, and the quality of banks' credit assets has also improved.
growth momentum is expected to continue
According to the data, banks that have announced their performance reports have continued their growth momentum in the second quarter. According to statistics from Beijing Business Daily reporters, 24 of the 42 banks achieved double-digit growth in net profit attributable to shareholders in the second quarter, of which 11 banks increased by more than 20% year-on-year.
According to Oriental Fortune Choice data, 42 listed banks in A-shares are expected to officially disclose their third-quarter reports from October 23 and will be completed on October 30. Among them, the disclosure peak reached on October 28, and 24 banks will announce their third-quarter results.
How did A-share listed banks that have not disclosed their performance in the third quarter have performed well in the first half of the year? Can the growth trend continue in the second quarter? Wang Hongying said that bank operations themselves are cyclical. The net profit of banks that have announced the third-quarter performance report is about 20%. It is expected that the overall performance of A-share listed banks that have not disclosed their performance report will also show a growth trend in the third quarter. As the industrial structure continues to transform and upgrade, economic recovery will be a high probability event. From a cyclical perspective, it is expected that the performance of banks will increase accordingly, and asset quality-related indicators will be further improved.
Zhou Maohua believes that judging from the previously released macroeconomic and financial data, domestic economic activities are showing a steady recovery, and consumer demand and industrial enterprises are steadily recovering. Judging from financial data, the financing demand of the real economy continues to recover, and new credit growth is strong; at the same time, banks are also actively optimizing the asset-liability structure, etc., and the domestic market continues to increase the disposal of non-performing assets and the maintenance of in bank provisions at a high level. It is expected that the bank's asset quality will continue to remain stable in the third quarter, with a slight improvement in stability. However, we still need to be vigilant about potential adverse risks and continue to increase the efforts to deal with adverse risks and prevent risks.
Beijing Business Daily reporter Li Haiyan
