Bank of Chengdu (601838) Q3 2024 earnings summary

Executive summary

• Total assets reached ¥1,221.64 billion as of September 30, 2024, up 11.95% from year-end 2023, with deposits and loans growing 12.08% and 15.43% respectively.

• Net profit attributable to shareholders for the first nine months was ¥9.04 billion, up 10.81% year-over-year; basic EPS was ¥2.37, up 9.72%.

• Asset quality improved, with NPL ratio at 0.66% (down 0.02pp from year-end), and provision coverage at 497.40%.

• Capital adequacy ratio rose to 13.40% from 12.89% at year-end 2023.

Financial highlights

• Operating income for Q3 was ¥5.66 billion, up 1.14% year-over-year; for the first nine months, ¥17.24 billion, up 3.23%.

• Net profit for Q3 was ¥2.87 billion, up 11.26% year-over-year; for the first nine months, ¥9.04 billion, up 10.81%.

• Operating profit for Q3 was ¥3.29 billion, up 3.28% year-over-year; for the first nine months, ¥10.65 billion, up 7.34%.

• Net cash flow from operating activities for the first nine months was -¥19.94 billion, a 51% decrease year-over-year.

• Non-recurring gains (mainly government subsidies and asset disposals) contributed ¥97.63 million pre-tax in the first nine months.

Outlook and guidance

• Management emphasized continued strategic focus and stable business growth, with ongoing improvements in financial service quality and risk management.