Industrial and Commercial Bank of China (1398) H1 2025 earnings summary

Executive summary

• Operating income rose 1.8% year-over-year to RMB409.1 billion, while net profit declined 1.5% to RMB168.8 billion for the six months ended 30 June 2025.

• Total assets surpassed RMB52 trillion, with loans over RMB30 trillion and customer deposits nearly RMB37 trillion, maintaining industry leadership and supporting key national strategies.

• Maintained robust asset quality: NPL ratio at 1.33%, provision coverage at 217.71%, and capital adequacy ratio at 19.54%.

• Distributed RMB109.8 billion in cash dividends, with an interim dividend of RMB50.4 billion proposed for 2025.

• Continued focus on high-quality development, digital transformation, and internationalization.

Financial highlights

• Net interest income was RMB313.6 billion, down 0.1% year-over-year; non-interest income rose 8.5% to RMB95.5 billion.

• Loans grew by 6.4%, fund investments by 10.2%, and customer deposits by 5.9% year-over-year.

• Green loans exceeded RMB6 trillion (up 16.4%), sci-tech loans reached RMB6 trillion (up 20%), and pension finance assets under management hit RMB5.4 trillion (up 7.3%).

• Fee and commission income was RMB67 billion, down 0.6%, while other non-interest income rose 38%.

• Net cash inflow from operating activities was RMB786.3 billion, a significant increase from the prior year.

Outlook and guidance

• Expects to maintain positive growth in operating income and net profit for the full year, aligning with national economic trends.

• Will focus on high-quality development, risk prevention, and digital transformation in the second half of 2025.

• Plans to enhance support for key sectors, including manufacturing, sci-tech innovation, green finance, and inclusive finance.

• NIM is expected to continue its downward trend but at a slower pace, with stability supported by proactive asset-liability management.

• Strategic emphasis on digital finance, customer service, and global expansion.