Industrial and Commercial Bank of China (1398) H2 2025 earnings summary

Executive summary

• Concluded the 14th Five-Year Plan with high-quality development, focusing on five transformations: intelligent risk control, modernized structure, digital capabilities, integrated services, and ecosystem development.

• Net profit reached RMB370.8 billion in 2025, up 1.0% year-over-year, with operating income rising 1.9% to RMB801.4 billion.

• Total assets grew 9.5% to RMB53.48 trillion; loans increased 7.5% to RMB30.5 trillion; deposits rose 7.1% to RMB37.3 trillion, maintaining industry leadership.

• Asset quality remained stable: NPL ratio at 1.31%, allowance to NPLs at 213.6%, and capital adequacy ratio at 18.76%.

• Enhanced digital and AI capabilities, launching over 500 AI applications and expanding mobile banking users to 630 million.

Financial highlights

• Operating income rose 1.9% YoY to RMB801.4 billion; net profit reached RMB370.8 billion, up 1% YoY.

• Net fee and commission income at RMB111.2 billion, up 1.6% YoY; pre-provision profits grew 2% YoY.

• Non-interest income increased 11.8% to RMB166.3 billion, driven by wealth management and financial investments.

• Customer loans, bond investments, and deposits grew by 7.5%, 19.6%, and 7.1% YoY, respectively.

• Green loans reached RMB6.7 trillion, inclusive loans RMB3.6 trillion (22.8% growth), and pension AUM RMB5.9 trillion.

Outlook and guidance

• 2026 will focus on deepening five transformations, balancing progress with stability, and delivering sustainable value.

• The bank will focus on high-quality development, risk prevention, and digital transformation in 2026, the first year of the 15th Five-Year Plan.

• NIM expected to follow an L-shaped trajectory, with stabilization anticipated if no further significant LPR cuts occur.

• Asset quality of inclusive loans projected to gradually stabilize; personal loan asset quality expected to improve as policy effects materialize.

• Strategic focus on building a world-class, technology-driven, and internationally competitive bank.