Changshu Bank(601128) 中国银河·2024-08-21 09:31Investment Rating - The report maintains a "Recommended" rating for the company, with projected BVPS of 9.10 CNY, 10.40 CNY, and 11.94 CNY for 2024-2026, corresponding to current PB ratios of 0.76X, 0.66X, and 0.58X respectively [1][4]. Core Insights - The company has shown continuous high growth in performance, with H1 2024 revenue reaching 5.506 billion CNY, a year-on-year increase of 12.03%, and net profit attributable to shareholders of 1.734 billion CNY, up 19.58% year-on-year [2][5]. - The company's net interest income for H1 2024 was 4.602 billion CNY, reflecting a 6.1% increase year-on-year, supported by improved loan yield resilience and optimized deposit costs [2][6]. - The asset quality remains excellent, with a non-performing loan ratio of 0.76% as of June 2024, maintaining a low level compared to peers [2][6]. Financial Performance Summary - For 2024E, the company is projected to achieve operating revenue of 11.242 billion CNY, with a growth rate of 13.90% [5][6]. - The net profit attributable to shareholders is expected to reach 3.893 billion CNY in 2024E, reflecting an 18.63% growth rate [5][6]. - The company’s EPS is forecasted to be 1.29 CNY for 2024E, with a P/E ratio of 5.34 based on the current stock price [5][6]. Asset Quality and Risk Management - The company has a robust risk coverage capability, with a provision coverage ratio of 538.81% as of June 2024, indicating strong risk management practices [2][6]. - The company focuses on small and micro financial services, maintaining a solid market position in this segment, which is expected to support credit demand and expansion [2][6].