CM BANK(600036) 太平洋·2025-03-30 08:00Investment Rating - The report maintains a "Buy" rating for the company, with a target price based on the closing price of 43.26 on March 27, 2025 [1][9]. Core Insights - The company reported a slight decline in operating revenue of 0.48% year-on-year, totaling 337.49 billion yuan, while net profit increased by 1.22% to 148.39 billion yuan. The weighted average ROE was 14.49%, down 1.73 percentage points year-on-year [4][9]. - The company is expected to benefit from economic recovery, with projected operating revenues for 2025-2027 of 342.30 billion, 356.58 billion, and 372.33 billion yuan, respectively [9]. Summary by Sections Financial Performance - For the fourth quarter of 2024, the company achieved revenue and net profit of 84.78 billion and 35.21 billion yuan, respectively, marking year-on-year increases of 7.53% and 7.63% [4]. - The total loan amount reached 6.89 trillion yuan, up 5.83% year-on-year, with a notable shift towards retail loans [5]. - Total deposits amounted to 9.10 trillion yuan, reflecting an increase of 11.54% year-on-year, with a significant preference for fixed-term deposits [5]. Income and Profitability - Net interest income for the reporting period was 211.28 billion yuan, a decrease of 1.58% year-on-year, but the decline narrowed over the quarters [6]. - Non-interest income rose by 1.41% to 126.21 billion yuan, supported by investment income and fair value changes [6]. Asset Quality - The company's non-performing loan (NPL) ratio stood at 0.95%, with a provision coverage ratio of 411.98%, indicating stable asset quality [7]. - New NPL generation was 66.70 billion yuan, with a notable increase in retail loan defaults, necessitating close monitoring [7]. Capital Adequacy - The company's capital adequacy ratios showed strong internal capital replenishment capabilities, with core Tier 1, Tier 1, and total capital adequacy ratios at 14.86%, 17.48%, and 19.05%, respectively [8]. - A cash dividend of 2 yuan per share was proposed, with a dividend payout ratio of 35.32%, translating to a dividend yield of 4.62% based on the closing price [8].