Bank of Ningbo(002142) 长江证券·2024-04-11 16:00Investment Rating - The investment rating for the company is "Buy" and is maintained [4]. Core Insights - The company reported a revenue growth of 6.4% for the year 2023, with a net profit growth of 10.7%. The net interest income grew by 9%, while non-interest income from fees declined by 23% [5][6]. - Retail loans showed strong growth, increasing by 30% year-on-year, driven by mortgage and consumer loans. Total loans grew by 19.8% for the year [5][6]. - The net interest margin for the year was 1.88%, a slight decrease compared to previous quarters, but the decline in Q4 was less than that of peers [5][6]. - The company increased its dividend payout ratio to 16% in 2023, up from 15% in 2022, with a dividend of 0.6 yuan per share [5][6]. Summary by Sections Financial Performance - The company achieved a revenue growth of 6.4% for 2023, with a net profit growth of 10.7%. The net interest income increased by 9%, while fee income decreased by 23% [5][6]. - Total loans increased by 19.8% year-on-year, with retail loans growing by 30% and corporate loans by 17% [5][6]. - The net interest margin was reported at 1.88%, with a slight decrease compared to previous quarters [5][6]. Asset Quality - The year-end non-performing loan (NPL) ratio was stable at 0.76%, with a slight increase in the annual NPL generation rate to 0.95% [5][6]. - The provision coverage ratio decreased to 461% by year-end, reflecting a reduction in provisions due to improved profit margins [5][6]. Dividend Policy - The dividend payout ratio was increased to 16% in 2023, with a dividend of 0.6 yuan per share, marking a rise from the previous four years of 0.5 yuan per share [5][6]. Future Outlook - The company is expected to maintain a revenue growth rate of 6.4% and a net profit growth rate of 10.6% for 2024, with a valuation of 0.70x 2024 PB and 5.1x 2024 PE [5][6].