On August 27, at CITIC Bank's 2026 interim results conference, Executive Director, President, and Chief Compliance Officer Lv Tiangui stated that based on financial outcomes, the bank's operations in the first half demonstrated steady improvement with quality enhancements, continuing an upward trajectory—a tangible result of the bank's unwavering strategic execution.
Lv noted that from a longitudinal perspective, CITIC Bank (ASX: 601998) has achieved stable, balanced, and sustainable development; horizontally, it has displayed stronger resilience. In terms of profitability, net profit has sustained growth exceeding 3% for two consecutive years, with steady revenue gains and intermediate business income growth outpacing the industry average for seven straight years. Retail AUM and corporate wealth management product increments rank among the industry's top tier, while bond underwriting volume and project count maintain the No. 1 position.
Regarding scale, deposits and loans have grown steadily. On asset quality, the non-performing loan (NPL) ratio and NPL formation rate remained flat compared to the start of the year and the first quarter, with the provision coverage ratio staying broadly stable. Structurally, the bank has continued optimizing its asset-liability mix, business segments, and earnings composition, with metrics such as general loan share, proprietary deposit share, non-interest income proportion, and financial market revenue contribution trending upward. Sub-structures across products, clients, tenors, and regions have also improved.
Dividend policy remains consistent and stable, with a payout ratio maintained above 30%. The board has approved an interim dividend of RMB 11.296 billion, representing a 0.34 percentage point increase in the payout ratio year-on-year, underscoring the bank's commitment to rewarding shareholders.
Lv further explained that beneath the operational data, CITIC Bank's high-quality growth is supported by a clear growth logic and a robust internal ecosystem. Profit growth does not rely solely on cost reduction but is driven by both a stable net interest margin and revenue expansion. On asset quality, solid earnings are anchored by a stable risk foundation, which serves as the core confidence for navigating economic cycles. The bank's NPL ratio has declined for seven consecutive years, with the provision coverage ratio consistently exceeding 200%, ensuring ample risk buffers. Leveraging its liability cost cushion, the bank continues to optimize its asset structure, now placing greater emphasis on balancing interest margin with risk while proactively managing risks upfront.
Looking ahead to the second half, Lv indicated that CITIC Bank will maintain strategic focus, adhering to its four core operating themes. The bank aims to solidify its fundamentals by stabilizing net interest margins and asset quality, with a focus on strengthening settlement and demand deposit businesses, increasing general and medium-to-long-term loan origination, and driving high-quality asset growth. Concurrently, it will enhance client relationship management, broaden revenue channels, and tap into incremental opportunities in wealth management and investment trading. Overall, the first half delivered steady growth with ample resilience, and with clear direction and promising upside for the remainder of the year, CITIC Bank is confident and capable of achieving its full-year operational targets with high quality.
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