China Merchants Bank is distributing cash dividends this week! The number of A-share listed banks conducting interim dividends continues to expand.
Recently, China Merchants Bank (SH600036) announced it will implement the 2025 semi-annual A-share dividend distribution this Friday (January 16, 2026), planning to distribute cash dividends totaling approximately RMB 20.897 billion (tax inclusive), with a cash dividend per share of RMB 1.013 (tax inclusive).
Among the 42 A-share listed banks, over half have announced their 2025 interim dividend plans. This week alone, three listed banks are distributing dividends; besides China Merchants Bank, Postal Savings Bank (SH601658) and Bank of Jiangsu (SH600919) are also in the queue.
China Merchants Bank recently announced it will distribute the 2025 semi-annual A-share cash dividend on January 16, 2026, with a cash dividend per share of RMB 1.013 (tax inclusive). The record date is set for January 15, 2026, meaning the distribution targets the bank's A-share shareholders registered at the close of the Shanghai Stock Exchange on January 15.
For the first half of 2025, China Merchants Bank's net profit attributable to ordinary shareholders on a consolidated basis was RMB 72.955 billion. Based on this, the bank calculated the interim cash dividend amount at a 35% ratio, proposing a total A+H share cash dividend of approximately RMB 25.548 billion (tax inclusive). Besides A-share shareholders, the bank's H-share shareholders will receive a dividend per share of approximately HKD 1.118595 (tax inclusive).
Apart from China Merchants Bank's planned dividend distribution this week, today (January 12, 2026) is the cash dividend payment date for Postal Savings Bank, which is distributing a cash dividend of RMB 0.123 per A-share (tax inclusive).
Furthermore, Bank of Jiangsu will also distribute its 2025 semi-annual cash dividend this Wednesday (January 14, 2026), with a cash dividend per A-share of RMB 0.3309.
As of noon on January 12, China Merchants Bank's stock price was RMB 41.29 per share, Postal Savings Bank's was RMB 5.32 per share, and Bank of Jiangsu's was RMB 10.38 per share. Based on these prices, the estimated 2025 interim dividend yield for CMB's A-shares is about 2.45%, for PSBC about 2.31%, and for Bank of Jiangsu about 3.19%.
Stable cash dividends are a key indicator reflecting a listed company's operational performance and willingness to reward investors, demonstrating the company's emphasis on providing reasonable returns to shareholders. The scale of dividends further reflects the company's strength and sincerity.
For many years, A-share companies typically disclosed dividend plans when reporting full-year results, effectively distributing dividends once a year. In 2024, the State Council issued the guiding document "Several Opinions on Strengthening Supervision, Preventing Risks, and Promoting the High-Quality Development of the Capital Market," which emphasized strengthening supervision of listed companies' cash dividends, increasing incentives for high-quality dividend-paying companies, and taking multiple measures to promote higher dividend yields. It called for enhancing the stability, continuity, and predictability of dividends, and promoting multiple dividend distributions per year, pre-dividends, and dividends before the Spring Festival.
As a main force in the financial sector, and guided by regulatory authorities in recent years, the cohort of A-share listed banks conducting interim dividends has continued to grow, with the scale of dividends consistently increasing.
Wind data shows that, so far, 23 banks have specified the exact timing for their 2025 interim profit distribution and dividend payments. Some banks, such as Bank of Changshu, Bank of Changsha, and China Merchants Bank, are initiating interim dividends for the first time.
Some other banks have formulated profit distribution proposals but have not yet finalized the specific dates. For instance, Industrial Bank plans to distribute a cash dividend of RMB 5.65 per 10 shares (tax inclusive); this proposal will be reported and reviewed at the bank's first interim shareholders' meeting of 2026 on the 20th of this month.
Chongqing Rural Commercial Bank stated that A-share and H-share dividends are expected to be paid on January 23, 2026, with the specific date to be confirmed in the implementation announcement for the profit distribution.
Additionally, some banks indicated they are advancing related work. For example, Bank of Lanzhou responded to investors in November 2025, stating that its shareholders' meeting had authorized the board to formulate the 2025 interim profit distribution plan, and dividend-related work was actively progressing. Banks that have not yet indicated interim dividend plans, such as Bank of Chengdu, stated on investor relations platforms that they would consider the matter comprehensively based on specific circumstances.
"Overall, the number of banks planning to implement interim dividends has increased, with most banks maintaining stable dividend payout ratios. Some joint-stock banks and city commercial banks have further increased their payout ratios, and the timing of dividend payments has been moved forward, reflecting the stable dividend value of the banking sector. This maintains its attractiveness to medium- and long-term funds, which in turn is expected to accelerate the realization of dividend value," pointed out Galaxy Securities analyst Zhang Yiwei in a research report.
Currently, the vast majority of the 42 A-share listed banks are still trading below their net asset value per share.
"Although bank stocks performed strongly overall in 2025, most listed banks have still not escaped the state of trading below book value. This is mainly due to two major suppressing factors for bank stocks: first, continuous pressure on net interest margins, leading to investor concerns about banks' profitability. Second, the ongoing significant downward pressure on the economy, causing investor concerns about banks' asset quality," Yang Haiping, a special researcher at the Beijing Wealth Management Association, previously stated.
Despite low price-to-book ratios, listed commercial banks offer significant advantages in terms of dividend yield. According to Wind data, bank stock dividend yields were generally above 3% in 2024, with only Bank of Xi'an and Bank of Zhengzhou below 3%. The dividend yields for most banks' 2025 interim dividends are also above 2%.
Last year, insurance capital increased its holdings in bank stocks on multiple occasions. Examples include Ping An Life Insurance raising its stake in Postal Savings Bank and China Merchants Bank H-shares, and New China Life Insurance acquiring 330 million shares of Bank of Hangzhou. Yang Haiping noted that the high dividend attribute, low volatility, and defensive nature of bank stocks align with the risk preferences of insurance fund investments, making them ideal targets for long-term holdings by insurance capital.
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