On October 24, Hua Xia Bank held its 2025 Q3 performance meeting, revealing that for the first three quarters of 2025, it achieved operating income of 64.881 billion yuan, a year-on-year decrease of 8.79%; net profit attributable to equity holders was 17.982 billion yuan, a decline of 2.86%. As of the end of September this year, the bank's total assets stood at 4.586358 trillion yuan, an increase of 209.867 billion yuan from the beginning of the year.
For the third quarter alone, the bank reported operating income of 19.359 billion yuan, down 15.02% year-on-year, while net profit attributable to shareholders rose by 7.62% to 6.512 billion yuan.
Hua Xia Bank's president, Qu Gang, attributed the revenue decline primarily to fluctuations in the bond market, which led to a year-on-year reduction in fair value change gains, although net interest income remained stable.
Looking ahead, Qu emphasized the need to expand growth scale, continuously optimize the asset-liability structure, increase the ratio of high-yield assets to low-cost liabilities, mobilize inefficient assets, improve market and customer analysis capabilities, enhance pricing power, and stabilize interest margins and revenue sources.
Analysis of the data indicated that the substantial changes in revenue during the first three quarters were mainly due to fair value change gains, which recorded -4.505 billion yuan this year, down 7.831 billion yuan from last year's 3.326 billion yuan.
In terms of asset quality, by the end of September this year, Hua Xia Bank reported a non-performing loan (NPL) ratio of 1.58%, a marginal decrease of 0.02 percentage points from the end of last year, while the provision coverage ratio stood at 149.33%, down 12.56 percentage points from the end of last year.
Qu noted that by the end of Q3 2025, the bank increased efforts in NPL disposal, resulting in a slight decline in the provision coverage ratio compared to the end of the first half of the year and the start of the year. The key industries with high NPL balances at Hua Xia Bank include wholesale and retail, real estate, mining, construction, and consumer credit, which is in line with current market conditions. For the real estate sector, the bank will rigorously implement national policy requirements related to the real estate coordination mechanism, support existing businesses with tailored strategies, actively promote the resolution of existing risks, strengthen business access and process management, refine business strategies, optimize the business structure, and effectively control new risks through differentiated management. Regarding government-financed projects, the bank will diligently promote the implementation of national debt restructuring policies, strictly manage business concentration, and continuously optimize its business structure, while adhering to market-oriented and legal principles in managing platform exits, thereby enhancing risk control.
As of the end of September 2025, Hua Xia Bank reported a capital adequacy ratio of 12.63%, a tier 1 capital adequacy ratio of 11.14%, and a core tier 1 capital adequacy ratio of 9.33%.
On the same day as the Q3 performance release, Hua Xia Bank announced the appointments of three new executives, including a Chief Operating Officer, Chief Risk Officer, and Chief Financial Officer.
The announcement indicated that the board received a written resignation from Chief Risk Officer Liu Xiaoli, who will assume the role of Chief Operating Officer due to job changes. The bank stated that Liu has completed all necessary handover procedures in accordance with internal management protocols.
The new Chief Risk Officer is Fang Yi, who comes from Beijing Bank. At 45 years old, Fang has held various positions, including Vice President of the Jinan Branch of Beijing Bank, Deputy Director of the Board (Supervisory Board) Office, Deputy General Manager of the Investment Management Department, and President of the Shijiazhuang Branch.
Additionally, the board approved the appointment of Liu Yue as the Chief Financial Officer. Liu is currently the General Manager of the Asset and Liability Department at Hua Xia Bank and has previously served as Deputy General Manager of the Planning and Financial Department, as well as Vice President and Party Committee Member of the Beijing Branch.
Recently, the bank plans to make adjustments to its organizational structure. At the end of September, Hua Xia Bank issued an announcement regarding board resolutions approving two major proposals: the establishment of a Hua Xia Bank Capital Operation Center and the optimization of certain departmental structures at the head office.
Earlier this year, Yang Shujian took over as chairman from Beijing Bank. Upon assuming office, he emphasized the need for the entire organization to benchmark against the requirements of "simultaneous innovation and adherence to fundamentals," while directly addressing the challenges of reform, the pains of transformation, and the obstacles of cultural development. With the determination to "step out of the comfort zone" and the commitment to "forge new paths," he emphasized goal orientation and seizing opportunities to quickly translate "breaking through old barriers" thinking into "breaking the ice" actions.
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