At the 2026 interim results conference held on August 28, Bank Of Communications Co.,Ltd. (the Bank) President and Vice Chairman Zhang Baojiang delivered the opening remarks, highlighting the Bank's steady progress during the opening year of the 15th Five-Year Plan period.
Zhang noted that the Bank's operating performance advanced with stability, achieving solid scale growth. The group's total assets surpassed RMB 16 trillion, an increase of 4.5% compared to the end of the previous year. Domestic RMB deposits grew at a pace outpacing industry peers, while profitability continued to improve, with revenue and net profit growth rates accelerating from the first quarter. Net interest income saw robust expansion, the net interest margin stabilized, and asset quality remained solid.
The Bank will maintain its interim dividend distribution for 2026, raising the payout ratio to 31% to enhance shareholder returns. Reflecting on the first half of the year, Zhang highlighted four key priorities. First, the Bank focused on precise and effective support for the real economy, actively aligning with national policy directives, implementing fiscal-financial coordination measures, and enhancing research on key sectors and scenarios.
Branches were guided to refine their marketing strategies, optimizing credit structures while sustaining lending momentum. Inclusive small and micro enterprise loans continued to gain share, and loan growth in the Beijing-Tianjin-Hebei region, the Yangtze River Delta, and the Guangdong-Hong Kong-Macao Greater Bay Area outperformed the Bank's overall average. The Shanghai branch maintained its leading position in loan balances. Seizing opportunities from foreign trade expansion, cross-border trade finance balances surged 70% from the end of the prior year.
Second, the Bank persistently strengthened its customer base. On the corporate side, it advanced the "strong middle office, broad coverage" initiative, refined the strategic customer management system, and implemented reforms in government and institutional business. On the retail side, it enhanced customer growth frameworks. During the period, Bank Of Communications Co.,Ltd. added high-quality customers, building momentum for future business development.
Third, the Bank accelerated the development of distinctive features and innovation. Guided by the 15th Five-Year Plan formulation, it concentrated resources on building three competitive advantages: comprehensive services, cross-border services, and resident wealth management. Subsidiaries and overseas institutions raised their contribution to group scale and profit by 3.67 percentage points year-on-year. The core customer base for cross-border finance grew 12.6%, and retail AUM inched up 1.8% from the end of last year. Artificial intelligence applications were deployed in account opening, credit approval, and disbursement processes, boosting customer experience and frontline operational efficiency.
Fourth, the Bank resolutely safeguarded risk management. It continuously improved the comprehensive risk management system and advanced digital risk control. Efforts to mitigate risks in key areas such as real estate and local government debt progressed steadily. In response to elevated risk pressures in retail and inclusive finance segments, the Bank promptly optimized control measures, conducted in-depth scenario analysis and stress tests, and enhanced its capacity to address various risks. Internal case prevention management was deepened to elevate compliance effectiveness.
Looking ahead to the second half of the year, Zhang affirmed that Bank Of Communications Co.,Ltd. will maintain its strategic focus, persist in undertaking challenging yet correct initiatives, and strive to improve performance and development outcomes, expressing confidence in delivering strong results to reward shareholder trust.
Comments