Agricultural Bank of China (1288) H1 2025 earnings summary

Executive summary

• Net profit reached RMB139.9 billion in H1 2025, up 2.5% year-on-year, with operating income of RMB369.8 billion and total assets at RMB46.86 trillion, up 8.4% from end-2024.

• NPL ratio improved to 1.28%, with allowance coverage at 295% and strong capital adequacy at 17.45%.

• Maintained leading position in rural, inclusive, green, and digital finance, with significant loan growth in these areas.

• Customer deposits rose to RMB31.9 trillion, up 5.3% year-on-year.

• Enhanced support for rural revitalization, green finance, and inclusive finance.

Financial highlights

• Net interest income was RMB282.5 billion, down 2.9% year-on-year due to lower NIM at 1.32%.

• Net fee and commission income rose 10.1% to RMB51.4 billion, driven by agency commissions and wealth management.

• Operating expenses increased 2.8% to RMB111.7 billion; cost-to-income ratio at 27.81%.

• Credit impairment losses decreased 3% to RMB98.0 billion.

• Basic and diluted EPS were RMB0.37.

Outlook and guidance

• China’s economy expected to maintain steady growth in H2 2025, with supportive fiscal and monetary policies.

• Focus on expanding rural revitalization, urban-rural integration, technology finance, and risk management.

• Continued digital transformation, smart banking, and customer/employee satisfaction initiatives.