Agricultural Bank of China (1288) H2 2025 earnings summary

Executive summary

• Net profit reached CNY 292 billion (up 3.3% YoY); operating income rose to CNY 725.1 billion (up 1.9%).

• Total assets grew 12.8% to CNY 48.8 trillion; loan growth rate was 8.9%, deposit growth 7.7%.

• NPL ratio declined for five consecutive years, reaching 1.27%, with provision coverage at 292.5%.

• Dividend payout ratio at 30%, with CNY 1.3 per share proposed for 2025.

• Strategic focus on rural revitalization, inclusive finance, technology finance, and green finance.

Financial highlights

• Net profit: CNY 292 billion (+3.3% YoY); operating income: CNY 725.1 billion (+1.9% YoY).

• NIM at 1.28%, among the top in peers; ROA at 0.63%; ROE at 10.16%.

• Net fee and commission income rose 16.6% to CNY 88.1 billion, driven by wealth management.

• Credit impairment losses decreased 2.8% to CNY 127.2 billion.

• Provision coverage ratio: 292.5%; annualized investor returns: 12% (A-shares), 10% (H-shares).

Outlook and guidance

• Management confident in continued positive growth for 2026, supported by stable macroeconomic environment.

• Focus on driving net interest income, expanding non-interest income, and controlling risks and costs.

• Loan growth in 2026 expected to match 2025, with emphasis on agriculture, green, and SME sectors.

• 2026 marks the start of the 15th Five-Year Plan, with focus on rural revitalization, real economy support, and risk management.

• Continued emphasis on AI, digital transformation, and customer service enhancement.