BOC Hong Kong (2388) H2 2025 earnings summary

Executive summary

• Profit attributable to equity holders for 2025 rose 4.9% year-on-year to HKD 40.1 billion, with ROE stable at 11.5% and total assets up 7% to HKD 4.49 trillion.

• Dividend per share increased 6.8% to HKD 2.125, with a payout ratio of 56% and quarterly distribution introduced.

• Maintained leadership in residential mortgage loans, Hong Kong-Macau syndicated loans, and IPO receiving bank business.

• Expanded cross-border and Southeast Asia operations, with SEA deposits up 20.2% and operating income up 6.2%.

• Led in offshore RMB clearing and supported innovative RMB product development, with total RMB assets up 55% since 2021.

Financial highlights

• Net interest income (adjusted for swap) up 1.4% to HKD 59.7 billion; net fee and commission income up 13.9% to HKD 11.3 billion.

• Profit after tax rose 5.3% to HKD 41.2 billion; basic EPS up 4.9% to HKD 3.7947.

• Customer deposits increased 7.9% to HKD 2.94 trillion; CASA ratio at 53.4%.

• Customer loans grew 2.3% to HKD 1.72 trillion; loan market share increased to 16.27%.

• Net operating income before impairment allowances up 8.1% to HKD 77,019 million; pre-provision operating profit up 9.4%.

Outlook and guidance

• Expects global geopolitical complexity, interest rate volatility, and trade uncertainties to persist in 2026.

• Targets further growth by leveraging national strategies, cross-border finance, digital innovation, and Belt and Road cooperation.

• Aims to maintain high operating efficiency, robust risk management, and expand diversified income sources.

• Full-year credit costs expected to improve in 2026 if global conditions remain stable.

• Plans to expand global customer base, enhance product and service capabilities, and deepen digital transformation.