Chang Hwa Commercial Bank (2801) Q1 2026 earnings summary

Executive summary

• Net income after tax for Q1 2026 reached NT$5.22 billion, up 26.27% year-over-year, with EPS at NT$0.44 and ROE at 2.34% for the quarter.

• Consolidated financial statements for Q1 2026 were reviewed by independent auditors, who found them to be fairly presented in all material respects under applicable regulations and standards.

• The group operates in commercial banking, trust, international, and overseas banking, with a functional currency of New Taiwan Dollar.

• Asset size expanded to NT$3,482 billion and net worth to NT$226 billion as of Q1 2026.

Financial highlights

• Net revenue for Q1 2026 was NT$12,406 million, up 15.5% YoY; net fee income rose 33.9% YoY, mainly from wealth management.

• Net interest income increased 16.41% YoY to $7,418,906 thousand; gain on investments contributed 18.01% of net revenue.

• Operating expenses rose 6.12% YoY, with a cost-income ratio improving to 44.27% from 48.18% YoY.

• Provision expenses increased 48.66% YoY to NT$700 million.

• Total comprehensive income for Q1 2026 was $5,649,670 thousand, up from $4,558,243 thousand.

Outlook and guidance

• Strategy focuses on digitalization, capital quality, compliance, and sustainable finance, aiming to drive robust profitability and expand trade and SME finance.

• The group is continuously assessing the impact of new and upcoming IFRS standards, including IFRS 18, which will affect presentation and disclosure starting 2028.

• Management is focused on maintaining strong capital, liquidity, and risk management practices in line with regulatory requirements.