CTBC Financial Holding Co (2891) Q2 2026 earnings summary

Executive summary

• Net profit for H1 2026 reached TWD 39.5 billion, up 10% YoY, marking a record high, with comprehensive income at TWD 251.5 billion driven by FVOCI gains at Taiwan Life.

• Shareholders' equity expanded 59.5% YoY; ROE was 13.5% and ROA stable at 0.83%.

• CTBC Bank contributed 67% of earnings, Taiwan Life 22%, and other subsidiaries 11%.

Financial highlights

• CTBC Bank net profit was TWD 31.2 billion, up 12.3% YoY; Taiwan Life net profit TWD 10.3 billion, up 42.4% YoY.

• Group ROE was 13.5%, ROA 0.83%; Bank CAR 13.6%, CET1 ratio 11.1%.

• NIM for H1 was 1.67%, up 17 bps YoY; cost-to-income ratio improved to 50.7%.

• Fee income grew 26% YoY, led by 44% YoY growth in wealth management fees.

• Total loans increased 17.5% YoY, with TWD corporate loans up 8.3% QoQ.

Outlook and guidance

• Double-digit loan and fee income growth expected to continue in H2 2026.

• NIM guidance for H2 is 1.7%-1.73%.

• Cost-income ratio expected to improve to 50%-52%.

• Taiwan Life FYP guidance revised upward to over TWD 100 billion, with margin growth of 15%-20%.

• IFRS 17 implementation and TWD 177 billion CSM at Taiwan Life support long-term earnings visibility.