Industrial Bank (601166) H2 2025 earnings summary

Executive summary

• Total assets reached RMB11.09 trillion, up 5.58% year-over-year; operating income was RMB212.74 billion, up 0.24%; net profit attributable to shareholders was RMB77.47 billion, up 0.34%.

• Non-performing loan (NPL) ratio stood at 1.08%, provision coverage ratio at 228.41%, and capital adequacy ratio at 13.56%.

• Dividend payout ratio exceeded 30%, with a proposed cash dividend of RMB10.66 per 10 shares for 2025.

• The bank continued to lead in technology finance, green finance, wealth management, and investment banking, with technology finance loans reaching RMB1.12 trillion and green loans exceeding RMB1 trillion.

Financial highlights

• Operating income: RMB212.74 billion (+0.24% YoY); net interest income: RMB148.75 billion (+0.44% YoY); net non-interest income: RMB63.99 billion (-0.20% YoY).

• Net profit attributable to shareholders: RMB77.47 billion (+0.34% YoY); basic EPS: RMB3.46.

• Total assets: RMB11.09 trillion (+5.58% YoY); total loans: RMB5.95 trillion (+3.70% YoY); total deposits: RMB5.93 trillion (+7.18% YoY).

• Weighted average ROE: 9.15% (down 0.74pp YoY); net interest margin: 1.71% (down 11bps YoY); cost-to-income ratio: 29.56%.

• NPL ratio: 1.08%; provision coverage: 228.41%; core tier 1 capital adequacy: 9.70%.

Outlook and guidance

• The bank will focus on digital, green, international, integrated, and ecosystem-driven development, aiming to build a first-class value bank.

• Asset and liability structure optimization, cost control, and risk management remain priorities for 2026.

• Continued emphasis on technology finance, green finance, wealth management, and investment banking as core growth drivers.

• The bank expects to maintain stable asset quality and pursue steady growth in net interest income and fee-based business.