\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 926 Bank Of Hangzhou Co.Ltd(600926) )
Event: on April 25, Bank Of Hangzhou Co.Ltd(600926) released 22q1 financial report, with revenue of 8.77 billion yuan, yoy + 15.7%; The net profit attributable to the parent company is 3.31 billion yuan, yoy + 31.4%; The non-performing rate was 0.82%, and the provision coverage rate was 580%.
Revenue growth remained high and profit growth rose again. 22q1 Bank Of Hangzhou Co.Ltd(600926) revenue maintained rapid growth, and the year-on-year growth rate of net profit attributable to the parent company rose to a higher level, with a month on month increase of + 1.6pct, and the performance was in a high boom period. In terms of revenue growth, the growth rate of net interest income slowed down, benefiting from the growth of financial management business. The growth rate of net handling fee income steadily increased to 20.1%, and the growth rate of other non interest income was as high as 90.5%. From the contribution factor of net profit, the scale expansion is the ballast, the contribution of other non interest income is increased, the provision back feeding profit is weakened, and the decline of net interest margin is a drag.
The prosperity of deposit and loan boosted the optimization of asset structure, and the interest margin released the signal of stabilization Bank Of Hangzhou Co.Ltd(600926) 22q1 loans expanded rapidly, with a year-on-year increase of 21.4%, the growth rate of total deposits continued to rise to 18.2%, and the asset structure was continuously optimized under the prosperity of deposit and loan; The net interest margin was 1.56%, with a month on month decrease of – 2bp, narrowing the decline and releasing the signal of stabilization. The decline of net interest margin is mainly related to the yield of interest bearing assets – 10bp month on month, which is consistent with the overall trend of the industry; On the liability side, the cost ratio of interest bearing liabilities was – 7bp month on month, and the cost dropped rapidly, easing the downward pressure on the net interest margin.
Asset quality remained at an excellent level, and provision coverage increased significantly Bank Of Hangzhou Co.Ltd(600926) NPL ratio decreased for 21 consecutive quarters compared with – 4bp at the beginning of the year, and asset quality remained excellent and further consolidated; The provision coverage increased rapidly by 12.38pct on a high basis.
Investment suggestions: high performance growth, structural optimization, excellent quality, high performance boom, structural optimization, stabilization of interest margin and further improvement of asset quality. It is estimated that the EPS of 22-24 years will be 1.63 yuan, 1.95 yuan and 2.42 yuan respectively. The closing price on April 25, 2022 corresponds to 1.1 times of 22 years Pb, maintaining the “recommended” rating.
Risk warning: the macroeconomic situation is down; Frequent epidemic risks; Credit risk exposure.
