\u3000\u3 Guangdong Shaoneng Group Co.Ltd(000601) 838 Bank Of Chengdu Co.Ltd(601838) )
On April 28, 2022, Bank Of Chengdu Co.Ltd(601838) released the annual performance report for 2021 and the performance report for the first quarter of 2022.
Key investment points:
In the first quarter of 2021 and 2022, the revenue increased by 22.54% and 17.65% year-on-year respectively, and the net profit attributable to the parent increased by 29.98% and 28.83% year-on-year respectively: on the income side, the net interest income increased by 21.94% and 19.43% year-on-year respectively, and the net fee income increased by 45.51% and 28.99% year-on-year respectively. The high increase in revenue mainly benefited from the rapid growth of net interest income and intermediate business income. On the cost side, the provision is still high.
In 2021, the net income of handling charges maintained a rapid growth trend: the net income of handling charges increased by 45.51% year-on-year, of which the income of wealth management and asset management business increased by 71% year-on-year, accounting for 63% of the income of handling charges and commissions.
Asset quality continued to improve: at the end of the first quarter of 2021 and 2022, the non-performing rate was 0.98% and 0.91% respectively, continuing the downward trend and at the lowest level in recent years. The proportion of concerned loans was 0.61% and 0.45% respectively. Forward looking indicators, bad generation rate data, is still at a low level. At the end of the first quarter of 2022, the provision coverage rate reached 435.69%, an increase of 32.8 percentage points month on month, with strong risk offset ability.
Profit forecast and investment suggestions: the company is deeply engaged in Chengdu Chongqing double city economic circle, with obvious location advantages and regional competitive advantages, which can effectively integrate into local economic construction and development and promote the optimization of corporate business. In addition, the company adheres to the strategic guidance of "digitization, refinement and large retail", the profit structure is continuously optimized, and the income generating channels are more diversified. The EPS forecast for 2022 / 2023 is 2.53 yuan / 3.11 yuan, and the overweight rating is given according to the closing price of Bank Of Chengdu Co.Ltd(601838) a shares on April 27 of 15.9 yuan, corresponding to 1.09 times Pb in 2022.
Risk factors: affected by covid-19 epidemic, the global economic recovery was less than expected, resulting in sharp fluctuations in bank assets.
