Bank of Guangzhou disclosed in its 2021 annual report that last year, the bank achieved an operating revenue of 16.56 billion yuan, an increase of 11% year-on-year, and the annual net profit fell 7.9% year-on-year to 4.1 billion yuan.
By the end of last year, the asset scale of Bank of Guangzhou had exceeded 700 billion yuan, reaching 720.1 billion yuan, an increase of 12.2% over the beginning of the year. Among them, the proportion of loans in total assets increased to 53.9%, an increase of 2.4 percentage points over the beginning of the year, and the asset structure continued to be optimized. On the liability side, the overall customer deposit scale of Bank of Guangzhou decreased last year, but the deposit structure also tends to be optimized. In terms of customer structure, the proportion of retail deposits of the bank increased from 23.3% at the beginning of the year to 28%; In terms of term structure, the bank’s current deposits increased by 8 percentage points to 33.3% compared with the beginning of the year. In terms of asset quality, the non-performing loan ratio of the bank was 1.57% at the end of last year, an increase of 0.47 percentage points over the beginning of the year, and the concerned loans increased from 1.32% at the beginning of the year to 3.65%. Over the same period, the provision coverage rate fell to about 190%.
Bank of Guangzhou said that it was mainly because the global covid-19 pneumonia epidemic continued, China’s economic recovery was not balanced, and some real estate enterprises had liquidity risks. Some leasing and business services, real estate, wholesale and retail enterprises had operating difficulties, insufficient anti risk ability and reduced repayment ability, so the scale of corporate non-performing loans increased; Meanwhile, in 2021, due to the continuous growth of credit card business scale, retail non-performing loans increased.
Bank of Guangzhou also said in its annual report that last year, the bank started from the aspects of management structure, institutional constraints and staffing to improve the level of risk control. In terms of structure, promote the optimization of the head office branch risk management structure, integrate the financial market risk management into the risk management line, and establish an asset monitoring center to further strengthen the monitoring and management of the bank’s asset quality. Institutionally, we will promote the system of appointing risk directors, improve the management of credit business review and approval, promote the implementation of parallel operations, move forward the risk disposal gateway, and use mechanisms and systems to manage risks and plug loopholes. At the same time, the reviewers and security forces were strengthened, and the reviewers and security personnel were increased by more than 30%.
According to the disclosure, the queuing status of A-Shares of Bank of Guangzhou is “pre disclosure and update”.
