\u3000\u3 Guangdong Shaoneng Group Co.Ltd(000601) 169 Bank Of Beijing Co.Ltd(601169) )
Event: on the evening of April 29, the company released its 2021 annual report and 22q1 financial report. In 2021, the revenue was 66.28 billion yuan, yoy + 3.1%; The net profit attributable to the parent company was 22.23 billion yuan, yoy + 7.4%. 22q1 revenue yoy + 2.1%, net profit attributable to parent company yoy + 6.6%; The non-performing rate is 1.44%, and the provision coverage rate is 212%; Roe was 13.32%.
Profit growth margin improved, and the medium income increased strongly. As of 22q1, the year-on-year growth rate of revenue was -1pct; The year-on-year growth rate of net profit attributable to the parent company was + 3.1pct. In terms of the split of the year-on-year growth rate of revenue, the year-on-year growth rate of net interest income increased slightly by 1.1pct month on month, mainly due to the narrowing of the year-on-year decline of net interest margin; The year-on-year growth rate of net handling fee income was as high as 36.2%, with a month on month increase of + 42.4pct. Part of it came from the low base effect of 21q1, but it was more the "fruit" of retail transformation. In a single quarter, the year-on-year growth rate of profits rebounded sharply, further indicating a good trend of performance. From the contribution factor of net profit, the medium income has changed from a drag item to a strong performance improvement item, the provision back feeding profit has been significantly enhanced, and the drag effect of net interest margin has been weakened.
Overall acceleration of retail transformation, Outline the "second growth curve". The proportion of personal loans has increased and the structure has been optimized. By the end of 2021, personal loans accounted for 35.2%, up from + 2.8pct in 2020, and by 22q1, the proportion of consumer loans and business loans in personal loans has increased to 40%. The layout of wealth management has been steadily promoted, and the income of wealth agency sales in 2021 was + 81.7% year-on-year; by 22q1, the growth rate of retail AUM was about 14.9% year-on-year, up from + 0.7pct month on month. In the future, Bank Of Beijing Co.Ltd(601169) will also strive to build The value cycle chain of "wealth management asset management investment bank". In this context, the contribution of retail business revenue has increased significantly, reaching 28.1% by the end of 2021, accelerating towards the goal of "50% profit contribution" compared with + 5.4pct in 2020.
The improvement of debt structure is particularly obvious, and the narrowing range of supporting net interest margin is less than that of peers. 22q1, the measured net interest margin in a single quarter (the following are the measured values) was slightly - 4bp compared with the beginning of the year. In terms of splitting, the cost rate of interest bearing liabilities was - 9bp month on month, mainly due to the year-on-year growth rate of deposits + 5pct month on month, leading the year-on-year growth rate of total liabilities by 7.9pct. The rate of return on interest bearing assets fell month on month, but the structure was further inclined to credit, and personal consumption loans and business loans contributed the main increment. Under the transformation of large retail, the growth of personal savings combined with the precipitation of low-cost liabilities is expected to consolidate the improvement trend of debt costs, combined with the improvement of asset side structure, and the net interest margin is expected to stabilize.
Asset quality remained stable and provision coverage rose slightly. By the end of 2021, the non-performing rate had decreased by 2.5 billion yuan compared with - 13bp at the beginning of the year; As of 22q1, the non-performing rate was the same as that at the beginning of the year, and the provision coverage rate stabilized and rebounded, which was + 1.1pct compared with that at the beginning of the year. Asset quality and risk resilience remained stable.
Investment suggestion: profit growth picked up and retail transformation achieved remarkable results
The strong growth of medium income drives the improvement of profit growth margin; The effect of retail transformation is remarkable, and the business scale and performance contribution have been greatly improved; The debt structure has improved significantly, with strategic support, and the net interest margin is expected to stabilize; Asset quality and risk offsetting capacity remained stable. The new chairman works hard and actively promotes the five transformations, and the head city commercial bank is expected to rejuvenate. It is estimated that the EPS of 22-24 years will be 1.12 yuan, 1.21 yuan and 1.34 yuan respectively. The closing price on April 29, 2022 corresponds to 0.4 times of the 22-year Pb, which is lower than the average and median value of comparable companies. It will be covered for the first time and given the rating of "prudent recommendation".
Risk tip: macroeconomic growth rate declines; The transformation progress is less than expected; Capital replenishment is under pressure.
