\u3000\u3 Guangdong Shaoneng Group Co.Ltd(000601) 658 Postal Savings Bank Of China Co.Ltd(601658) )
High performance, high growth and high profitability
The company’s 22q1 revenue and net profit attributable to the parent company increased by 10.14% and 17.81% year-on-year. From the perspective of performance growth, it mainly benefited from the expansion of interest bearing assets and provision back feeding. For a long time, the compound year-on-year growth rate of net profit attributable to the parent company in the past two and three years was 11.49% and 10.48%, both ranking first among listed state-owned banks, showing a high level of performance release ability. In addition, the company’s 22q1 weighted average roe reached 14.82%, an increase of 0.02pct year-on-year, and continued to maintain the leading position of listed state-owned banks.
The wealth management system was upgraded and the medium income growth was strong
Among the revenue items, the net income of handling charges and commissions increased by 39.59% year-on-year, still achieving a good growth on the high base of 21q1, and accounting for 10.67% of revenue. The main reason is that the company adheres to the development strategy of intermediary business, takes the upgrading of wealth management system as the main line, and achieves rapid growth in business income such as agency insurance, financial management, credit card, investment bank, transaction bank and custody. At the same time, the company’s retail AUM has exceeded 13 trillion yuan and served more than 640 million individual customers. Among them, VIP customers increased by 2.3568 million compared with the end of the previous year, with a scale of nearly 45 million, and fortune customers increased by 321600 compared with the end of the previous year, with a scale of 3.88 million.
Both deposits and loans are booming, making a good start, and credit is booming
The company continued its high-profile lending. The total amount of loans at the end of 22q1 was 13.69% year-on-year, with a year-on-year growth rate of 0.78pct higher than that at the end of 21q4. 22q1 increased loans by 354.7 billion yuan, an increase of 82.2 billion yuan year-on-year, of which the increase of entity loans accounted for 98.56%. In terms of structure, 22q1 credit is inclined to the public, with new loans to the public reaching 210.1 billion yuan, accounting for 59% of the total new loans, an increase of 90.4 billion yuan year-on-year. The high growth of corporate credit shows strong demand, mainly in key areas such as transportation infrastructure, clean energy, ecological and environmental protection. The loan structure is inclined to entities and companies, which also puts a slight pressure on the net interest margin of 22q1. The net interest margin of 22q1 company reached 2.32%, a decrease of 4bp compared with the whole year of 2021.
Total deposits in 22q1 increased by 10.17% year-on-year, with a year-on-year growth rate of 0.55pct higher than that at the end of 21q4. 22q1 new deposits reached 565.3 billion yuan, including 517.9 billion yuan in retail, mainly due to the growth of one-year and below value deposits. It is conducive to the optimization of debt structure and the formation of interest rate differential.
The asset quality continues to be excellent and the core indicators are stable
The company strictly controlled the quality of assets and strengthened the disposal of non-performing loans. The generation rate of non-performing loans in a single quarter was only 0.15%. The non-performing rate of the company at the end of 22q1 was 0.82%, which was the same as that at the end of 21q4. The attention rate and overdue rate at the end of 22q1 were 0.48% and 0.93% respectively, slightly higher than that at the end of 21q4 by 1bp and 4bp. The asset quality of the company is excellent, and the core indicators are running at a low level. In addition, the provision coverage rate of the company at the end of 22q1 reached 413.58%, down 5.03pct compared with that at the end of 21q4, maintaining a leading position among listed state-owned banks and continuing to maintain a high level.
Investment suggestion: stick to the positioning of large retail banks and highlight high growth
The company adheres to the strategic positioning of large retail banks and has significant advantages in a wide range of counties and townships. While paying close attention to the growth of residents’ wealth management, it especially benefited from the dividend of the common prosperity policy, highlighting the high growth. We are optimistic about the growth of the company’s future performance. It is expected that the net profit attributable to the parent company will increase by 13.28%, 14.84% and 15.18% year-on-year from 2022 to 2024. At present, the company’s Pb (LF) is 0.79 times, maintaining its 2022 target of 0.9 times Pb, corresponding to the target price of 6.79 yuan / share, and maintaining the “buy” rating.
Risk warning: the demand for retail credit is insufficient, the development of wealth management is not as expected, and the credit risk fluctuates
