Summary of the report:
1. Detailed analysis of the income statement: the interest spread improved in the fourth quarter, and the cost rate of all liabilities decreased (1) Overview and dismantling: due to the impact of net interest income, revenue accelerated growth in the fourth quarter. For the whole year, the positive contribution factors of performance growth are: scale, provision provision; the negative contribution factors are: interest spread, non-interest income, expenses, tax. From the quarter-on-quarter point of view, the positive contribution factors are: scale, interest spread, expenses, provisions, taxation; negative contribution factors are: non-interest income. (2) interest margin: the net interest margin for the whole year of 2021 is 1.62%, which is lower than that of the first half of the year by 0.01pct.
From the perspective of the fourth quarter, the month-on-month growth rate of net interest income is much higher than the growth rate of total assets, and the interest margin or quarter-on-quarter pick-up in the fourth quarter. (3) medium income: in 2021, the net income of handling fees and commissions increased by 14.79% compared with the same period last year, mainly due to the increase in commission income of agency business and bank card business.
two。 Detailed analysis of the balance sheet: both deposits and loans maintain a high growth rate, and the asset structure continues to be optimized. (1) Asset profile: in the fourth quarter, there was an increase of 6 billion yuan in a single quarter, with an increase of 24.58% in loans over the same period last year, and the proportion of loans continued to rise to 51.44%. The proportion of retail loans in total loans increased to 38.11% compared with the middle of the year. (2) debt profile: affected by seasonal factors, the scale of single-quarter deposits decreased in the fourth quarter; by the end of 2021, demand deposits accounted for 37.86%.
3. Detailed analysis of asset quality: the non-performing rate has reached a record low, and the asset quality has improved steadily. (1) Bad: by the end of 2021, the non-performing loan ratio was 0.91%, the month-on-month decline of 1bp, and the non-performing loan ratio hit a new low. Concern loans accounted for 0.91%, an increase of 0.16pct compared with the beginning of the year. (2) overdue:
The overdue rate for the whole year was 0.91%, down 0.04 percentage points from the end of last year. The company classifies the overdue loans for more than 60 days as non-performing loans, and the level of non-performing identification is relatively strict. (3) provision: as of the end of 2021, Xiamen Bank's provision coverage rate was 370.64%, an increase of 41bp compared with the third quarter, and the loan ratio was 3.38%, an increase of 4bp over the middle of the year. (4) Real estate industry: at the end of 2021, the loan balance of the real estate industry was 7.575 billion yuan, a decrease of 27.40% over the previous year; the defect rate was 3.67%, the credit scale was small, and the overall risk was controllable.
Investment advice: Xiamen bank interest rate spreads rebounded in the fourth quarter of 2021, deposits and loans maintained a high growth rate throughout the year, and are optimistic about the accelerated expansion of loan scale supported by the policy in 2022; at the same time, the continuous improvement of asset quality also provides room for performance release. The current share price corresponds to 2022 PB 2023 PB 2024, respectively, giving a "buy" rating for the first time.
Risk hint: asset quality is affected by a higher-than-expected economic decline, and credit risk is concentrated exposed.