Gelonghui November 1 | Dahua Jixian published a report stating that CCB's third-quarter profit increased by 2.6% year-on-year, which is generally in line with the company's expectations. Although revenue declined, impairment losses were reduced by 24%, and profit for the first three quarters was 255.5 billion yuan, equivalent to 75% of the bank's full-year forecast. According to the report, CCB's operating income for the third quarter fell 2.1% year on year, mainly because net interest spreads narrowed by 30 basis points, fee income fell 1.3%, and the pressure to narrow net interest spreads eased. The third quarter fell 7 basis points quarterly, which narrowed slightly compared to the 8% decline in the second quarter. According to the bank's calculations, return on assets fell 5 basis points to 3.34%, mainly due to falling loan market quoted interest rates (LPR) and market interest rates, while the cost of capital ratio rose. The bank lowered its profit forecast for the three-year period from this year to 2025 by 1%, 4.2% and 5.2% respectively. The target price was slightly lowered from HK$6.1 to HK$6, reflecting next year's forecast market account ratio of 0.43 times, maintaining the “buy” rating.