The Zhitong Finance App learned that CITIC Securities released a research report saying that according to the Bank of Communications (03328), interest business volume increased steadily in the first quarter, rather than the convergence of credit losses to support profit expansion, and operating performance is expected to lead the industry throughout the year. Due to better-than-expected results for the first quarter, the earnings estimates per share for 2025 and 26 were raised to RMB 1.21 and RMB 1.29, respectively, with a target price of HK$7.

According to the report, Bank of Communications's revenue for the first quarter fell 0.03% year on year to 67.06 billion yuan, and net profit increased 1.44% to 24.99 billion yuan. Net interest income increased 2.24% year over year, which was significantly higher than the overall revenue growth rate. The net interest spread for the period was 1.27%. The bank estimates that the company is actively increasing the fine management and allocation of overseas assets of deposits and loans, which provides strong support for interest spreads.