In the third quarter report, jiangsu changshu rural commercial bank's non-interest income reached 1.467 billion yuan, further increasing to 17.53% in proportion, with investment income becoming a key driver of high growth; The trend of rising non-performing loan ratio remains difficult to control, increasing to 0.77% in the third quarter, up 0.01 percentage points from the interim report.
Financial Association News October 24 (Reporter Zou Juntao) On the evening of October 24, jiangsu changshu rural commercial bank released the third quarter report of 2024. The report shows that in the first three quarters of this year, jiangsu changshu rural commercial bank achieved operating income of 8.37 billion yuan, an increase of 11.30% compared to the same period last year; achieving a net profit attributable to shareholders of the listed company of 2.976 billion yuan, an increase of 18.17% compared to the same period last year.
Financial Association News reporters noted that similar to the situation in the first half of this year, jiangsu changshu rural commercial bank's performance in the third quarter achieved double-digit growth, driven by high growth in non-interest income such as fees, commission, and investment income. However, it is worth noting that jiangsu changshu rural commercial bank's non-performing loan rate continued to rise in the third quarter.
The proportion of non-interest income has increased to 17.53%, supporting continued high growth in performance.
The report shows that in the first three quarters of this year, jiangsu changshu rural commercial bank's cumulative operating income was 8.37 billion yuan, of which net interest income was 6.903 billion yuan, an increase of 6.15% compared to the same period last year, accounting for 82.47% of total revenue. Non-interest income amounted to 1.467 billion yuan, accounting for 17.53% of total revenue.
By increasing the proportion of non-interest income to further drive overall performance growth, jiangsu changshu rural commercial bank has already shown progress in the interim report. In the first half of this year, jiangsu changshu rural commercial bank's non-interest income accounted for 16.42%, an increase of nearly 5 percentage points from the same period last year, with double-digit growth in revenue and net profit. From the third quarter report, the proportion of non-interest income at jiangsu changshu rural commercial bank has further increased significantly.
Further analysis of the non-interest income structure of jiangsu changshu rural commercial bank reveals that it mainly relies on fee and commission income and investment income, with the latter being more crucial. The report shows that in the first three quarters of this year, jiangsu changshu rural commercial bank's net fee and commission income expanded to 65.088 million yuan, an increase of 260.02% compared to the same period last year; investment income expanded to 1.339 billion yuan, an increase of 92.54% compared to the same period last year.
The mid-year report shows that in the first half of the year, jiangsu changshu rural commercial bank's investment income had already reached 0.917 billion yuan, a 95.96% year-on-year increase. Jiangsu changshu rural commercial bank disclosed that the main reason for the high increase in investment income was the substantial growth in investment income obtained from disposing of debt investments. As of the end of June this year, jiangsu changshu rural commercial bank held government bonds totaling 17.787 billion yuan, accounting for 18.18% of the total financial investment of the bank.
It is worth noting that, the fair value change income of jiangsu changshu rural commercial bank was -0.115 billion yuan in the third quarter report, and this part of the income was 8.976 million yuan in the interim report.
The non-performing loan ratio increased to 0.77%, with an increase of 0.01 percentage points in the third quarter.
The interim report shows that there are signs of an increase in non-performing loan ratio of jiangsu changshu rural commercial bank, which continued to rise in the third quarter.
The report indicates that as of the end of September this year, the non-performing loan ratio of jiangsu changshu rural commercial bank was 0.77%, an increase of 0.02 percentage points from the beginning of the year, and an increase of 0.01 percentage points from the first half of the year. During the same period, the bank's provision coverage ratio was 528.40%, further declining from the first half of the year.
It is worth mentioning that this situation of jiangsu changshu rural commercial bank has also attracted the attention of institutions. On September 9, jiangsu changshu rural commercial bank disclosed in the investor relations activity record that an institution asked, 'In the first half of this year, the bank's non-performing loan ratio and provision coverage ratio ranked among the top in listed banks. How do you outlook the asset quality and provision coverage ratio for 2024?'
At that time, jiangsu changshu rural commercial bank responded by stating, 'We have always adhered to managing the direction, the industry, the employees, and building the system well. We control risks strictly through the 'before, during, and after' risk management mode. As of the end of June 2024, our bank's non-performing loan ratio was 0.76%, provision coverage ratio was 538.81%, and the overall asset quality was good. Looking ahead to 2024, we will uphold a prudent risk appetite, continuously improve the risk control system, enhance risk offsetting capabilities, and keep the non-performing loan and provision coverage ratios stable overall.'
