Summary by Futu AI
BOC Hong Kong announced its first-half performance as of June 30, 2024, with a profit of HKD 20.463 billion, up 13.2% year-on-year, and an increase of 22.0% compared to the second half of 2023. The net interest margin is 1.46%. After adjusting for the income or cost of forex forward contracts, the adjusted net interest margin is 1.61%, an increase of 5 basis points from the previous year. Operating expenses increased by 3.4% year-on-year, and the net operating income before provision for impairment increased by 14.6% year-on-year. The cost-to-income ratio improved by 2.48 percentage points to 22.98% and has been maintained at a better level in the local banking industry. The loan impairment ratio is 1.06%, consistently better than the market average. The total capital ratio is 22.17%; the Tier 1 capital ratio and common equity Tier 1 capital ratio are both 20.05%. Liquidity remains ample, with the average liquidity coverage ratio for the first and second quarters of 2024 and the ending value of the stable funding net ratio meeting regulatory requirements.