Bank of China Ltd. Q4 FY2025 earnings call

Operating efficiency steadily improved with cost-to-income ratio 0.93 CPT year-on-year. Resilience of development enhanced with net interest income turning positive in second half and non-interest income growth. Balanced asset and liability growth with group total assets and liabilities increasing. Assets quality stable. Market recognition and shareholder returns high. Firmly supporting high-quality development of real economy in various areas. Firmly expanding global advantage and supporting high-level opening up. Formally consolidate client base and enhance competitiveness in key sectors. Firmly coordinated development of safety, safeguards, risk and compliance. Firmly promote digital transformation and deepen intelligent empowerment. Firmly practicing sustainable development and fulfill social responsibility.

Operating income reached about 659.9 billion RMB, an increase of 4.28% year-on-year. Net interest income in the second half of the year turned positive. Non-interest income increased 19.21% year-on-year and maintained a high proportion of 63.21% of operating income. Group total assets reached 38.36 trillion RMB, up by 9.4% from last year. Total liability reached about 35.15 trillion RMB, up by 9.47%. Asset quality remained stable with NPL ratio at 1.23%, down by 0.002 ppt from last year end. Overseas pre-tax profit contribution increased to 27.99%.

2026 is first year of 15th five-year plan period. Will focus on high-quality support for real economy, high-quality support for opening up, promote high-quality value creation, high-quality digital and intelligent empowerment, high-quality foundation and stability oriented management development. Adhere to various orientations like innovation-oriented, advantage-oriented, value-oriented, foundation-oriented, stability-oriented, intelligence-oriented development.

External environment full of uncertainties with global economic growth slowing and geopolitical situations sharp changes. Frequent regional conflicts and tensions threaten safety of some overseas branches. Personal loan business faces certain pressure against macroeconomic cycle and employment structure changes. Changes in U.S. tariff policies and frequent geopolitical conflicts bring potential challenges to asset quality control.

Includes multiple exchanges like analyst asking about strategic planning and business strategy, another about deposits growth and liability management, another about net interest margin in low interest rate environment, etc., with respective answers from bank management