Bank of Shanghai 1H net interest income 16.45B yuan

Bank of Shanghai 1H net interest income 16.45B yuan

Industrial & Commercial Bank of China (ICBC) is scheduled to release its first-half financial results on July 02, 2025. Analysts anticipate a 1.7% decline in net profit to 164.05 billion yuan, equivalent to $22.93 billion, for the six months ending June 2025. This marks a decrease from the 166.805 billion yuan reported in the same period last year [1].

The bank's stock has seen a significant rise this year, with a 11% increase following a 36% gain in 2024. This upward trend is driven by expectations that Chinese policymakers will implement measures to stimulate the economy, which has been experiencing a slowdown [1].

Key metrics to watch include the bank's first-quarter net interest income, which dropped 2.9% from a year ago to 156.78 billion yuan. This decline is attributed to lower loan interest rates in the country. Investors will be closely monitoring any further deterioration in this crucial earnings source [1].

Credit impairment losses also decreased 4.9% to 56.97 billion yuan in the first quarter. However, the bank's credit costs remain a focus due to the economic uncertainty caused by U.S. tariffs on China's second-largest economy [1].

The nonperforming-loan ratio stood at 1.33% at the end of March, a slight improvement from 1.34% at the end of 2024. Investors will be looking for any signs of improvement in asset quality [1].

References:
[1] https://www.marketwatch.com/story/icbc-expected-to-report-lower-first-half-net-profit-earnings-preview-ffd628ec