Beijing/Hong Kong, October 30 2019 - China Construction Bank (“the Bank” or “CCB”) China Construction Bank Corporation (“the Bank” or “CCB”) (A-share stock code SH: 601939; H-share stock code HK:939) released its operating results for the third quarter of 2019 on October 30, 2019 (the data herein was prepared according to the International Financial Reporting Standards on a consolidated basis and expressed in RMB unless otherwise stated). According to the report, CCB has maintained steady development since the beginning of this year, with stable and improved business performance, and core indicators including asset size, profitability and asset quality are in line with expectations.

As of 30 September 2019, CCB witnessed a steady growth in assets and liabilities, and a rapid increase of customer deposits and loans. The total assets were RMB24.52 trillion, up by RMB1.30 trillion or 5.58% from the end of last year. The total amount of customer loans and advances was RMB14.87 trillion, representing an increase of RMB1.10 trillion or 7.90% from the end of last year. Customer deposits amounted to RMB18.46 trillion, an increase of RMB1.36 trillion or 7.92 % from the end of last year. CCB's total capital adequacy ratio was 17.30%. Specifically, Tier1 ratio was 14.50% and Core Tier 1 ratio was 13.96%, leading the industry. 

CCB recorded a steady earnings growth and its key performance indicators were robust and balanced during the first three quarters of 2019. CCB achieved a net profit of RMB227.38 billion, of which the net profit attributable to shareholders was RMB225.34 billion, up 5.83% and 5.25% year-on-year respectively. The annualized return on average assets was 1.27% and the annualized return on average equity was 15.13%. Net interest income was RMB379.52 billion, up 3.77% from a year ago. The net interest spread and the net interest margin were 2.12% and 2.27% respectively, both down 0.09 and 0.07 percentage points from a year earlier, remaining at the same levels as the first half of this year. Meanwhile, the income from intermediary business increased steadily. CCB’s net fee and commission income was RMB108.97 billion, representing a 12.89% year-on-year increase. Among those, bank cards, e-banking, agent, custody and other fiduciary businesses enjoyed sound development and incomes saw a rapid growth. The cost-to-income ratio rose by 0.04 percentage points to 23.24% from a year ago.

CCB’s asset quality remained stable on the whole, with its risk mitigation capability further enhanced. With a focus on following the trend of national industrial policy adjustments and supply-side structural reform in its risk prevention and control, the Group was dedicated to improve relevant mechanisms. In 2019, by unremittingly enforcing comprehensive and proactive risk management in a strict and effective manner, its ability to prevent risks continued to be strengthened, and its asset quality remained stable. Under the five-category classification of loans, the non-performing loan balance was RMB211.40 billion, and the non-performing loan ratio was 1.43%, down by 0.03 percentage points from the end of last year. Provision coverage was 218.28%, up by 9.91 percentage points from the end of last year.

In 2019, CCB has enhanced the quality and efficiency of its service to the real economy.  released credit resources through multiple channels, offered more vigorous and efficient support targeting key sectors, and sustained the strategies and projects in key regions including Beijing-Tianjin-Hebei region, the Yangtze River Delta region and Guangdong-Hong Kong-Macao Greater Bay Area to address the financial demand in the transformation from old kinetic energy to new kinetic energy to advance high-quality economic growth. CCB has steadily promoted the three major strategies for House Rental, Inclusive Finance and Fintech, continuously solidifying the basis for development. House Rental strategy has generated noticeable ecological effect. Up till now, the house rental platform has been launched in more than 300 administrative areas at or above prefecture level in mainland China. There are more than 16 million online listings, and more than ten million registered users. CCB’s Inclusive Finance strategy has contributed to the greater landscape of inclusive finance, with innovation leading the market. As of the end of September, 2019, the inclusive finance loan balance was RMB902.58 billion, an increase of RMB292.51 billion from the beginning of this year, and the number of loan customers was 1,265,800, up 247,900 from the beginning of this year, leading among its peers. CCB’s Fintech strategy continues to gather momentum, as it leverages technology and data to drive financial innovation, build a smart financial platform ecosystem, enable the society to actively address social pain points and challenges, and contribute to the high-quality development of the real economy.

CCB has actively fulfilled its mission to build an open, sharing and enabling society. To date, CCB has established 14,320 “Workers’ Harbors” to provide services for more than 89.75 million people. As an enterprise university focusing on new finance and new ecology in the new era, China Construction Bank University (“CCB University”) has pursued the education philosophy featuring professionalism, sharing, technology and internationalization. As of the third quarter of 2019, CCB University provided online training chances for 206,900 employees, online courses for 2,790,000 people and online live programs for 165,500 people. CCB University has conducted 11,700 training courses in five selected series of “Smart Financial Services for Customers” to benefit 1.05 million trainees, so it can continuously empower society.

In the current international and domestic economic situation, CCB always bears in mind its mission as a large state-owned commercial bank. While maintaining steady growth and improving service capabilities, CCB is committed to building a better life, sharing the fruits of modern financial development and helping people realize the Chinese dream through financial innovation.