CITIC Construction Investment: Listed banks' revenue to improve and performance to remain stable by 2025, with a focus on quality fundamentals and high-dividend targets

Everyday Economic News AI Express, on April 8, the China Securities Construction Investment Securities Bank Industry 2025 annual report summary pointed out that, in 2025, listed banks’ revenue and profit both achieved slight positive growth, with an improving trend. The decline in net interest margin continues to narrow + non-interest income warms up, and listed banks’ core revenue has already returned to the positive growth range. Loan demand has shown no improvement, and the scale growth rate remains stable. With cost optimization on the liability side, the net interest margin basically stabilized at the margin in the fourth quarter. With wealth management gradually recovering, non-interest income growth quickened; amid fluctuations in the bond market, other non-interest income maintained high single-digit growth. Asset quality meets expectations; the non-performing loan formation rate increased quarter-on-quarter, ongoing exposure to corporate real estate risks continues; no turning point has been seen in risks related to retail and small and micro enterprises. Looking ahead to 2026, as the decline in net interest margin narrows and other non-interest income is not significantly dragged down, revenue is expected to continue improving, and profits are able to maintain stable growth. Currently, with the banking industry’s actual operations and expectations further consolidated at the bottom, the sector has strong defensive and risk-hedging attributes, mainly to hedge market risk. Within the sector, it may rotate frequently based on short-term fundamentals and dividend yield valuation comparisons; it is recommended to balance excellent fundamentals and solid dividend yield, focusing on high-quality targets.

Daily Economic News