j. p. 摩根-xx银行业2017上半年回顾：资产质量持续改善-20170831-jpmorgan-china banks 1h17 results review asset quality improvement continues.pdf

Completed 31 Aug 2017 06:12 AM HKT Disseminated 31 Aug 2017 06:24 AM HKT Asia Pacific Equity Research 31 August 2017 China banks 1H17 results review: asset quality improvement continues [ex A shares] China banks reported 1H17 profit growth of ~5% YoY (vs 1% yoy in 2H16) in a Banks Financial Services strong set of results. a) NIM recovered sequentially for big banks and contraction AC Katherine Lei stabilized for small banks. b) OPEX declined, though this is unlikely to continue. (852) 2800 8552 c) Asset quality improvement continued, reducing credit costs. Some banks raised katherine.lei@ provisions as revenue growth recovers. CMB, BOC, and ICBC beat expectations, Bl mberg JPMA LEI GO while Minsheng and CRCB disappointed. We expect pre-provisional growth to Stephen Tsui, CFA stabilize. NIMs should be stable barring policy rate hikes, fee income growth may (852) 2800 8592 recover as negative impacts from regulatory tightening factored in, but positive stephen.tsui@ impacts were partly offset by rebounding OPEX. Credit cost is a key swing fac