Industrial and Commercial Bank of China (ICBC) has announced its interim results for the six months ended 30 June 2009. ICBC’s profit after tax for the first half of 2009 was RMB66.7 billion, up 2.8% from the same period last year. Earnings per share was RMB0.20. The bank’s annualized return on average total assets and return on weighted average equity reached 1.26% and 20.86%, up 0.05% and 1.43% from the end of last year respectively.
As at the end of June 2009, total outstanding loans of the bank reached RMB5,436.5 billion, an increase of RMB864.5 billion or 18.9% from the beginning of the year. In the first half, total financing for SMEs increased by RMB477.3 billion, or 26%, 7% higher than the total growth in lending business for corporate customers. In terms of supporting domestic consumption, total outstanding personal loans increased by RMB138.6 billion or 16.7% from the beginning of the year.
In the first half, revenue of the bank’s intermediary business reached RMB28.3 billion, an increase of 17% year on year. The investment banking business recorded a revenue of RMB7.143 billion, an increase of 48.1% year on year. Investment banking accounted for approximately 25% of total revenue of the intermediary business.
The number of the newly issued cards of the bank reached 28.56 million with consumption volume reaching RMB617.2 billion, an increase of 62.3% year on year, of which the number of newly issued credit cards reached 6.65 million with consumption volume of RMB199.5 billion, an increase of 80.1% year on year.
Jiang Jianqing, chairman of ICBC, said: Although both the domestic and international financial sectors have shown various degrees of stabilisation, there are still obvious signs of instability, uncertainties and imbalances. The business environment is still difficult and challenging. In the second half, ICBC will continue to proactively adapt to the changes and development in the economy and financial sector, and step up its efforts in risk control, reform and innovation, and structural adjustments. ICBC will explore new growth areas to maintain the sustainability of earnings growth.
