Shares of BOC Hong Kong (02388) are soaring 7.72% in intraday trading on Monday, following the release of the company's impressive 2025 interim results. The stock's surge outpaces the 6.53% increase reported earlier in the day, reflecting growing investor confidence in the bank's performance.
BOC Hong Kong reported robust financial results for the first half of 2025. The company's net operating income before impairment provisions reached HK$40.022 billion, marking a significant 13.26% year-on-year increase. Shareholders' attributable profit totaled HK$22.12 billion, up 10.54% compared to the same period last year. Basic earnings per share stood at HK$2.0952, and the bank proposed an interim dividend of HK$0.58 per share, further boosting investor sentiment.
The strong performance was driven by several factors, including growth in average interest-earning assets, which increased by HK$203.871 billion or 5.7% year-on-year. Despite a slight decline in net interest margin, the bank successfully mitigated the impact of lower market interest rates through strategic deposit management. Additionally, net fee and commission income rose year-on-year, benefiting from recovering investment market sentiment, particularly in insurance, securities brokerage, and fund businesses. The bank's ability to increase net trading gains also contributed to offsetting higher operating expenses and other challenges.