BankofJiujiang (06190) reported a solid first-half 2026 performance, underpinned by higher fee income and resilient asset quality.

Key Financials (six months ended 30 Jun 2026): • Operating income slipped 2.3% year on year to RMB 5.22 billion, but net commission and fee income increased 13.4% to RMB 334.60 million, lifting its contribution to 6.41% of operating revenue (H1 2025: 5.52%).

• Net interest income grew 1.3% to RMB 4.15 billion. Net interest margin expanded 2 bp to 1.69% as the average yield on interest-earning assets (3.25%) declined less than the average funding cost (1.56%).

• Operating expenses fell 2.3% to RMB 1.42 billion, supporting a marginal gain in the cost-to-income ratio to 26.29% (H1 2025: 25.79%).

• Net profit attributable to shareholders rose 6.2% to RMB 386.73 million; basic and diluted EPS both advanced to RMB 0.02.

Balance-Sheet Highlights (30 Jun 2026 vs 31 Dec 2025): • Total assets increased 2.1% to RMB 534.27 billion; net loans to customers grew 1.2% to RMB 325.09 billion, led by a 3.3% rise in corporate lending.

• Customer deposits climbed 3.5% to RMB 419.38 billion, lowering the loan-to-deposit ratio to 79.49% (31 Dec 2025: 81.18%).

• Asset quality remained contained: the non-performing loan ratio ticked up to 1.93% (31 Dec 2025: 1.81%), while the allowance coverage ratio declined to 152.21% (177.40% at year-end).

• Core Tier-1 capital adequacy improved to 8.87% (8.36%), and the total capital adequacy ratio rose to 13.49% (10.97%). The leverage ratio strengthened to 7.87% (6.31%).

Liquidity & Funding: • The liquidity coverage ratio surged to 388.10% (260.29%), and the liquidity ratio stood at 86.38% (88.46%). • Interbank negotiable certificates of deposit outstanding fell by RMB 7.09 billion to RMB 35.46 billion, signalling a shift toward more stable funding.

Business Developments: • Corporate loan book reached RMB 225.72 billion, with manufacturing, wholesale & retail, and business services the top sectors. • Retail loans declined to RMB 75.64 billion, reflecting lower residential mortgage volumes. • Green finance loans grew 10.26% year on year to RMB 47.32 billion; inclusive finance loans to micro and small enterprises rose 2.1% to RMB 39.90 billion.

Capital Actions: • In H1 the bank redeemed RMB 7.00 billion of perpetual bonds and paid RMB 336.00 million in distributions on other equity instruments. • A non-public issuance plan for up to 860 million domestic shares and up to 175 million H-shares was approved on 28 Feb 2026 to bolster Core Tier-1 capital; a first batch subscription agreement covering 494.20 million domestic shares has been signed.

Outlook: BankofJiujiang continues to target “stable growth, risk control, and structural optimisation” while pursuing inclusive and green finance. The board has proposed no interim dividend. The bank affirms that its capital buffers exceed regulatory minimums, positioning it to support regional economic development amid a complex external environment.