ICBC Posts Fastest Net Profit Growth in Three Years Amid Declining NPL Ratio
Liao Shumin
DATE:  Mar 28 2018
/ SOURCE:  Yicai
ICBC Posts Fastest Net Profit Growth in Three Years Amid Declining NPL Ratio ICBC Posts Fastest Net Profit Growth in Three Years Amid Declining NPL Ratio

(Yicai Global) March 28 -- China's largest state-owned commercial bank, the Industrial And Commercial Bank Of China, has posted its fastest growth in net profit for the past three years for last year, amid economic growth and a decrease in its non-performing loan ration.

The Beijing-based lender reported a net profit of CNY286.0 billion (USD45.5 billion) last year, up 2.8 percent annually, and higher than the CNY281.7 million it had expected, in its annual report.

ICBC's NPL ratio at the end of last year was 1.55 percent, down from 1.62 percent the year before. In addition, the bank's NPL provision coverage was 154.07 percent, higher than the 136.69 percent posted the year before, and the bank is more strongly equipped to cope with the associated risks.

ICBC's governor Gu Shu said at the performance briefing that the bank's NPL ratio declined last year thanks to solid foundation including decrease in individual indicators, favorable macroeconomic environment, good mechanisms as well as continuous improvement in credit quality basis.

In the past few years, the continuous increase in the NPL ratio has once increased investors' concerns, however, the quality of state-owned banks' assets has improved last year.

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Keywords:   Industrial And Commercial Bank of China,Financial Results