PSBC delivers its first "annual report" after the new chairman takes office, with revenue growth rate leading peers and net interest margin remaining robust

After appointing the new chairman Zheng Guoyu at the beginning of 2025, Postal Savings Bank of China released its first "annual report" under the new leadership.

The annual report disclosed on the evening of March 27 shows that in 2024, the company achieved operating income of 348.775 billion yuan, a year-on-year increase of 1.83%, ranking among the top state-owned banks in growth rate. At the same time, the bank's net profit attributable to shareholders reached 86.479 billion yuan, a year-on-year increase of 0.24%, closely following the earlier announced annual report of Bank of Communications.

Additionally, as an emerging retail banking giant, Postal Savings Bank maintained a net interest margin of 1.87%, leading the industry.

In terms of total assets, Postal Savings Bank reached 17.08 trillion yuan by the end of 2024, an increase of 8.64% from the end of the previous year, with total liabilities of 16.05 trillion yuan, an increase of 8.69%, ranking fifth among state-owned banks in terms of asset and liability scale.

Revenue and Profit Both Increased

In 2024, Postal Savings Bank strengthened the refined management of interest margins, expanded non-interest income sources, and worked hard to improve comprehensive income.

During the reporting period, Postal Savings Bank achieved operating income of 348.775 billion yuan, a year-on-year increase of 1.83%; among them, net interest income was 286.123 billion yuan, a year-on-year increase of 1.53%; the net interest yield was 1.87%, maintaining a relatively good level in the industry; non-interest income was 62.652 billion yuan, a year-on-year increase of 3.21%.

The total profit reached 94.592 billion yuan, a year-on-year increase of 3.27%. The net profit attributable to the bank's shareholders was 86.479 billion yuan, a year-on-year increase of 0.24%.

As of the end of the reporting period, Postal Savings Bank's total assets reached 17.08 trillion yuan, an increase of 8.64% from the end of the previous year; among them, total customer loans were 8.91 trillion yuan, an increase of 9.38% from the end of the previous year. Total liabilities reached 16.05 trillion yuan, an increase of 8.69%; among them, customer deposits were 15.29 trillion yuan, an increase of 9.54% from the end of the previous year.

Slight Decrease in Provision Coverage Ratio

In 2024, Postal Savings Bank's non-performing loan ratio was 0.90%, and the non-performing loan generation rate was 0.84%.

As of the end of the reporting period, the provision coverage ratio was 286.15%.

It is worth mentioning that the provision coverage ratio decreased by 61 basis points compared to the end of 2023.

Dividend of 11.3 Billion Yuan

Postal Savings Bank will distribute a cash dividend for the year 2024 to all common shareholders registered on the equity registration date based on the total share capital registered on the equity distribution registration date As of the announcement date (March 27), based on the total ordinary share capital of the bank, a cash dividend of RMB 1.139 (tax included) will be distributed for every 10 shares of ordinary stock, totaling RMB 11.294 billion (tax included). In addition, the mid-term cash dividend of RMB 1.477 (tax included) for every 10 shares already distributed in 2024 brings the total cash dividend for the entire year of 2024 to RMB 2.616 (tax included) for every 10 shares, amounting to a total cash dividend distribution of RMB 25.941 billion (tax included), which accounts for 30% of the bank's net profit attributable to shareholders of the bank under the consolidated financial statements for 2024.

Among them, the amount for share repurchase and cancellation (hereinafter referred to as repurchase and cancellation) using cash as consideration, through tender offer and centralized bidding, is RMB 0. The total amount of cash dividends and repurchase and cancellation is RMB 25.941 billion, accounting for 30% of the bank's net profit attributable to shareholders of the bank under the consolidated financial statements for 2024.

This profit distribution does not implement a capital reserve transfer to increase share capital. This profit distribution plan is subject to approval at the bank's 2024 annual general meeting of shareholders before it can be implemented.

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