Postal Savings Bank of China has the largest number of &#34;branches&#34; globally, with approximately 40,000. This is its strength and also its future potential.
On April 29th, the &#34;king of branches&#34; Postal Savings Bank of China released its first quarter report for 2024.
The report shows that in the first quarter, Postal Savings Bank of China achieved operating income of 89.43 billion yuan, a year-on-year increase of 1.44%; and achieved a net profit attributable to bank shareholders of 25.926 billion yuan, a year-on-year decrease of 1.35%. As of the end of the first quarter, Postal Savings Bank of China's total assets reached 16.33 trillion yuan, an increase of 3.85% from the end of the previous year.
In terms of asset quality, as of the end of March, Postal Savings Bank of China's non-performing loan ratio was 0.84%, and asset quality remained stable; the provision coverage ratio was 326.87%, indicating sufficient risk coverage capacity.
Facing the challenges of narrowing interest margins and slowing income and profit growth in the banking industry, Postal Savings Bank of China maintained a healthy and stable development trend in the first quarter.
The quarterly report shows that in the first quarter, Postal Savings Bank of China made efforts to promote stable interest margin performance with a high-quality and differentiated development strategy. The net interest margin was 1.92%, maintaining an excellent level among state-owned major banks; net interest income increased by 3.13% year-on-year, with a growth rate 0.13 percentage points higher than in 2023.
It is reported that Postal Savings Bank of China continues to promote refined management of asset-liability. On the asset side, it implements an integrated strategy for credit and non-credit assets. In credit business, it adheres to a balance between &#34;quantity and price risk,&#34; with the balance of credit differentiated growth reaching 53.1 trillion yuan, accounting for 62.34% of total loan balances, an increase of 0.35 percentage points from the end of the previous year. The incremental loans in the &#34;two small&#34; areas of &#34;agriculture, rural areas, and farmers&#34; and small and micro-enterprises reached a historical high.
On the liability side, it continues to optimize the development mechanism of valuable deposits, promote the optimization of liability types, terms, and interest rate structures, and continuously consolidate the existing advantages of liability costs. The interest rate on deposits in the first quarter was 1.48%, a decrease of 5 basis points from the end of the previous year

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The deposit interest rate for the first quarter decreased by 5 basis points compared to the end of the previous year

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"The King of Branches" Postal Savings Bank of China First Quarter Report: Revenue increased by 1.44% year-on-year, with a slight decrease in net profit