Bank of Chengdu Co Ltd Financial Update

On April 28, 2025, Bank of Chengdu Co Ltd, a prominent financial institution listed on the Shanghai Stock Exchange, is set to release its quarterly results for the period ending December 31, 2024. Analysts anticipate a profit per share of 0.965 CNY, a slight increase from the 0.920 CNY reported in the same quarter of the previous year. However, revenue is expected to decline by 46.48% compared to the 10.72 billion CNY reported in the prior year’s quarter, with projections estimating a revenue of 5.74 billion CNY for the recent quarter.

For the fiscal year, analysts predict a profit per share of 3.18 CNY, up from 2.98 CNY in the previous fiscal year. Revenue forecasts for the concluded fiscal year suggest a total of 22.81 billion CNY, a significant drop from the 42.77 billion CNY reported in the previous fiscal year.

Market Performance and Sector Trends

On the same day, the A-share market experienced a slight downturn, with the Shanghai Composite Index falling by 0.2% and the Shenzhen Component Index declining by 0.62%. Despite the overall market weakness, the banking sector showed resilience, with Bank of Chengdu Co Ltd among the banks leading the charge. The banking sector, along with power, oil, and steel sectors, saw significant inflows of net funds, with over 28 billion CNY entering the banking sector alone.

The banking sector’s strength was further highlighted by the performance of several banks, including the Bank of China, Industrial and Commercial Bank of China, Jiangsu Bank, and Chengdu Bank, which all reached historical highs. This trend was mirrored in the Hong Kong market, where the Hang Seng Mainland Banks Index and the Hong Kong Listed Banks Index also saw significant gains.

Economic and Policy Context

The People’s Bank of China has indicated a commitment to implementing more proactive macroeconomic policies, including maintaining ample liquidity and potentially adjusting interest rates and reserve requirements to support economic stability and growth. This approach is expected to bolster the banking sector, which is seen as having a relatively robust foundation compared to other industries.

Analysts from Citic Securities suggest that despite ongoing trade tensions, the banking sector remains a valuable investment due to its stable fundamentals. They recommend increasing allocations to the banking sector, considering its potential to withstand economic fluctuations better than many other industries.

Conclusion

As Bank of Chengdu Co Ltd prepares to disclose its financial results, the broader banking sector’s performance reflects a strong start to the year, supported by favorable policy measures and a resilient economic outlook. Investors are closely watching these developments, particularly in light of the anticipated adjustments in global trade policies and their potential impact on the financial markets.