Agricultural Bank of China earned nearly 136.5 billion RMB in the first six months of 2024. The net profit is 2 percent above the last year´s interim net profit. Operating income grew by only 0.37 percent on the year-on-year basis, according to its interim financial report which was released at the end of August. The bank´s operating income reached 367.1 billion RMB.

Despite a soft increase of operating and net profits, the bank´s profitability recorded a constant soft decrease during last three years. The return on weighted average net assets decreased from 11.92 in 2022 to 10.75 in 2024. Similar trajectory can be seen in return on average total assets. On the other hand, the cost-to-income ratio keeps stable level.

Agricultural Bank of China is dependent on the development on the economic situation of China. In the first half China´s overall economy was generally stable with steady progress and continued the trend of sustained recovery and growth.

China´s banking sector (including Agricultural Bank of China) achieved the growth of total assets in the first half of 2024. Such a development maintained generally stable asset quality and the bank remained resilient against risks. Looking ahead to the second half of 2024, the stable operation and long-term growth trend of China’s economy will not change, the report claims.

The stocks of Agricultural Bank of China gained nearly 28.5 % since the beginning of this year.* They are firmer by more than 30 % on the year-on-year basis.* The stocks were being traded on the all-time-high levels at the end of August, nowadays the stocks have lost a minimal value compared to the all-time-highs.[1]

Agricultural Bank of China provides a diverse portfolio of corporate and retail banking products and services for a broad range of customers and conducts treasury operations and asset management. Its business scope also includes, among other things, investment banking, fund management, financial leasing and life insurance.

* Past performance is no guarantee of future results.

[1] https://www.investing.com/equities/agricultural-bank-of-china