Galaxy Securities: Most banks' full-year performance in 2025 has improved compared to the first three quarters.

Galaxy Securities research report stated that recently, China CITIC Bank and Ping An Bank released their annual reports for 2025, and Shanghai Bank released its performance quick report for 2025. From the performance disclosed by 14 banks currently, most banks have shown improvement in their full year performance in 2025 compared to the first three quarters. Among them, some joint-stock banks have achieved a rebound in revenue growth, and some regional banks have continued to maintain a high level of profit growth compared to their peers. Overall, the credit growth of the 14 banks is stable, and it is expected that the improvement in performance will mainly benefit from the narrowing of the interest rate spread and stabilization, while the non-performing loan rate is stable with a downward trend, and the provision coverage ratio remains at a relatively high level. It is expected that provisions release will still contribute to net profit. The provision coverage ratio of some banks in the fourth quarter of 2025 has increased, and it is not ruled out that provisions may be strengthened in key areas.