Recently, Suning Bank announced its 2023 results. According to public information, Suning Bank's total assets reached 1163 by the end of 20235.6 billion yuan, an increase of 11 from the end of the previous year57%；Achieved an operating income of 456.5 billion yuan, a year-on-year increase of 1228%, ranking among the top three banks of the same kind in the country; Achieved a net profit of 105.5 billion yuan, ROA and ROE are28%, with a cost-to-income ratio of 2137%。The balance of inclusive small and micro loans is 1931.9 billion yuan, 300,000 households in the loan.
At first glance, Suning Bank's performance seems to be good. However, Suning Bank's claim in its promotional materials that its economic indicators are "better than the industry average across the board" may be an exaggeration.
From the perspective of asset scale, in 2022, Suning Bank's asset scale was once surpassed by Zhongbang Bank, falling to the fourth place among Internet banks, and in 2023, Suning Bank's asset scale will return to the third place. The name of "the top three Internet banks in terms of asset scale" looks loud, but it is actually "fox and fake tiger". Because the top two Internet banks are WeBank and MYbank, the former has exceeded 500 billion yuan in assets, and the latter has exceeded 480 billion yuan in assets and is approaching the 500 billion yuan mark.
The similar banks that are comparable to Suning Bank are actually Xinwang Bank and Zhongbang Bank, because the assets of the three banks are similar, all of which are about 100 billion yuan. In particular, Xinwang Bank, the overall scale is comparable to Suning Bank. As of press time, Xinwang Bank has not yet announced its full-year financial indicators, and its 2023 interim report shows that as of the end of June 2023, Xinwang Bank's total assets are 10071 billion yuan, a year-on-year increase of 3532%。During the reporting period, the operating income was 235 billion yuan, net profit of 42.7 billion yuan, operating income and net profit increased by more than 40% year-on-year.
According to the data released by Suning Tesco, the major shareholder of Suning Bank, in the 2023 interim report, as of the end of June 2023, Suning Bank's total assets were 106.5 billion yuan and its operating income was 20100 million yuan, net profit of 35.2 billion yuan. In addition to the scale of assets, in the first half of 2023, Xinwang Bank's revenue and net profit exceeded that of Suning Bank in the same period. If Xinwang Bank continues to maintain rapid growth in the second half of the year, Suning Bank's title of "Top Three Internet Banks in Asset Scale" may also be lost.
From the perspective of revenue generation capacity, Suning Bank's cost-to-income ratio in 2023 will be 2137%, up from 2197% further declined. According to statistics, the average cost-to-income ratio of commercial banks is about 30%, and as of 2021, it is 3208%, so the cost-to-income ratio is much lower than that of peers, which has always been one of the advantages of Suning Bank.
Suning Bank's net profit in 2023 is 105.5 billion yuan, with a net profit of 100.5 billion yuan, with a year-on-year growth rate of less than 5%, stepped on the "brakes" compared with the previous high-speed growth - 4520% compared to 66 in 202276%。According to the data released by the State Administration of Financial Regulation, the net profit of commercial banks in 2023 will be 238 trillion yuan, a year-on-year increase of 324%。Suning Bank is still able to outperform the industry average.
From the risk side, Suning Bank's non-performing loan ratio in 2023 will be 117% and a core Tier 1 capital adequacy ratio of 1079%, compared to 099% is up 18 bps.
It is worth noting that the balance of inclusive small and micro loans of Suning Bank in 2023 is 1931.9 billion yuan, compared with 226 in 20222.3 billion yuan decreased by about 3.3 billion yuan, and the number of borrowers decreased from 2360,000 to 300,000. Some analysts believe that it may be due to two factors: banks have contracted their scale in consideration of economic risk factors, and lenders may also reduce their business scale and loan demand due to economic fluctuations, so the average loan balance and total loan balance have declined.
On the whole, Suning Bank has changed from rapid growth in the past to stable development. As market risks rose and the non-performing rate rose, Suning Bank also shrank the balance of inclusive small and micro loans. At the 2023 work summary and 2024 work deployment meeting, Suning Bank executives also said: In terms of development goals, SMB (Jiangsu Suning Bank) does not seek speed, but quality, and aims to achieve a reasonable growth of assets and liabilities with an average annual growth rate of about 15%, and build a benchmark for high-quality development banks in Jiangsu.
Although Suning Bank is consciously controlling expectations and risks, as pointed out by Oriental Jincheng International Credit Rating***, individual shareholders of Suning Bank may face passive equity adjustment due to greater operating pressure or bankruptcy reorganization.
Previously, Kangdexin, one of the shareholders of Suning Bank, has been delisted, and although Suning Tesco, a major shareholder, has been rescued by Jiangsu state-owned assets, the situation is still not optimistic. On the evening of January 30, Suning Tesco released the 2023 annual performance forecast, which showed that although the loss in 2023 will be significantly reduced by more than 70%, the net loss attributable to the parent is still expected to be 32500 million to 42500 million yuan, and Carrefour China's store closure expenses increased.
Suning.com's 2024 pressure is destined to be no less. (Contents**|.)Huabo Business Review).