By Jiahui Huang
China Merchants Bank reported lower net operating income in 2023, marking the first drop since 2009 as non-interest income declined amid sluggish capital markets.
The Chinese bank said late Monday that its net operating income fell 1.64% to 339.08 billion yuan ($47.03 billion). Its net profit was CNY146.60 billion compared with CNY138.01 billion a year earlier.
Profit before tax rose 7.0% to CNY176.62 billion.
The drop in net operating income was largely due to lower non-interest income. In 2023, China Merchants Bank's net non-interest income fell 1.65% to CNY124.41 billion, which it attributed to insufficient effective demand and a continued downturn in capital markets.
The bank's fee and commission income from wealth management fell 7.9% to CNY28.47 billion in 2023.
This year, the bank said it aims to boost fee and commission income from its wealth-management business, and strengthen its market research capabilities.
Write to Jiahui Huang at jiahui.huang@wsj.com
(END) Dow Jones Newswires
03-25-24 2121ET