Huishang Bank Corporation Ltd. - H shares, 03698.HK - Company Profile
Chairman
Wu Xuemin
Share Issued (share)
3,479,000,000
Par Currency
Renminbi
Par Value
1.0
Industry
Banks
Corporate Profile
Business Summary: The Bank’s principal activities in the PRC include the taking of deposits from corporate and retail customers, the granting of loans using the deposits received, and the conducting of capital business, which includes money market activities, investment and trading activities and transactions on behalf of customers. Performance for the year: In 2019, the Bank had net operating income of RMB31,313 million (including net income from investment in associates), representing an increase of RMB4,223 million or 15.59% as compared with last year. In 2019, the Bank recorded net profit of RMB10,062 million, representing an increase of 13.57% as compared with last year. Business Review Wholesale banking Business overview The Bank provides a full range of wholesale financial products and services to corporations, financial institutions and governmental and institutional customers. During 2019, based on its characteristics as a city commercial bank, the Bank continued to develop its local market in Anhui Province while exploring markets in Nanjing and other provinces, and provided customers with comprehensive financial services and fully supported the development of the real economy by leveraging various products, means and tools. The Bank continued to strengthen its advantage in the traditional wholesale business with municipal, governmental and institutional customers. It has further accelerated the innovation of its business modes and products, continued to foster new business growth point, adjusted its business structure, enhanced risk control, fully increased its asset profitability, facilitated the steady increase of interest income and rapid growth of the proportion of non-interest income in total income, and promoted the fast and healthy development of the wholesale business. As of 31 December 2019, the Bank’s market share of domestic and foreign currency corporate deposit continued to rank the first in Anhui Province for twelve consecutive years. Transformative businesses including investment banking and transaction banking all achieved rapid growth and innovative businesses including loans dedicated to people’s livelihood and rural revitalization were widely recognized by the market. In 2020, in the constant aim of comprehensive development, the Bank will positively respond to market changes, continue to expand quality clients and strive to strengthen product innovation and services optimization to accelerate structural adjustment and business transformation and enhance professional service ability, so as to provide professional and comprehensive financial services to clients, whereby striving to realize sustainable development of wholesale banking business as well as fully supporting the development of the real economy. Corporate loans The Bank’s corporate loans mainly include working capital loans, fixed asset loans, PPP project loans, supply chain financing and other loans. During 2019, the Bank, in compliance with laws and regulations, adhering to the principle of “taking protective or suppressive measures” and with reference to macro-economic policies of China, further optimized the industry structure of corporate loans by prioritizing its support to emerging strategic industries, modern services industries and traditional industries with competitive advantages and introduced innovative businesses including loans dedicated to people’s livelihood and rural revitalization and loans for pension institutions. The Bank made great efforts to develop green loans such as new energy, energy conservation and environmental protection loans, and effectively controlled the growth of government financing platforms and loans to the “Non-green Industries”. As of 31 December 2019, the Bank’s balance of corporate loans (including discounted bills) was RMB285,653 million, representing an increase of RMB49,133 million from the last year. Corporate deposits While intensifying its efforts to maintain existing customers, the Bank put emphasis on application and innovation of its deposit product portfolios, and enhanced coordinated marketing of corporate banking business and personal banking business, so as to provide integrated services solutions to customers and improve comprehensive income of its various businesses. Through making all-out efforts to develop businesses such as investment banking, supply chain finance, cash management, bill and custody business, the Bank has taken in a substantial amount of low-cost corporate deposits by continuously improving the quality of customer services and broadening the sources of deposits. As of 31 December 2019, the Bank’s balance of corporate deposits amounted to RMB384.642 billion (excluding margin deposits). People’s livelihood loan business In order to implement the relevant policy requiring the financial support for people’s livelihood and to broaden the financial services pipeline for bidding and tendering projects, the Bank launched the “livelihood loan” series of products. The launch of the “livelihood loan” products effectively alleviated the problem of financing difficulties for the bid-winning enterprises in the livelihood projects, and has greatly promoted the development of the real economy. As at the end of 2019, the cumulative approval amount of the livelihood loan business was RMB15.787 billion. Transaction banking In 2019, the Bank regarded the digital transformation of Fintech-driven products and returning to the fundamental purposes of trading to consolidate the customer base as the focus of the transformation and development of supply chain finance. Leveraging on the innovative products with Internet, digitization and intelligent service, the Bank focused on major industries and industry chain scenarios to improve the ability of services to business customers and enhance the quality and effectiveness of financial service for small and macro and private enterprises with the support of supply chain finance. Cash management business is a strategic transaction banking business of the Bank in response to the challenge brought by interest rate liberalization. Through the establishment of a transaction banking business model to provide various services including account management, receipt and payment management, liquidity management, investment and financing management, risk management and information services, the Bank was committed to building a domestic and foreign currency integrated transaction banking services platform, to give full play to advantage of the strength of professional services of transaction banking and meet cash management demands of customers during the entire transaction process, thus comprehensibly promoting the fast development of online corporate banking business. By vigorously promoting product innovation and increasingly expanded customer base and services scope, cash management comprehensive services ability and market influence of the Bank were significantly enhanced. Particularly, the Bank’s advantageous asset and cash management scheme for government and industries is taking a leading position. During 2019, the transaction amount of cash management business of the Bank exceeded RMB2,100 billion, representing an increase of 31% from the last year. In 2019, based on the overall balance of assets size, liquidity, profitability and risks, the Bank actively responded to the changes in the business environment and scientifically followed the development pace of bills business development, to enhance the profitability of bills business and facilitate the full compliance and healthy development of bills business. As of 31 December 2019, the Bank’s balance of direct discounted bills was RMB7,495 million, an increase of RMB4,080 million from the end of last year. The Bank’s balance of transferred discounted bills amounted to RMB14,375 million, representing a year-on-year increase of RMB4,433 million. In 2019, persistently adhering to customer-centric service philosophy, the Bank constantly sought breakthroughs in product innovation of international business to improve its international market share and gave full play to the advantages of professional services, to fully enhance the ability of comprehensive financial services. As at the end of 2019, the Bank completed cross-border settlement in a total of USD7,660 million; the accumulatively granted on-sheet international trade financing amounted to RMB7,100 million; domestic letters of credit and financing business thereunder amounted to RMB33,200 million; and financing external guarantee amounted to USD1,827 million. The business volume in all respects has been steadily improved. In 2019, against the backdrop of two-way fluctuation in the exchange rate, the Bank closely followed the trend of the market and developed the transactions conducted on behalf of clients and proprietary transactions simultaneously on the prerequisite of strictly controlling risks and ensuring liquidity, accomplishing a total volume of foreign exchange transactions of USD21,489 million (including spot foreign exchange, forward foreign exchange, foreign exchange swap, foreign currency lending). In developing correspondent banking channels, the Bank implemented its new layout and new strategies of correspondent banks in line with “One Belt, One Road” initiative and further improved its overseas network of correspondent banking relationships based on customer and business development demands. As of the end of 2019, the number of correspondent banks of the Bank was 682, and the total number of overseas clearing accounts for the main settlement currencies amounted to 14. It also further improved the anti-money laundering compliance risk management system for overseas agency business. As the Bank constantly optimized correspondent banking structure and improved clearing channels, correspondent banking customer demands for clearing and settlement services were fully satisfied. Investment banking business To promote its business transformation, the Bank focuses on developing investment banking services such as lead underwriting of debt financing instruments, asset securitization, M&A financing, structural financing, investment and financing consulting. The Bank continually enriches its investment banking products by launching innovative products such as asset securitization, direct wealth management financing instruments, debt financing plans, credit risk mitigating instruments and other innovative products. After being promoted to type A lead underwriting qualification by the National Association of Financial Market Institutional Investors, the Bank has vigorously promoted the underwriting business of debt financing instruments. During 2019, the Bank completed the registration of 18 debt financing instruments, with a total registered amount of RMB34.55 billion; and completed the issuance of 31 debt financing instruments with an underwriting amount of RMB14.80 billion, increasing by 24.58% as compared to last year. Among that, the Bank completed the registration of 6 debt financing instruments, with a total registered amount of RMB10.70 billion; and completed the issuance of 6 debt financing instruments with an underwriting amount of RMB3.60 billion in Jiangsu, demonstrating its great achievements in expanding debt financing instruments business there. At the same time, through independent creation of credit risk mitigation vouchers, the Bank helped private enterprises in debt issuing and financing, realized the breakthrough of bond financing support tools business, and effectively mitigated the difficulty in and high cost of financing for private enterprises. Since 2019, with joint efforts of its head office and branches, the Bank continued to make breakthroughs in the asset securitization business, completing the lead underwriting business of multiple corporate asset securitization products. The Bank also achieved rapid growth in debt financing plan business and further satisfied the diversified corporate financing needs. Business overview In 2019, through intensifying its efforts in market expansion, enriching marketing campaigns and models, innovating financial products and services and accelerating business channel and team building, the Bank continually promoted the construction of inclusive finance systems, wealth management and private banking systems and transformation and upgrade of the Bank's outlets. These efforts have helped lay a solid foundation for retail business development of the Bank and improve the performance indicators and regional competitiveness of its retail business. In 2019, as the Bank’s active customers maintained a steady growth, and the number of medium-to-high-value customers grew fast, the structure of customer base was further optimized. As of the end of 2019, the number of customers with customer equity of RMB500,000 or above amounted to 146,423, representing an increase of 55.1% as compared with the beginning of the year. The number of customers with customer equity over RMB2 million increased by 62.6% from the beginning of the year. Wealth management business maintained a rapid growth rate, with the Bank’s personal financial assets under management (AUM) reaching RMB330 billion, sales and ownership of wealth management products (WMPs) growing rapidly, and sales of PRC treasury bonds maintaining a leading position in the province. The scale of deposits and loans of retail customers expanded continuously. New indicators for retail deposits reached a historic high. Market share of retail deposits in Anhui Province has kept rising since the listing of H Shares of the Bank. Moreover, the growth rate of retail deposits has surpassed the average growth rate of Anhui Province for several consecutive years since the listing. The scale of retail deposits at county level maintained a relatively fast growth. The business scale of retail loans continued to expand, with the scale of retail loans exceeding RMB170 billion and pricing levels of retail loans being improved constantly. In 2019, the bank card business maintained good momentum of development with new breakthroughs were made in product design and channel building. The scale of card issuance grew steadily, the number of card issuance accelerated and the number of active cards and average balance per card continued to increase. As of the end of 2019, the debit card business continued to develop with total transaction volume via debit cards amounting to 399 million, and transaction amount via debit cards amounting to RMB3.34 trillion. Throughout the year, the Bank has realized a debit card transaction volume of 8.2846 million, representing an increase of 28.83% as compared with the corresponding period of the last year, and the transaction amount amounted to RMB75.725 billion, representing a decrease of 5.96% as compared with the corresponding period of last year. With the strong impacts of interest rate liberalization and fintech, and the increasingly stringent regulatory environment, the retail business will be under the operating pressure to a considerable extent. Nevertheless, the Bank will actively grasp the development opportunities, stick with the basic role of financial services and improve comprehensive ability of its personal banking services. Through improving its retail business philosophy, management standard, innovation capability and technology level, the Bank will strengthen the retail business talent pool, improve the capabilities of outlets, broaden wealth management product lines, improve service quality, strengthen data analysis ability and advance digital transformation of retail business. At the same time, the Bank will accelerate the building of wealth centers, and lay a solid foundation for the construction of inclusive finance, mobile finance and transformation and upgrade of the Bank's outlets, so as to further optimize the structure of the retail business, maintain a rapid and healthy growth in each of the retail business, and comprehensively improve the overall competitiveness of the retail business and its contribution to the entire business. Wealth management business The Bank’s personal wealth management business mainly includes personal wealth management services, agency service for sales of funds, agency service for sales of insurance products, agency service for sales of treasury bonds and agency service for sales of precious metal. In 2019, the personal wealth management business (excluding direct banking business) amounted to RMB164,777 million, representing an increase of RMB62,222 million or 60.67% from the beginning of the year. In particular, funds raised from personal wealth management business totaled RMB362,390 million, representing an increase of 76.82% as compared with the same period of the last year. In 2019, income from the intermediary business under the personal wealth management business of the Bank achieved was RMB276 million. Bank card business One card In 2019, the Bank further deepened the expansion and operation of the customer base of retail business. In adherence to the customer-centric business philosophy and with an aim to cater to the customers’ needs, through upgrade of product mix, technical innovation and system optimization, the Bank vigorously promoted the circulation of financial IC cards, enhanced the resource integration of preferential merchants, proactively carried out various kinds of marketing activities for bank cards, constantly cultivated the card-using habits of customers and constantly enhanced its customer loyalty, so as to further achieve a steady and continuous growth in Huangshan Debit Cards transactions. As at the end of 2019, the Bank issued a total of 18.7587 million cards, including 14.4322 million debit cards, and 1.7371 million cards newly issued during the year; total deposits of the cards amounted to RMB96,320 million, representing an increase of 33.79% as compared with the same period of the last year, and deposit per card amounted to RMB6,700, representing an increase of 21.82% as compared with the same period of the last year. Credit card In respect of credit card business, under the overall development framework of “One Body, Two Wings (一體兩翼)”, with aim to build and improve the digital credit card service system, the Bank vigorously expanded its customer base and underlying assets, fully implemented Internet, digitization and intelligent service, and improved the market influence, revenue contribution, risk control capability and customer satisfaction of credit card business. As at the end of the Reporting Period, the Bank issued 1,470,920 valid credit cards. The number of credit cards issued during the Reporting Period was 280,570. Throughout 2019, the transaction amount of credit cards was RMB39.89 billion in aggregate. The credit card overdraft amount was RMB13.159 billion, representing an increase of RMB1.921 billion as compared with the end of the last year. Credit card income amounted to RMB898 million, representing an increase of 18.5% as compared with the same period of the last year. As of 31 December 2019, credit cards NPL ratio was 2.35%, representing an increase of 0.40 percentage point from the end of the last year. Retail loans In 2019, the Bank increased its effort to develop the personal home loan business market, steadily promoted the development of personal home loan business and continued to expand the operating scale. The Bank also constantly raised the personal home loan pricing level to increase the profitability of personal consumption loans. The overall asset quality of personal home loans of the Bank was relatively good and the level of NPL ratio was relatively low, allowing the Bank to take an advanced position among peers. Meanwhile, given that the vast majority of new NPLs were fully secured by risk mitigation measures, such as collaterals, the possibility of sustaining eventual losses on such loans is slim. As at the end of 2019, the balance of personal home loans of the Bank under the headquarters amounted to RMB89.746 billion, representing an increase of RMB4.921 billion or 5.80% as compared with the beginning of the year. As the Group has adjusted the measurement of NPL to more than 60 days past due, NPL ratio of personal home loan of the Bank under the headquarters was 0.24%, representing an increase of 0.04 percentage point as compared with the beginning of the year. In 2019, the inclusive financial business followed the principle of high quality development, driven by “on-line, digitalization, intelligence”, focused on target customers, and focused on creating two series of brands: “Micro P2P Lending (微網貸)” of operating category and “fast e Lending (快e貸)” of consumption category and in-depth promoting personal operating lending, Micro lending, personal consumption lending and poverty alleviation financial work to consolidate the basic development and comprehensively promote the rapid and healthy development of inclusive financial business. As at the end of 2019, personal business loans and microloan of the Bank amounted to RMB32.108 billion, representing an increase of RMB2.470 billion or 8.33% as compared with the beginning of the year; NPL ratio of personal business loans and microloans of the Bank was 0.99%, representing a decrease of 0.03 percentage point as compared with the beginning of the year. The balance of personal non-home consumption loans of the Bank amounted to RMB8.342 billion (excluding credit card consumption loan), representing an increase of RMB5,993 million or 255.24% as compared with the beginning of the year; NPL ratio of personal non-home consumption loan of the Bank (excluding credit card consumption loan) was 0.56%, representing a decrease of 0.42 percentage point as compared with the beginning of the year. Retail customer deposits In 2019, facing the change in the growth rate of macro economy, reform on LPR rate and other complicated external economic situation, the personal customer wealth management ideology of the Bank enhanced steadily. By adhering to customer oriented operation philosophy, the Bank concentrated on customer assets allocation, payment settlement and consumption loan to construct a comprehensive service section of finance and non-finance through the intensification of coordination of public and private sectors, thereby improving the capability of retaining customers, classifying customers and precise marketing,achieved rapid growth in retail customer deposits. As at the end of 2019, the Bank’s retail customer deposits amounted to RMB176.966 billion, representing an increase of 19.5% as compared with the end of the last year. The Bank’s county-level retail deposits under the headquarters amounted to RMB55.836 billion, representing an increase of RMB12.566 billion or 29.04% as compared with the beginning of the year. As at the end of 2019, the market share of the Bank’s retail deposits in Anhui Province reached 6.65%, representing an increase of 0.35 percentage point from the beginning of the year. Retail deposits of the year were characterized with a fast and steady growth with optimized structure. Financial market business During 2019, Chinese economy faced increasing downward pressure and was still in the critical period of changing development mode, optimizing economic structure and replacing growth drivers. As such, the growth of economy of the country slowly decreased, which, however, will not change the basic trend of Chinese economy going stable and prosperous in a long run. In terms of RMB bonds investment, the Bank adhered to the principle of serving the real economy and made rational investment plans by enhancing study on the trend of overall economy and actively adjusting investment portfolio duration. Firstly, the Bank moderately adjusted the allocation of government bonds, policy-related financial bonds and local government bonds, and maintained the investment in corporate bonds within the region to increase the support for the real economy. Secondly, the Bank continued to increase the proportion of intermediate business income through strengthening customer development, enhancing business innovation, improving marketing ability and intensifying business collaboration. Thirdly, the Bank strived to seize the market opportunities, improved the ability of investment and research and the ability to seize the timing of market, and increased the proportion of spread income. In 2019, the Bank actively participated in innovative business, while the counter debt business was officially passed inspections and granted. The commencement of the counter debt business marked the improvement in the system of financial products and services as well as the comprehensive financial service capability Asset management business During 2019, with the gradual implementation of new regulations on asset management, the industry landscape of general asset management has dramatically changed. The Bank made active response to the new trend and new situation of asset management business by accelerating business exploration, speeding up the transformation and continuously enriching business varieties to seek new ways of development. On 21 August 2019, the establishment of a financial management subsidiary of the Bank was approved. At present, the Bank is actively promoting the preparation of establishment, striving to have it opened earlierly and operated steadily. In 2019, the balance of the Bank’s wealth management products at the end of the Reporting Period amounted to RMB187.826 billion, representing an increase of 64.53% as compared with the same period of last year, of which the proportion of balance of non-guaranteed wealth management products was about 96.80%. The balance of net-worth wealth management products at the end of the Reporting Period amounted to RMB103.288 billion, accounting for about 54.99%. The transformation towards net-worth wealth management products was carried out orderly. In terms of customer system, in 2019, the Bank further optimized the mix of wealth management customers. The balance of personal wealth management products reached RMB158.299 billion, representing an increase of 63.21% over the same period last year and accounting for approximately 84.28% of the total. Fund custody business In 2019, by closely following the overall strategic plan and work arrangement, and upholding the market-oriented, innovation-driven and customer-centered service philosophy, the Bank strengthened the brand building of its custody business, continuously optimized service process, broadened service contents, improved service efficiency, accelerated the construction of the custody business system and comprehensively improved the core competence of custody business, thus achieving sustainable and steady growth in the scale of custody assets and intermediate business income. In terms of the the year-on-year increase of the scale of custody assets and intermediate business income, the Bank ranked leading position in the industry for each quarter of the year. The Bank secured the first place in the industry in terms of the year-on-year increase of custody fee and the increase of the scale of custody assets ranked the second in the industry and the first among city commercial banks as at the end of 2019. The Bank also made great achievements in major custody products through coordinated arrangement of the Bank with focused promotion. Both the balance of public funds custody and the scale of allotted government funds had exceeded RMB20 billion. The balance of insurance asset management products under custody had firstly exceeded RMB10 billion with a continuous improvement in its market influence. As of 31 December 2019, the balance of assets under custody (excluding regulating products of corporate and investment banking) of the Bank amounted to RMB820.400 billion, representing an increase of RMB128.614 billion or 18.59% as compared with the corresponding period of the last year. The Bank’s custody asset business (excluding regulating products of corporate and investment banking) generated a custody fee income of RMB366.8314 million, representing an increase of RMB76.1569 million or 26.20% as compared with the corresponding period of the last year. Distribution channels The Bank uses a variety of distribution channels to provide products and services. The Bank’s distribution channels are mainly divided into physical distribution channels and electronic banking channels. Physical distribution channels As of 31 December 2019, the Bank had a total of 623 self-service banks (including single points) with 1,803 cash self-service equipment (including 63 ATMs, 1,095 CRSs, 318 self-service terminals and 327 smart self-service terminals (including self-service card issuing machines)). Electronic banking channels The Bank put great emphasis on developing and improving electronic banking channels, including online banking and mobile banking. In 2019, the Bank enhanced the management on the operation of electronic channels centered on mobile internet, which effectively relieved the pressure on outlets. In 2019, the trading account transactions via retail electronic channels accounted for 95.97%, representing a year-on-year increase of 2.6 percentage points; whereas trading account transactions via corporate electronic channels accounted for 89.26%, representing a year-on-year increase of 4.13 percentage points. Online banking In 2019, the Bank’s personal online banking business maintained a steady development with a steady growth in customer base and increasing trading activity of customers. As at the end of 2019, the total number of personal online banking customers reached 4.8148 million. The number of personal online banking transactions accumulated to 415.0955 million in 2019, representing a year-on-year increase of 42.67%. Among these transactions, the number of online payment transactions was 210.0476 million, representing a year-on-year increase of 52.97%, and the transaction amount was RMB150.462 billion, representing a year-on-year increase of 96.01%. In 2019, by adapting to the strategy of transformation and development of a digital bank and integrating corporate online banking, cash management platform and financial service platform for small business, the Bank created a unified electronic service portal to corporate business – Transaction Platform (交易家平台). Through business innovation driven by technology empowerment, the Bank offers one-stop integrated financial services to corporate customers. As at the end of 2019, the Bank’s total number of enterprise online banking customers reached 0.24 million with 99.0441 million enterprise online banking transactions, representing a year-on-year increase of 88.31%. The transaction amount of enterprise online banking accumulated to RMB2,699.282 billion, representing a year-on-year increase of 33.63%. Mobile banking In 2019, the Bank’s personal mobile banking continued to maintain a rapid growth with increasing customer activity. As at the end of 2019, the total number of contracted mobile banking customers reached 4.5409 million. The number of mobile banking transactions reached 131.3945 million, representing a year-on-year increase of 38.71 %. The transaction amount accumulated to RMB756.246 billion, representing a year-on-year increase of 98.02%. Direct banking business In 2019, the Bank maintained a leading position in terms of the comprehensive strength of the Bank’s direct banking brand “Hui Chang You Cai (徽常有財)”. As at the end of December 2019, the number of direct bank accounts of the Bank exceeded 19 million; the balance of personal financial assets under management sold by agents was RMB6.444 billion, the cumulative transaction volume of wealth products exceeded RMB99.938 billion, and the accumulated amount of various loans was RMB33.22 billion, with a loan balance of RMB25.785 billion. The Bank’s direct banking brand “Hui Chang You Cai (徽常有財)” was shortlisted for “China’s Top 100 Quasi-Unicorn Enterprises in 2019” at the “2019 New Enterprise Forum” and was awarded the “2019 Internet Finance Quasi-Unicorn Brand”. Due to its strength in direct banking, the Bank was shortlisted for “China’s Top 100 Financial Technology Competence in 2019” at the 3rd Fintech and Financial Security Summit; “Hui Chang You Cai (徽常有財)” won the “2019 Direct Bank Innovation Pioneer Award” at the 2nd Digital Transformation Strategy Conference for Commercial Banks. “Hui Chang You Cai (徽常有財)” ranked the second, one place up in China on the 2019 Direct Bank Rankings published by China Internet Weekly magazine, and was awarded “The Best Direct Bank of 2019” at the 2019 Bank Digital Transformation Summit Forum and the 15th Annual Conference of China E-Bank; It was granted “The Best Block Chain Innovation Award for Direct Bank of 2019” at the 17th Chinese Internet and Economy Forum in the 2019 and was included in “2020 Hurun New Financial Top 100 List” at the “2020 Hurun New Financial Top 100 List” summit. Subsidiaries and major companies in which the Bank has shareholdings Subsidiaries Huiyin Financial Leasing Co., Ltd Registered in Hefei, Huiyin Financial Leasing Co., Ltd., a financial leasing company under the national banking system as approved by the CBRC, officially commenced its business on 30 April 2015 with a registered capital of RMB2,000 million. Huiyin Financial Leasing was jointly established by the Bank, Anhui Foreign Economic Construction (Group) Co., Ltd. and Materials Industry & Trade Company of China Tiesiju Civil Engineering Group Co., Ltd. The Bank contributed RMB1,020 million to the registered capital of Huiyin Financial Leasing, accounting for 51% of its shareholdings. Huiyin Financial Leasing successfully increased its capital in 2018 with its registered capital increased to RMB3,000 million, of which 1,620 million shares are owned by the Bank, accounting for 54% of its shareholding. The principal businesses of Huiyin Financial Leasing include: (1) financial leasing; (2) handling financial leasing assets as transferor or transferee; (3) fixed-income securities investment; (4) taking leasing deposits from lessees; (5) taking time deposits of three months or more from non-banking shareholders; (6) inter-bank lending; (7) borrowing loans from financial institutions; (8) off-shore borrowing; (9) sale and disposal of leased properties; (10) economic consultation (carrying out business activities within the business scope approved by the CBRC Anhui Office); and (11) other businesses approved by the CBRC. During 2019, Huiyin Financial Leasing Co., Ltd. followed Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era and deepened study and implementation of the underlying principle of the 19th CPC National Congress and the spirit of the Second, Third and Fourth Plenary Session of the 19th CPC Central Committee. The Bank closely adhered to the Five-year (2015-2019) Development Strategic Planning to continuously take the development as the first priority, strengthen corporate governance, strive to seize the market opportunities, strictly manage and control the risks, enhance scientific management, and constantly consolidate fundamental work. With the annually increasing scale of assets and increasing overall strength as well as leading comparable companies in terms various business indicators, the Bank had achieved the strategic goals of “good start, good arrangement, steady progress, long-term development”. In 2019, the amount of investment of lease assets completed by Huiyin Financial Leasing Co., Ltd. was RMB22.84 billion. At the end of 2019, the company had total assets, total liabilities and owners’ equity of RMB48.52 billion, RMB43.801 billion and RMB4.719 billion, respectively, achieving net profit of RMB682 million for the year. Jinzhai Huiyin Rural Bank Co., Ltd. Registered in Jinzhai County of Lu’an City, Jinzhai Huiyin Rural Bank Co., Ltd. (“Jinzhai Huiyin”) officially commenced its businesses on 28 June 2013 with a registered capital of RMB80 million. Jinzhai Huiyin was jointly established by the Bank and Anhui GuoYuan Investment Co., Ltd. along with other enterprises and individuals. The Bank contributed RMB32.80 million to the registered capital of Jinzhai Huiyin, accounting for 41% of its shareholdings. The principal businesses of Jinzhai Huiyin include: (1) taking deposits from the public; (2) issuing short-term, medium-term and long-term loans; (3) handling domestic settlements; (4) handling bill acceptance and discounting; (5) engaging in inter-bank lending; (6) engaging in banking card business; (7) issuing, redemption of and underwriting government bonds as agents; (8) acting as an agent in collection and payment and bank insurance business; and (9) other businesses approved by the banking regulatory authority under the State Council. Since its establishment, with the support from shareholders, Jinzhai Huiyin has upheld its original goal upon establishment. It set up a foothold in Jinzhai County and devoted itself to solving the “Three Dimensional Rural Issues” with a mission to promote comprehensive financial reform in the rural villages and accelerate the economic and social development in Jinzhai County. It has focused its business on agricultural credit, deposit growth, channel development, and risk prevention and control, which has produced good results of business development and received recognition from customers, local government and regulatory authorities. During the Reporting Period, Jinzhai Huiyin Rural Bank Co., Ltd. was officially granted corporate credit inquiry permission and launched corporate credit inquiry front-end system and mobile POS intelligent card-issuing terminal, thus enriching its settlement channels and improving customer satisfaction. Wuwei Huiyin Rural Bank Co., Ltd. Registered in Wuwei County of Wuhu City, Wuwei Huiyin Rural Bank Co., Ltd. (“Wuwei Huiyin”) commenced its businesses on 8 August 2010. Its registered capital was RMB100 million, to which the Bank contributed RMB40 million, accounting for 40% of its shareholdings. Other major shareholders are local enterprises and individual shareholders in Wuwei. Its principal businesses include: (1) taking deposits from the public; (2) issuing short-term, medium-term and long-term loans; (3) handling domestic settlements; (4) handling bill acceptance and discounting; (5) engaging in inter-bank lending; (6) engaging in banking business; (7) issuing, redemption of and underwriting government bonds as agents; (8) acting as an agent in collection and payment and bank insurance business; and (9) other businesses approved by the banking regulatory authorities under the State Council. Wuwei Huiyin Rural Bank Co., Ltd. has been unremittingly following Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era and adhering to Huishang Bank’s operating philosophy., it supported the development of “Three Dimensional Rural Issues” economy, individual businesses and SMEs, with base in Wuwei and reliance on local villages and towns. Wuwei Huiyin transformed its advantages in strong brand influence into actions in accordance with the operating philosophy of “close to the towns, serving Three Dimensional Rural Issues”. Wuwei Huiyin innovated the variety, forms and operation processes of business. It provided flexible, high quality and efficient financial services for the customers relevant to “Three Dimensional Rural Issues”. It also supported economic development in local area of Wuwei, extended services to the wider rural areas and provided intangible financial support to farmers’ production and development. During the Reporting Period, based on the rural revival strategies, Wuwei Huiyin Rural Bank Co., Ltd. further confirmed the development direction of supporting agriculture and small customers, strengthened institutional construction, and improved internal control management while building up second-generation credit reporting system, thus improving the availability and convenience of rural basic financial services. Major companies in which the Bank has shareholdings Chery Huiyin Motor Finance Service Co., Ltd. Chery Huiyin Motor Finance Service Co., Ltd. (“Chery Huiyin”), which was established on 13 April 2009, is China’s first independent brand auto finance company, jointly set up by the Bank and Chery Automobile Co., Ltd. (“Chery Automobile”). The company was registered in Wuhu City with a registered capital of RMB1,500 million, 300 million shares of which are held by the Bank, accounting for 20% of its shareholdings, while Chery Automobile holds 735 million shares, accounting for 49% of its shareholdings; and Chery Holding Co., Ltd. holds 465 million shares, accounting for 31% of its shareholdings. Approved by the CBRC, the company’s principal businesses include: (1) accepting time deposits of three months or more from domestic shareholders; (2) accepting loan security deposits for the purchase of vehicles from auto dealers and car rental deposits from lessees; (3) upon approval, issuing financial bonds; (4) engaging in inter-bank lending; (5) obtaining loans from financial institutions; (6) providing auto loans; (7) providing auto loans to auto dealers for the purchase of vehicles and loans for operating facilities, including showroom construction loans and spare parts and maintenance equipment loans; (8) providing auto financing and leasing businesses (excluding leaseback); (9) selling or repurchasing auto loan receivables and auto financing lease receivables to financial institutions; (10) handling the sale and disposal of rental car for residual value; (11) consulting and agency businesses regarding auto financing; and (12) subject to approval, equity investment of financial institutions regarding auto finance. Prospects: 2020 will be the year when the PRC will secure a decisive victory in building a moderately prosperous society in all respects and the completion of the 13th Five-Year Plan. It will also mark the 15th anniversary of the establishment of Huishang Bank. Besides, for the banking industry, it will still be a year of climbing hills and crossing borders. The Bank will thoroughly implement the Bank's new five-year development plan designed from the perspective of the whole bank, that is, taking digital transformation as the lead, focusing on three strategic tasks of establishing the Bank by taking in deposits, developing the Bank in a scientific and technological way, and making the Bank strong by attracting and keeping talents. the Bank's goal is, making progress in a stable and responsible manner, rewarding the trust and support of shareholders, customers, employees and all walks of society with excellent operating performance, and working hard to make contributions to the comprehensive construction of a modern bank of high quality.
Information from the financial statements of listed companies
Disclaimer :
In the preparation of this website, 88iv endeavours to offer the most current, correct and clearly expressed information to the public. Nevertheless, inadvertent errors in information and in software may occur. In particular but without limiting anything here, 88iv disclaims any responsibility and accepts no liability (whether in tort, contract or otherwise) for any direct or indirect loss or damage arising from any inaccuracies, omissions or typographical errors that may be contained in this website. 88iv also does not warrant the accuracy, completeness, timeliness or fitness for purpose of the information contained in this website.
