Yangtze Delta Banks Post 7.02% Profit Growth in H1 2026

In the first half of 2026, 14 A-share listed regional banks in the Yangtze River Delta region achieved a combined net profit attributable to shareholders of RMB 97.213 billion, up 7.02% year on year, higher than the 6.66% growth rate of 27 listed regional banks nationwide.

In terms of operating revenue, Jiangsu Bank and Ningbo Bank recorded RMB 48.952 billion and RMB 41.45 billion respectively, while Bank of Nanjing posted RMB 31.596 billion. For net profit attributable to shareholders, Jiangsu Bank led with RMB 21.876 billion, the only bank exceeding RMB 20 billion. Ningbo Bank, Bank of Nanjing, Bank of Shanghai, and Bank of Hangzhou each reported net profits above RMB 10 billion.

On growth, 11 banks saw positive year-on-year revenue growth, with Suzhou Bank, Ningbo Bank, and Bank of Nanjing growing 13.08%, 11.54%, and 10.94% respectively. Ruifeng Bank, Zhangjiagang Bank, and Zijin Bank recorded negative revenue growth. All 14 banks posted positive year-on-year growth in net profit, with Ningbo Bank and Changshu Bank exceeding 10%.

As of the end of June 2026, all 14 banks had total assets exceeding RMB 2 trillion. Jiangsu Bank led with RMB 5.611102 trillion, followed by Ningbo Bank, Bank of Shanghai, and Bank of Nanjing, each with assets above RMB 3 trillion. In asset quality, 11 banks reported non-performing loan ratios below 1%. Changshu Bank had the lowest at 0.75%, while Wuxi Bank, Bank of Hangzhou, and Ningbo Bank each recorded 0.76%. Ruifeng Bank, Zijin Bank, and Bank of Shanghai reported NPL ratios of 1.09%, 1.33%, and 1.42% respectively.

Regarding net interest margins, 11 of the 14 banks saw declines from the end of 2025. Suzhou Bank, Bank of Hangzhou, and Ruifeng Bank improved by 0.07, 0.04, and 0.03 percentage points to 1.4%, 1.39%, and 1.49% respectively. Among the 11 banks with declining margins, nine saw narrower declines than in the same period of 2025. Shanghai Rural Commercial Bank's margin fell 0.01 percentage point from end-2025, compared with a 0.11 percentage point drop in the year-earlier period.

Net interest income rose year on year at 12 banks. Bank of Nanjing grew 40.19%, while Suzhou Bank and Bank of Hangzhou increased 23.9% and 19.17% respectively. Jiangsu Bank, Ningbo Bank, Bank of Nanjing, Bank of Shanghai, and Bank of Hangzhou reported net interest income of RMB 36.892 billion, RMB 29.394 billion, RMB 21.935 billion, RMB 17.665 billion, and RMB 15.599 billion respectively.

In investment income, only Changshu Bank, Bank of Shanghai, and Ningbo Bank recorded growth in the first half of 2026 compared with the same period of 2025, while the other 11 banks saw declines. Bank of Hangzhou's investment income fell 58.66% to RMB 2.366 billion. Jiangsu Bank, Sunong Bank, Bank of Nanjing, Zijin Bank, and Ruifeng Bank declined 13.49%, 17.56%, 28.8%, 31.79%, and 47.06% respectively. In the same period of 2025, 13 banks had reported positive investment income growth of over 10%, with Zijin Bank surging 95.41%.

Bank of Hangzhou's interim report attributed the investment income change mainly to reduced gains from trading financial assets. Ruifeng Bank said the decline was due to lower investment income from financial asset investments. Suzhou Bank's interim report noted that interest expense on deposits fell 7.00% year on year to RMB 3.781 billion, mainly reflecting an increase in deposit scale and a decrease in the interest rate paid.