China Merchants Bank 2025 Annual Report Released: Revenue and Profit Both Increase, Retail AUM Surpasses 170,000

On the evening of March 27, China Merchants Bank released its highly anticipated 2025 annual report, showing that revenue and net profit have returned to positive year-on-year growth.

The annual report indicates that in 2025, China Merchants Bank achieved operating income of 337.532 billion yuan; the net profit attributable to shareholders was 150.181 billion yuan, both showing an increase compared to the previous year.

During the reporting period, the total assets of retail customers at China Merchants Bank exceeded 17 trillion yuan, with significant growth in wealth management income, becoming a key guarantee for stable performance.

Additionally, the bank is accelerating its transformation towards “smart digital” and “internationalization,” with annual technology investments exceeding 12.9 billion yuan, broad AI applications being widely implemented, and overseas business revenue growth exceeding 30%.

Revenue and Net Profit Achieve Growth

The operating situation of China Merchants Bank has always drawn external attention.

Specifically, in 2025, China Merchants Bank achieved operating income of 337.532 billion yuan, a year-on-year increase of 0.01%; the net profit attributable to shareholders was 150.181 billion yuan, a year-on-year increase of 1.21%, ending the slight decline in revenue from 2024 and achieving “double growth.”

As of the end of the reporting period, the bank’s total assets exceeded 13 trillion yuan for the first time, reaching 13.07 trillion yuan, an increase of 7.56% compared to the end of the previous year.

Despite a continued narrowing of the net interest margin, China Merchants Bank offset some pressure through refined management of assets and liabilities and growth in non-interest income. The net interest yield was 1.87%, a year-on-year decrease of 0.11 percentage points.

At the same time, its total assets under management for retail customers exceeded 17 trillion yuan, a year-on-year increase of 14.44%, driving a 16.91% year-on-year growth in wealth management income, becoming an important stabilizer for performance.

Fourth Quarter Net Interest Yield Recovers Sequentially

Breaking it down, China Merchants Bank’s net interest income last year was 215.593 billion yuan, a year-on-year increase of 2.04%.

Against the backdrop of the industry being in a downward channel for net interest margins, China Merchants Bank’s net interest yield last year was 1.87%, slightly narrowing by 11 basis points year-on-year. The financial report analysis pointed out that the asset side was affected by the reduction in existing mortgage rates, LPR declines, and insufficient effective credit demand, leading to lower loan yields; the liability side’s trend towards term deposits weakened the effect of deposit rate reductions. However, the bank strengthened its asset-liability portfolio management, driving the fourth quarter net interest yield to recover sequentially by 3 basis points to 1.86%.

Non-interest net income was 121.939 billion yuan, a year-on-year decrease of 3.38%, with other net income affected by capital market fluctuations decreasing by 13.74%, but net fee and commission income increased by 4.39% to 75.258 billion yuan, becoming a highlight.

Retail Foundation Solid, Corporate Loans Strengthened

Retail financial services remain the mainstay of China Merchants Bank. During the reporting period, the revenue contribution from this business accounted for 61.89%.

As of the end of 2025, the number of retail customers reached 224 million, and retail AUM reached 17.08 trillion yuan. Wealth management fee and commission income was 26.711 billion yuan, a year-on-year increase of 21.39%, mainly benefiting from the growth in revenues from agency funds, wealth management, and trusts.

In terms of wholesale financial services, corporate loans became the growth engine. As of the end of the reporting period, the balance of corporate loans was 29.3 trillion yuan, an increase of 13.10% compared to the end of the previous year, significantly higher than the growth rate of retail loans (2.15%).

The bank’s loan growth in key areas such as technology, green finance, inclusive finance, and manufacturing is all above the average loan growth rate. The total financing amount for corporate clients (FPA) reached 67.3 trillion yuan.

Asset Quality Overall Stable

The core indicators of China Merchants Bank’s asset quality continue to maintain an industry advantage. The non-performing loan ratio was 0.94%, slightly down by 0.01 percentage points from the end of the previous year; the provision coverage ratio was 391.79%, indicating sufficient risk compensation capacity.

Moreover, the asset quality of corporate loans has improved significantly, with the non-performing ratio dropping by 0.17 percentage points to 0.84%.

Due to external environment impacts, the non-performing loan ratio for retail loans at China Merchants Bank rose slightly by 0.10 percentage points year-on-year to 1.08%. The non-performing loan ratio for small and micro loans rose slightly by 0.43 percentage points to 1.22%; the non-performing loan ratio for credit card loans remained unchanged year-on-year at 1.74%, with the overall situation still within a healthy range. The annual report noted that it will continue to refine risk control strategies in key areas.

Information Technology Investment Over 10 Billion

Looking to the future, China Merchants Bank clarified its transformation path of “internationalization, comprehensive services, differentiation, and smart digitalization” in its financial report.

During the reporting period, its information technology investment reached 12.901 billion yuan, accounting for 4.31% of operating income; the “AIFirst” strategy was deeply implemented, with 856 AI application scenarios launched throughout the year.

Chairman Miao Jianmin stated in his speech that in 2026, the focus will be on forging “four core driving forces,” including maintaining the advantage of net interest margins, enhancing wealth management capabilities, strengthening the bottom line of asset quality, and seizing the high ground of intelligent transformation.

International development has shown remarkable results, with total assets of overseas institutions (before elimination) growing by 12.88% compared to the end of the previous year, and operating income increasing by 33.80% year-on-year. In terms of comprehensive operations, the total assets of major subsidiaries reached 952.839 billion yuan, with revenue accounting for 12.26% of the group’s total.

Last Year’s Total Dividend Ratio Exceeded 35%

In terms of dividends, China Merchants Bank plans to distribute cash dividends to all registered shareholders based on the total share capital of A-shares and H-shares on the date of the profit distribution, with a cash dividend of 2.016 yuan per share (tax included) for the entire year; after deducting the interim cash dividend distributed for the 2025 fiscal year, the cash dividend per share this time is 1.003 yuan (tax included), denominated and announced in RMB, paid in RMB to A-share shareholders and in HKD or RMB to H-share shareholders.

The aforementioned profit distribution plan is subject to approval by the 2025 annual general meeting of shareholders before implementation.

Based on this calculation, the total cash dividend for the 2025 fiscal year is approximately 50.843 billion yuan. The total dividend ratio for the year is approximately 35.34%, continuing a steady return strategy.

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