Leveraging the strategic advantages of its core position within the Chengdu-Chongqing Economic Circle, Bank Of Chongqing Co.,Ltd. achieved historic breakthroughs in both scale and performance during the first half of 2026. By the end of June, the bank's consolidated and legal-entity total assets had both surpassed the one-trillion-yuan threshold, marking a new "dual-trillion" milestone. Revenue and net profit have maintained double-digit year-on-year growth for four consecutive quarters, sustaining a robust "double-ten" growth trajectory. Meanwhile, the bank's non-performing loan ratio and special-mention loan ratio both declined, further solidifying asset quality. Combined with significant share purchases by major shareholders, the bank's medium-to-long-term growth value continues to stand out, underpinned by its rare combination of quality expansion and steady high growth.

Core metrics achieve the "double-double"

Located in the Chengdu-Chongqing Economic Circle, Bank Of Chongqing Co.,Ltd. is a textbook example of a high-growth bank. In the first half of 2026, its growth can be summarized by two "doubles" — the "dual-trillion" asset scale and "double-ten" growth rates. On the asset side, the group's total assets reached 1.108909 trillion yuan, while the bank's own total assets stood at 1.042818 trillion yuan, achieving the "dual-trillion" crossing for both consolidated and legal-entity figures. Specifically, both loan and deposit scales grew at a rapid pace during the period. As of end-June, total loans amounted to 582.459 billion yuan, up 9.63% from the end of the prior year, while total deposits reached 627.202 billion yuan, up 10.87%.

During the first half, Bank Of Chongqing Co.,Ltd. maintained strategic focus and deepened its regional development potential. It extended over 140 billion yuan in credit support to the dual-city economic circle and provided financing balances exceeding 60 billion yuan for the New International Land-Sea Trade Corridor. The bank also fully supported Chongqing's "33618" modern manufacturing cluster system by launching the "Implementation Plan for Manufacturing High-Quality Development Services." By the end of June, manufacturing loans surpassed 41 billion yuan, serving more than 3,200 manufacturing clients, with medium-to-long-term manufacturing loans in the Chongqing region growing over 40% year-on-year. According to analyst Dai Zhifeng of Zhongtai Securities, the bank's corporate manufacturing and wholesale/retail loans grew 19.5% and 20.1% year-on-year, respectively, in the first half.

While scale expanded, operating performance continued its high-growth trend. In the first half, the bank achieved "double-ten" growth in both revenue and net profit — revenue reached 8.486 billion yuan, up 10.79% year-on-year, while net profit hit 3.767 billion yuan, up 10.97%. This marks the fourth consecutive quarter of "double-ten" growth. Analyst Zheng Qingming of Shenwan Hongyuan Securities expects this trend to persist through full-year 2026. Driven by profitability, the bank's annualized weighted average return on equity stood at 12.03% for the first half, up 0.51 percentage points from the prior-year period.

Net interest margin rises 7 basis points year-on-year; net interest income surges 26%

The bank's strong performance is primarily anchored in rapid growth of its core business. Over the past two to three years, the banking sector's net interest income has been constrained by persistently narrowing industry net interest margins. However, 2026 has signaled a turning point, and the bank's results serve as powerful evidence of this reversal. In the first half of 2026, net interest income reached 7.389 billion yuan, up 26.04% year-on-year. Analyst Lin Wanhui of Huachuang Securities estimates that second-quarter net interest income alone surged 41.3% year-on-year.

The growth in net interest income stems from both rising interest income and falling interest expenses. In the first half, interest income rose 7.83% year-on-year to 16.573 billion yuan, while interest expenses declined 3.40% to 9.184 billion yuan. Interest income growth was driven by both scale expansion and margin improvement. The average balance of interest-earning assets increased 19.73% year-on-year to 1.019009 trillion yuan, while the average balance of interest-bearing liabilities rose 17.81% to 987.615 billion yuan. Notably, the yield decline on interest-bearing liabilities outpaced that of interest-earning assets. The average yield on interest-earning assets fell 36 basis points year-on-year to 3.28%, while the average cost of interest-bearing liabilities dropped 41 basis points to 1.88%. This dynamic supported further net interest margin recovery — the net interest spread rose 5 basis points year-on-year to 1.40%, while the net interest margin climbed 7 basis points to 1.46%. Zheng Qingming estimates that the second-quarter net interest margin reached 1.51%, up 9 basis points quarter-on-quarter.

As the largest segment, accounting for 87.08% of total revenue, the rapid growth in net interest income provides substantial support to overall revenue. Institutions estimate that net interest income contributed 19.9 percentage points to revenue growth.

Both NPL and special-mention ratios decline; patient capital adds momentum

If scale and performance are the engine of banking growth, asset quality serves as both the chassis and the brakes — and the true test of growth authenticity. The bank's first-half performance clearly passes this test. As of end-June, the non-performing loan ratio stood at 1.11%, down 0.03 percentage points from the end of the prior year; the special-mention loan ratio was 1.81%, down 0.13 percentage points; and the provision coverage ratio reached 247.31%, up 1.73 percentage points. Both asset quality and risk-absorption capacity continued to strengthen.

During the first half, Bank Of Chongqing Co.,Ltd. enhanced assessment guidance by incorporating multi-dimensional risk metrics — including special-mention ratio, NPL ratio, and NPL formation rate — into quarterly targets and special incentive programs, effectively resolving legacy NPLs while preventing new ones. The bank also strengthened business reporting protocols and standardized risk management across its inclusive finance reporting processes. Additionally, it upgraded digital risk controls, refined foundational risk models, and improved full-process risk monitoring for inclusive credit, while intensifying tracking of high-risk characteristic businesses. Zheng Qingming estimates that the annualized NPL formation rate for the first half was just 0.52%. He further noted that the bank proactively reduced exposure to high-risk premium retail segments. By region, the NPL ratio for Chongqing-area loans was only 0.97%, down 14 basis points from the start of the year. As high-quality corporate loan contributions from the Chongqing region continue to rise, the bank's NPL ratio remains on a clearly visible downward trajectory.

The bank's outstanding performance has attracted capital inflows. BCQ's third-largest shareholder, Dah Sing Bank Limited, increased its H-share holdings by 30 million shares for HK$241.5 million. The tenth-largest shareholder, Chongqing Expressway Group, increased its shareholding by 151.15 million shares through conversion of Chongqing Bank convertible bonds. Additionally, Chongqing Expressway holds 30.065766 million A-shares through its affiliates or concert parties, bringing its combined A-share holdings to 181.22367 million shares, representing 4.998% of total shares.

Zheng Qingming noted that Bank Of Chongqing Co.,Ltd. possesses the industry-rare combination of "double-ten growth plus quality expansion," with Chongqing's key regional positioning further enhancing growth sustainability. If convertible bond conversions are effectively executed, they will further expand effective asset scale and strengthen the ROE improvement thesis. In the near term, conversion catalysts could boost valuations; over the medium term, as growth materializes, the bank is well-positioned to command a higher valuation premium.