Shanghai Pudong Development Bank took the lead in releasing its 2025 performance report, with net profit increasing by 10.52%, asset quality improving, and interest margin stabilizing.

Shanghai Pudong Development Bank took the lead in releasing its 2025 performance report, with net profit increasing by 10.52%, asset quality improving, and interest margin stabilizing.

In 2025, a year when the banking sector as a whole is under pressure, SPD Bank delivered an earnings report that exceeded market expectations. According to the SPD Bank earnings report released on the evening of January 13, the bank achieved operating income of 173.964 billion yuan, a year-on-year increase of 1.88%. Net profit attributable to shareholders reached 50.017 billion yuan, up 10.52% year-on-year; net profit attributable to shareholders excluding non-recurring gains and losses was 50.144 billion yuan, up 13.43% year-on-year. This growth rate should be relatively leading among listed banks, especially the growth rate of net profit excluding non-recurring items reaching 13.43%, which highlights the authenticity and quality of profit growth. **Net Interest Margin Trend Stabilizes** The earnings report indicates that the main reasons for SPD Bank’s growth in performance and operating efficiency are as follows: First, the ability to serve the real economy has been effectively enhanced, with continuous strengthening of credit investment in key sectors, key regions, and new productive forces industries, driving qualitative improvement and reasonable quantitative growth of credit assets. Second, proactive asset-liability management has been strengthened, with efforts to optimize the asset structure, improve capital utilization efficiency, and expand high-quality liability sources through multiple channels and scenarios. The cost of interest payments has decreased significantly, and the net interest margin trend has stabilized. Third, asset quality has continued to improve, with major risk indicators reaching their best levels in recent years and risk compensation ability steadily increasing. Fourth, the group’s subsidiaries have focused on the “smart and digital” strategy core, prioritized the five main tracks, anchored high-efficiency collaboration requirements, strengthened integrated operation and unified management, and achieved significant improvements in operational effectiveness. Among these, the stabilization of net interest margin through improved “proactive asset-liability management” is particularly noteworthy and is expected to be an important reason for SPD's overall strong performance. **Asset Quality Improvement Exceeds Expectations** The earnings report also shows that SPD Bank’s asset quality continued to improve in 2025. Both non-performing loan balance and non-performing loan rate achieved declines: at the end of last year, SPD Bank’s non-performing loan balance stood at 71.99 billion yuan, a decrease of 1.164 billion yuan from the end of the previous year; the non-performing loan rate was 1.26%, down 0.10 percentage points year-on-year. Moreover, the bank’s forward-looking asset quality indicators performed well, with overdue 90-days and 60-days deviation staying within 100%; risk compensation ability continued to rise, with provision coverage ratio at 200.72%, up 13.76 percentage points from the end of last year. “Achieving an absolute decrease against the backdrop of loan scale expansion demonstrates the effectiveness of the company’s ‘control new, reduce old’ strategy.” **Growth in Asset Scale and Quality** The earnings report further shows that by the end of 2025, SPD Bank’s total assets had surpassed the 10 trillion yuan mark, reaching 10.08 trillion yuan, a year-on-year increase of 6.55%. This growth rate displays moderation within stability, indicating that the bank did not pursue scale for its own sake, but rather focused on optimizing the asset structure and improving yields. In addition, net assets attributable to common shareholders reached 736.99 billion yuan, up 12.28% year-on-year, markedly higher than the growth rate of total assets, reflecting strengthened endogenous capital accumulation. **Return on Equity Improves** Overall, SPD Bank’s 2025 earnings report demonstrates the ability of a large bank to make adjustments when faced with challenges. Strategic focus, net interest margin stabilization, and asset quality improvement—these key factors together drive the core logic behind the profitability increase. SPD Bank’s return on equity also continued to rise in 2025, increasing by 0.48 percentage points to 6.76%, which may further indicate that the improvement trend is firmly established. For the market, the value of this earnings report is not only in verifying the effectiveness of SPD Bank’s strategic transformation and iteration, but also in showing that a joint-stock bank still has the ability to perform in a challenging business environment. For outsiders seeking to grasp the earnings trends and asset performance of bank stocks, it will be beneficial. Risk Warning and Disclaimer The market has risks, investment should be cautious. This article does not constitute personal investment advice, nor does it take into account the particular investment objectives, financial status, or needs of individual users. Users should consider whether any opinions, views, or conclusions in this article are suitable for their specific circumstances. Invest accordingly at your own risk.