Bank of China Limited

Bank of China reported operating income of about RMB 659.9 billion, up 4.28% year on year. Net profit and net profit attributable to shareholders increased 2.06% and 2.18%, respectively. NIM was 1.26%, stable since mid-2025, and the cost-to-income ratio fell 0.93 percentage point year on year. Noninterest income rose 19.21% year on year to RMB 219.2 billion, or 33.21% of operating income. Total assets reached RMB 38.36 trillion, up 9.4%, while total liabilities reached about RMB 35.15 trillion, up 9.47%; RMB deposits increased by RMB 1.37 trillion and foreign currency deposits grew 15%. The NPL ratio was 1.23%, down 0.02 percentage point from last year-end, and the provision coverage ratio was 200.37%. CAR reached 18.85%, and the bank said it completed the first batch of capital replenishment of RMB 165 billion. For 2026, management expects the year-on-year decline in NIM to narrow significantly and net interest income to return to positive growth, while continuing to grow noninterest income and keep asset quality stable.

President Hui Zhang framed 2025 as a solid conclusion to the 14th Five-Year Plan, saying the bank delivered “steady and improving” performance despite a complex and low-rate environment. He emphasized a strategic shift toward serving the real economy, supporting opening-up, strengthening global operations, and pushing digital and intelligent transformation. His tone was confident and forward-looking, with repeated focus on the 15th Five-Year Plan and on converting the bank’s globalization and comprehensive banking model into durable competitive advantages.

Management highlighted a more diversified revenue mix and improving efficiency. Noninterest income rose to RMB 219.2 billion, fee and commission income was RMB 82.2 billion, the NIM held at 1.26%, and the cost-to-income ratio improved by 0.93 percentage point year on year. On capital and risk, management cited CAR of 18.85%, a historical year-end high, alongside the RMB 165 billion first batch of capital replenishment and a provision coverage ratio of 200.37%. They also said deposit repricing from maturing time deposits should help lower funding costs, with the liability interest payout rate down 37 basis points in 2025.

Analysts focused on 2026 strategy, deposits, NIM, fee income, asset quality, and globalization. Management said time-deposit maturities should have only a limited impact on deposit growth, with most funds retained, and that repricing should support margin recovery; on NIM, they expected the decline to narrow significantly in 2026 and net interest income to grow. On asset quality, the bank said the NPL ratio remained low at 1.23% and that pressures remain in personal loans, real estate transition, and overseas markets, but they believe the impact on BOC should be limited. On globalization, management said overseas profit contribution was close to 28% and argued the bank’s global network, custody platform, and RMB internationalization franchise position it well for the next phase.