Industrial and Commercial Bank of China Limited

For the first 3 quarters of 2025, ICBC reported operating income of CNY 611 billion, up 2% year on year, and net profit of CNY 271.9 billion, up 0.5% year on year. Annualized ROA and ROE were 0.71% and 9.3%, respectively, and the cost-to-income ratio was 26.55%. NIM was 1.28%, down 14 bps year on year; management said it was down 2 bps from the first half and expects full-year NIM to be around 1.26%. Total assets were CNY 52.81 trillion, up 8.2% from end-2024; customer loans were CNY 30.45 trillion, up 7.3%, bond investments were CNY 16.01 trillion, up 16.2%, and customer deposits were CNY 37.3 trillion, up 7.1%. NPL ratio was 1.33%, down 1 bp from end-2024; CAR was 18.85%; provision coverage was 217.1%. Management said Q4 will still face NIM pressure, but deposit repricing should continue to ease liability costs and support stabilization over the next 1-2 years.

Tian Fenglin emphasized that ICBC is balancing scale, profitability, and risk through its “five transformations,” intelligent risk control, and digital and diversified growth drivers. He framed the quarter as evidence of a “clear recovery trend” in profitability and said the bank will keep serving the real economy while delivering sustained returns to shareholders. His tone was confident but measured, with repeated emphasis on resilience and high-quality development.

Management said 9M25 operating income and net profit improved because ICBC stabilized NII, grew fee income, and kept risk costs contained. They cited NII support from loan growth and bond investments, plus deposit pricing discipline; the average RMB deposit rate was 1.32%, down 30 bps from end-2024, and the interest payment rate was described as the lowest among the big four banks. Fee-based income was CNY 19.9 billion, up 0.6%, while other noninterest income rose CNY 46.7 billion, up 45.7%, helped by market volatility and trading gains. Credit risk remained controlled, with NPL ratio at 1.33%, provision coverage at 217.1%, and loan loss provision ratio at 2.89%; management also said risk costs were effectively contained and capital remained solid with CAR at 18.85%.

Analysts focused on NIM, loan pricing, fee income, bond investment strategy, credit demand, asset quality, deposits, and internationalization. Management said new RMB corporate loan rates fell to 2.7% and personal loan rates to 3.01% by Jan-Sep, with declines moderating quarter by quarter; they expect NIM to stabilize in 1-2 years and do not see a clear need for further rate cuts absent macro support. On fee income, ICBC said growth came from wealth management, payment/card services, and lower expenses, with pension-related income up 43% and fee expenses down 17%. On credit and asset quality, management said corporate real estate exposure is less than 3% of loans, tariff impacts are limited, inclusive loan NPLs remain better than the industry average, and mortgage deterioration should moderate rather than accelerate.