Bank of China H1 Net Profit Rises

Bank of China

reported an 11% rise in its first-half net profit. The bank's net profit for the period climbed to 89.72 billion yuan ($14.5 billion), versus a year-ago profit of 80.72 billion yuan. Analysts were expecting a profit of 89.56 billion yuan. Its net interest income surged 14% to 156.68 billion yuan, while noninterest income jumped 13% to 78.2 billion yuan. In the first half, Bank of China's impairment losses on assets increased 96.45% to RMB27.782 billion. Net fee and commission income surged 14.62% y/y to RMB52.131 billion, while operating expenses rose 4.49% to RMB85.897 billion. Return on average equity declined 0.36 percentage point to 18.57% in the period. As at 30 June 2014, its total assets rose 11.49% y/y to RMB15,469.096 billion, while total liabilities increased 12% to RMB14,462.640 billion. Bank of China shares fell 0.35% to close at $11.80 yesterday.