On 29 August, China Construction Bank (CCB) held its 2025 interim results briefing simultaneously in Beijing and Hong Kong. According to the report, as of 30 June, CCB’s total assets reached RMB 44.43 trillion ($6.14 trillion), representing an increase of 9.52% from the end of last year. Operating income was RMB 385.91 billion ($53.4 billion), a rise of 2.95% year-on-year (YoY). Net fee and commission income stood at RMB 65.22 billion ($9 billion), accounting for 16.9% of operating income, an increase of 66 basis points YoY. The cost-to-income ratio (CIR) fell further to 23.72%. Pre-provision profit amounted to RMB 290.10 billion ($40.2 billion), up 3.37% from the previous year. Risk indicators remained stable, with the non-performing loan ratio at 1.33%, down one basis point from year-end, while provision coverage strengthened to 239.4%. CCB’s first-half 2025 results showed steady improvement in both performance and quality. The results were driven by balance sheet optimisation, reinforcement of high-quality financial supply and customer service, stronger risk management and deeper cost control. The following elements formed the foundation for the bank’s resilience and efficiency and will be examined further: Balance sheet optimisation with quality assets disbursement Optimisation of revenue structure: stronger support from non-interest income and integration of commercial and investment banking Cost control, risk management and technical capabilities: laying a solid foundation for high-quality development Balance sheet optimisation with quality assets disbursement Balance sheet management played a vital role. Despite a complex operating environment, CCB maintained its net interest margin (NIM) at 1.40%, the highest among state-owned mega banks. This outcome reflected both a modest improvement in interest rate conditions and the bank’s systematic strategies in refining pricing, optimising asset and liability structures, and allocating credit resources more precisely. By the end of June, loans and advances amounted to RMB 27.44 trillion ($3.79 trillion), an increase of 6.20% from year-end, while financial investments stood at RMB 11.77 trillion ($1.63 trillion), up 10.17%. Loans and investments together accounted for 88.26% of total assets, 21 basis points higher than six months earlier, providing a solid foundation for stable growth in interest income. CCB emphasised targeted lending in key sectors. For instance, in consumer finance, the bank actively implemented national policies to boost spending. The balance of personal consumer loans reached RMB 614.19 billion ($84.9 billion), up 16.35% from year-end. Through its digital ecosystem “CCB Life” mobile super app, the bank has distributed RMB 5.6 billion ($774 million) in consumption subsidies across 172 cities, directly stimulating over RMB 40 billion ($5.53 billion) in household spending. On the liability side, symmetrical reductions in deposit and lending rates, together with active management of funding costs, helped ease pressure on margins. The average deposit rate fell by 32 basis points compared with the previous year. Demand deposits accounted for more than 41% of total deposits, maintaining a lead over peers. By mid-year, total deposits reached RMB 30.47 trillion ($4.21 trillion), an increase of 6.11%, with the core liability base remaining stable. At the same time, CCB supported national strategic priorities through five major themes: technology finance, green finance, inclusive finance, pension finance and digital finance. In technology finance, CCB’s outstanding loan balance has amounted to RMB 5.15 trillion ($710 billion), up 16.81%, supporting more than 300,000 technology enterprises. In green finance, loan balances reached RMB 5.72 trillion ($788 billion), up 14.88%, exceeding the average loan growth of the bank. In inclusive finance, loans to small and micro enterprises stood at RMB 3.74 trillion ($515 billion), up 9.80%. The bank also increased lending to manufacturing and strategic emerging industries, while in real estate, it maintained leading positions in housing loans, which reached RMB 6.15 trillion ($847 billion), and expanded services to areas such as affordable housing and urban renewal. Revenue structure optimisation: Stronger support from non-interest income and integration of commercial and investment banking Alongside balance sheet optimisation, CCB improved its income structure. In the first half, non-interest income rose to RMB 99.2 billion ($13.65 billion), up 25.93% YoY, accounting for 25.7% of operating income, an increase of 4.68 percentage points. Fee and commission income was RMB 65.22 billion ($9 billion), up 4.02%, and accounted for over 16% of operating income, a gain of 0.7 percentage points. The growth reflected steady progress in capital-light activities. Wealth management revenue benefited from the recovery of capital markets, with fund distribution income rising more than 20% and agency insurance achieving a near 30% YoY increase in the second quarter. Custody services saw both client numbers and assets under management (AUM) expand, with related income growing by more than 40%. Other non-interest income, driven by investment and trading activities, grew 111.36% to RMB 34 billion ($4.68 billion), underlining CCB’s market adaptability. The bank continued to advance its “commercial and investment banking integration” strategy. Its service model connected corporate banking and investment banking, enhancing client stickiness and overall contribution. The “Feichi eZhi” platform provided over 75,000 corporate clients with services ranging from advisory and bond underwriting to asset securitisation and merger and acquisition (M&A) financing. Wealth management expanded, with mobile banking wealth clients surpassing 40 million, an increase of 14.75%, and private banking clients growing more than 20%. Payroll service clients rose to 91.83 million, supporting the growth of AUM by RMB 644.4 billion ($88.8 billion). Cross-border operations strengthened CCB’s international profile. Cross-border RMB settlements reached RMB 3.14 trillion ($432 billion), up 23.21% YoY. Overseas subsidiaries contributed significantly, with net profits rising 57.19%. The London branch continued as the largest RMB clearing bank outside Asia, with a cumulative clearing volume of RMB 148 trillion ($20.4 trillion). In the RCEP region, CCB’s institutional network grew to over $200 billion in assets, supporting trade and investment flows. Trade finance issuance reached RMB 1.38 trillion ($190 billion), up 6.56%. Innovative products such as Panda bonds and cross-border asset transfers expanded the bank’s reach, with customer participation in Panda bond trading up 75%. Cost control, risk management and technical capabilities: Laying a solid foundation for high-quality development CCB also reinforced cost control, risk management and technological capacity. The cost-to-income ratio fell to 23.72%, down 0.43 percentage points YoY, reflecting process streamlining, workforce efficiency improvements and greater use of digital tools. The bank accelerated digital transformation, deploying its proprietary large artificial intelligence (AI) model in 274 applications, from credit approvals to risk monitoring. Intelligent assistants for customer managers tripled average client coverage, while AI coding tools lifted development efficiency. Data governance improved, with wider use of data for product innovation, customer insight and risk control. Digital channels remained central. By June, the combined “Mobile Banking + CCB Life” platforms served 533 million users, with 243 million monthly active users, up 14.40%. Digital RMB transactions reached 522 million, an increase of 16.75%. Risk indicators were stable. The non-performing loan (NPL) ratio was 1.33%, down from year-end, while the provision coverage ratio rose to 239.4%. An intelligent risk management platform covering credit, market and operational risks integrated over 2,000 indicators and more than 500 early-warning models. By mid-year, 98% of problematic clients had been identified in advance. Sector-specific risk measures were applied to real estate, local government debt and inclusive finance. Overseas risk control was strengthened through a global monitoring centre, ensuring asset quality remained sound. In conclusion, during the first half of 2025, CCB maintained steady growth and enhanced efficiency despite a challenging environment. Optimisation of the balance sheet, stronger contributions from non-interest income, rigorous cost and risk controls and advances in digitalisation all contributed to improved resilience and profitability. Looking ahead to the second half, CCB will continue to align with national strategies and the needs of the real economy. It will strengthen its efforts in technology finance, green finance, inclusive finance, pension finance and digital finance, while maintaining asset stability, optimising liabilities, diversifying income and reinforcing risk management.
