Executive Summary
Luzhou Bank reported strong top-line momentum in QQ1 2025, with revenue and gross profit of 1,006,276,000 CNY, up 23.4% year over year and 9.5% quarter over quarter. Operating income rose to 619,029,000 CNY, a 105.1% YoY increase, while net income reached 451,719,000 CNY, up 49.8% YoY and 69.0% QoQ. Earnings per share stood at 0.17 CNY, up 54.6% YoY and 209.1% QoQ. The G&A expense of 387,247,000 CNY reflects a disciplined cost base, comprising roughly 38.7% of revenue. The company exhibits solid profitability, with net margin of 44.9% and an operating margin of 61.5%, supported by an effective tax rate of 24.1%. Balance-sheet indicators show conservatism on leverage (debt ratio 7.74%) and meaningful liquidity, as evidenced by a cash per share balance of 4.66 CNY. Valuation remains modest, with price-to-book around 0.50 and price-to-earnings near 3.27, suggesting room for multiple expansion if growth drivers and credit quality remain favorable.
Key Performance Indicators
QoQ: -3.77% | YoY:105.12%
QoQ: 209.09% | YoY:54.55%
Key Insights
Revenue: 1,006,276,000 CNY, YoY +23.4%, QoQ +9.5%; Gross Profit: 1,006,276,000 CNY, YoY +23.4%, QoQ +9.5%; Operating Income: 619,029,000 CNY, YoY +105.1%, QoQ -3.8%; Net Income: 451,719,000 CNY, YoY +49.8%, QoQ +69.0%; EPS: 0.17 CNY, YoY +54.6%, QoQ +209.1%; Net Margin: 44.9%; Operating Margin: 61.5%; Tax Rate: 24.1%; ROE: 3.82%; ROA: 0.25%; Debt Ratio: 7.74%; Debt/Equity: 1.206; Long-Term Debt to Capitalization: 0.547; P/B: 0.50; P/E: 3.27; P/S: 5.87; Cash per Share: 4.66 CNY; Dividend Payout: ...
Financial Highlights
Revenue: 1,006,276,000 CNY, YoY +23.4%, QoQ +9.5%; Gross Profit: 1,006,276,000 CNY, YoY +23.4%, QoQ +9.5%; Operating Income: 619,029,000 CNY, YoY +105.1%, QoQ -3.8%; Net Income: 451,719,000 CNY, YoY +49.8%, QoQ +69.0%; EPS: 0.17 CNY, YoY +54.6%, QoQ +209.1%; Net Margin: 44.9%; Operating Margin: 61.5%; Tax Rate: 24.1%; ROE: 3.82%; ROA: 0.25%; Debt Ratio: 7.74%; Debt/Equity: 1.206; Long-Term Debt to Capitalization: 0.547; P/B: 0.50; P/E: 3.27; P/S: 5.87; Cash per Share: 4.66 CNY; Dividend Payout: 0%; Dividend Yield: 0%; Price/Fair Value: 0.50. Note: Several balance-sheet liquidity metrics are not disclosed in isolation (e.g., quick ratio, cash ratio) in the provided data.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
1.01B |
23.43% |
9.47% |
| Gross Profit |
1.01B |
23.43% |
9.47% |
| Operating Income |
619.03M |
105.12% |
-3.77% |
| Net Income |
451.72M |
49.75% |
69.02% |
| EPS |
0.17 |
54.55% |
209.09% |
Key Financial Ratios
operatingProfitMargin
61.5%
Management Commentary
No earnings call transcript has been provided. Consequently, management quotes or thematic highlights from the QQ1 2025 call are not available in the supplied material. Once a transcript is accessible, key themes should cover strategy execution in regional lending, balance-sheet optimization, digital penetration, and evolving fee-based revenues.
Forward Guidance
There is no explicit forward guidance disclosed for QQ2 2025 or the full year in the provided materials. Given regional bank dynamics in China, investors should monitor: (1) loan growth trajectory in Luzhou and SME lending; (2) credit quality indicators and provisioning; (3) net interest margin and the mix of fee-based income; (4) regulatory capital and liquidity requirements affecting regional banks. Absent new guidance, the QQ1 results imply potential stability in earnings if loan growth remains supported and credit quality remains favorable, with downside risk tied to macro slowdowns or tighter policy credit conditions.