Executive Summary
Jinshang Bank reported QQ3 2024 revenue of 1.0811 billion CNY and net income of 362.35 million CNY, delivering an operating margin of approximately 38.5% and a net margin of about 33.5%. While the company generated positive operating profitability, earnings declined meaningfully versus the prior-year quarter (net income down 25.2% YoY and 29.7% QoQ) and free cash flow remained negative at roughly 1.04 billion CNY. The balance sheet shows a large asset base with low leverage (debt-to-capitalization around 6.66% and debt-to-equity around 7.14%), but liquidity metrics appear tight (current/quick/cash ratios reported at 0.825). Management did not issue formal forward guidance in the QQ3 release, leaving the near-term trajectory highly sensitive to macro conditions and NIM dynamics in a softer credit cycle. The dividend payout ratio stood at approximately 81.6% of net income, implying a visible cash return to shareholders despite weak operating cash flow. The combination of solid operating profitability and very modest leverage vs. a weak cash flow profile suggests a bank that remains structurally resilient yet constrained by near-term macro headwinds and balance-sheet liquidity considerations.
Key Performance Indicators
QoQ: -22.52% | YoY:-16.42%
QoQ: -29.67% | YoY:-25.19%
QoQ: -29.59% | YoY:-22.38%
Key Insights
Revenue: 1,081,140,500 CNY (YoY -9.71%, QoQ +10.66%)
Gross Profit: 1,081,140,500 CNY (YoY -9.71%, QoQ +10.66%)
Operating Income: 416,541,500 CNY (YoY -16.42%, QoQ -22.52%)
Net Income: 362,346,000 CNY (YoY -25.19%, QoQ -29.67%)
EPS (basic): 0.0621 CNY; EPS (diluted): 0.0600 CNY
Operating Margin: 38.53%
Net Margin: 33.52%
Tax Rate (effective): 6.68%
ROA: 0.096% | ROE: 1.29%
Asset Turnover: 0.287% (approx. 0.00287) | Equity Multiplier: 13.43
Dividend Yield: 3.69%
P/B: 0.286 | P/E: 5.53
Cash Flow fr...
Financial Highlights
Revenue: 1,081,140,500 CNY (YoY -9.71%, QoQ +10.66%)
Gross Profit: 1,081,140,500 CNY (YoY -9.71%, QoQ +10.66%)
Operating Income: 416,541,500 CNY (YoY -16.42%, QoQ -22.52%)
Net Income: 362,346,000 CNY (YoY -25.19%, QoQ -29.67%)
EPS (basic): 0.0621 CNY; EPS (diluted): 0.0600 CNY
Operating Margin: 38.53%
Net Margin: 33.52%
Tax Rate (effective): 6.68%
ROA: 0.096% | ROE: 1.29%
Asset Turnover: 0.287% (approx. 0.00287) | Equity Multiplier: 13.43
Dividend Yield: 3.69%
P/B: 0.286 | P/E: 5.53
Cash Flow from Operations: -991.64 million CNY; Free Cash Flow: -1,038.36 million CNY
Net Debt: -6.64 billion CNY (net cash position as per disclosed figures)
Total Assets: 376.31 billion CNY; Total Liabilities: 348.28 billion CNY; Shareholdersโ Equity: 28.02 billion CNY
Diluted and basic EPS are both subdued, reflecting the bankโs limited earnings growth in a slower macro environment.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
1.08B |
-9.71% |
10.66% |
| Gross Profit |
1.08B |
-9.71% |
10.66% |
| Operating Income |
416.54M |
-16.42% |
-22.52% |
| Net Income |
362.35M |
-25.19% |
-29.67% |
| EPS |
0.06 |
-22.38% |
-29.59% |
Key Financial Ratios
operatingProfitMargin
38.5%
operatingCashFlowPerShare
$-0.16
freeCashFlowPerShare
$-0.17
dividendPayoutRatio
81.6%
Management Commentary
Note: No earnings call transcript was provided in the data. Consequently, there are no management quotes captured to group by strategy, operations, or market conditions. If a transcript becomes available, key highlights can be incorporated with quotes tied to themes such as strategic actions (growth/market expansion, digital banking), cost control, asset quality trends, and regulatory developments.
Forward Guidance
Management did not issue formal forward guidance in the QQ3 2024 release. Given the macro backdrop for Chinese regional banks and the bankโs near-term earnings dynamics, the outlook hinges on: (1) stabilization or expansion of net interest margins amidst modest loan growth, (2) ongoing efficiency improvements and SG&A containment, and (3) asset quality normalization and stable credit costs. Our assessment is that the path to stronger returns will likely require improvement in operating cash flow and a gradual return to positive revenue momentum beyond the current quarter base. Investors should monitor: credit cost trends, loan growth in Shanxi and nearby regions, liquidity management under tighter regulatory expectations, and any signs of improvement in ROE driven by cost discipline and balance-sheet optimization.