Annual Report 2012

More documents

Recommendations

Info

5 MANAGEMENT DISCUSSION AND ANALYSIS5.2.1 Corporate BankingThe following table sets forth the major operating information and changes related to corporate banking:(In millions of RMB, except percentages)Year ended31 December 2012Year ended31 December 2011 Change (%)Net interest income 176,390 159,396 10.66Net fee and commission income 40,116 39,170 2.42Other operating income 444 789 (43.73)Operating income 216,950 199,355 8.83Operating expenses (67,759) (60,023) 12.89Impairment losses (30,697) (28,291) 8.50Profit before tax 118,494 111,041 6.71As at31 December 2012As at31 December 2011Segment assets 5,368,220 4,643,350 15.61Profit before tax from corporate banking segment increased by 6.71% over the previous year to RMB118,494 million, and accounted for47.13% of the Group’s profit before tax. In this amount, net interest income from corporate banking increased by 10.66% over the previous year,benefiting from the combined factors including the steady growth of corporate loans, higher pricing capability and repricing of existing loans;the net fee and commission income only increased by 2.42% over the previous year because income from certain products decreased due toregulatory and market factors.Corporate depositsAs at 31 December 2012, domestic corporate deposits of the Bank amounted to RMB6,073,726 million, an increase of RMB663,134 million, or12.26% over 2011. In this amount, demand deposits increased by 6.34%, and time deposits increased by 23.04%.Corporate loansDomestic corporate loans and advances of the Bank amounted to RMB4,963,050 million, an increase of RMB562,629 million, or 12.79%.Discounted bills amounted to RMB137,558 million, an increase of RMB26,377 million over 2011.Loans were mainly granted to support the development of real economy with enhanced structure adjustments. Loans to infrastructure sectorstotalled RMB2,096,129 million, an increase of RMB152,131 million. Agriculture-related loans amounted to RMB1,274,899 million, up 21.43%.In this amount, loans to new countryside construction grew steadily with an increase of RMB52,591 million. The Bank adhered to the principleof commercial sustainability, in terms of the development loans for indemnificatory housing projects, which increased by RMB33,350 million toRMB59,080 million. As a market leader in emerging businesses, the Bank recorded domestic factoring advances of RMB157,373 million, up23.01%. The accumulated amount of loans granted to internet merchant business since 2008 was RMB95,164 million.According to the SME standards jointly issued by four ministries and commissions including the Ministry of Industry and Information Technologyin 2011, loans to small and micro businesses were RMB745,453 million, up 17.97%. The number of small and micro business customersreached 67,999, an increase of 6,580. Retail business process that is suitable for the characteristics of small and micro business has beeninitially built. The Group developed four major product categories, including “Growing Path”, “Easy Loan”, “Petty Loan”, and “Credit Loan”. Itdesigned and developed “E.ccb.com Credit” products under the category of “Credit Loan”, and developed “Credit Guarantee Loan” and “SupplyChain Loan” on the strength of government and core enterprises of the supply chains. The Bank was awarded “Excellent Service Institution forSmall and Medium Enterprises” by China Association of Small and Medium Enterprises, as its small business development was well recognisedby the wide community.Loans to the “6+1” industries with excess capacity, including iron and steel, cement, coal chemical, plate glass, wind power equipment,polycrystalline silicon as well as the shipbuilding sector, decreased by RMB1,200 million from 2011. Loans to government financing vehicleswere effectively controlled and cleaned up. Those classified under the regulatory category decreased by RMB18,295 million from 2011, and theloans fully covered by cash flows accounted for 93.90%. The Group effectively controlled property development loans. New granted loans weremainly in support of the real estate customers and the general residential projects with high credit rating, good business performance and properclosed management of project funds to discourage speculative and investment activities. The outstanding balance of property development loanswas RMB415,770 million, a decrease of RMB3,390 million over 2011.China Construction Bank Corporation annual report 201231
5 MANAGEMENT DISCUSSION AND ANALYSISInstitutional businessThe Bank expanded on its “Minben Tongda” brand, and promoted the sub-brand on comprehensive financial services for cultural sectorscontinuously. The Bank actively promoted marketing campaigns targeted at four cards, namely the financial social security card, the residents’health card, the financial business card, and the PLA serviceman support card. The Bank continued to consolidate its advantage in traditionalfiscal business, and obtained the qualification to act as the MOF’s agency bank for the collection of non-tax revenue to the central finance. TheBank ranked first in terms of number of customers of the central finance authorised payment and non-tax revenue collection agency service.The Bank vigorously promoted the online banking products related to the central finance authorised payment service. “Xincunguan” attracted1.66 million new customers, pushing the total number of customers to 22.14 million. The number of contracted futures investment customersaccounted for nearly 50% market share, ranking first in the market. The Bank was the first to launch securities pledged credit and monitoringbusiness, expanding the individualised service functions of the credit business products.International businessWith the rapid growth of cross-border RMB business, the domestic cross-border RMB settlement volume totalled RMB586,234 million, anincrease of 85.71% over 2011. International settlement volume reached US$1,037,844 million, an increase of 23.25%. Trade finance recorded a23.69% increase with a balance of RMB456,982 million on and off-balance sheet. With the innovation products including commodity financinghedging, cross-border RMB letter of credit re-advising with currency exchange, the Bank’s trade finance products covered the whole processof import and export such as pre-shipment, preparation of goods, and post-delivery. The Bank was awarded “Best Trade Finance Bank in China”by the Global Finance. The financing guarantee business branded as “Overseas Financing Guarantee” had rising market influence, and providedconvenient and efficient comprehensive financial service solutions for Chinese-funded enterprises with global financing needs.Asset custodial businessAsset custodial business made rapid progress, with a rising market position. At the end of 2012, the Bank’s assets under custody increased by31.07% to RMB2.70 trillion. Securities investment funds under custody totalled RMB623,088 million, commanding the second largest marketshare. The number of securities investments funds under custody increased by 61, and the units of funds under custody increased by 155.3billion. Insurance assets under custody totalled RMB419,485 million, an increase of 54.88% over 2011. The Bank had eight new QualifiedForeign Institutional Investor (QFII) customers, and was in a leading position among domestic peers in terms of Taiwan area and private equityinvestors. Recognised by domestic and international professionals for its outstanding custodial ability, the Bank won the “Best Custodian Bank inChina” award for the fourth consecutive year by the Global Custodian.Pension businessThe personal pension accounts in operation totalled 2.56 million, up 25.49%. The pension assets under custody in operation amounted toRMB24,552 million, up 48.13%. The Bank made positive progress in product innovation, and developed “Yangyisifang Exclusive A” and“Exclusive B” pension asset management products. The Bank has built up a pension product framework consisting of four categories and fifteenproducts.Treasury management and settlement businessAt the end of 2012, the Bank had 3.40 million corporate RMB settlement accounts, an increase of 540 thousand over 2011; it had 760thousand cash management customers, an increase of 330 thousand year-on-year. The launch of comprehensive cash management serviceof “Fund Collection Solutions” provided customers with “Rongzhi” integrated solutions for collection, payment, and fund budget management.The launch of cross-bank domestic letter of credit and the optimisation of corporate settlement card and fund certification businesses helpedto consolidate the leading position of advantage products including all-in-one corporate accounts, and multiple-mode cash pool. The marketinfluence of the Bank’s cash management service branded as “Yudao” steadily expanded.32 China Construction Bank Corporation annual report 2012
Page 1 and 2: Annual Report 2012China Constructio
Page 3 and 4: DEFINITIONSIn this annual report, u
Page 5 and 6: INTRODUCTIONHeadquartered in Beijin
Page 7 and 8: 2 CORPORATE INFORMATIONLegal name a
Page 9 and 10: 2 CORPORATE INFORMATIONForbes Ranke
Page 11 and 12: 3 CHAIRMAN’S STATEMENTDear shareh
Page 13 and 14: 4 PRESIDENT’S REPORTDear sharehol
Page 15 and 16: 5 MANAGEMENT DISCUSSION AND ANALYSI
Page 31: 5 MANAGEMENT DISCUSSION AND ANALYSI
Page 53 and 54: 6 CHANGES IN SHARE CAPITAL AND PART
Page 55 and 56: 6 CHANGES IN SHARE CAPITAL AND PART
Page 57 and 58: 7 CORPORATE GOVERNANCE REPORT7.2 BO
Page 59 and 60: 7 CORPORATE GOVERNANCE REPORTBoard
Page 61 and 62: 7 CORPORATE GOVERNANCE REPORTImpact
Page 63 and 64: 7 CORPORATE GOVERNANCE REPORTAudit
Page 65 and 66: 7 CORPORATE GOVERNANCE REPORTNomina
Page 67 and 68: 7 CORPORATE GOVERNANCE REPORTCompos
Page 69 and 70: 7 CORPORATE GOVERNANCE REPORTIn 201
Page 71 and 72: 7 CORPORATE GOVERNANCE REPORTEffect
Page 73 and 74: 8 PROFILES OF DIRECTORS, SUPERVISOR
Page 83 and 84:
9 REPORT OF THE BOARD OF DIRECTORSP
Page 85 and 86:
9 REPORT OF THE BOARD OF DIRECTORSD
Page 87 and 88:
10 REPORT OF THE BOARD OF SUPERVISO
Page 89 and 90:
11 MAJOR ISSUESMaterial litigations
Page 91 and 92:
11 MAJOR ISSUESInterests in non-lis
Page 93 and 94:
Consolidated statement of comprehen
Page 95 and 96:
Statement of financial positionAs a
Page 97 and 98:
Statement of changes in equityFor t
Page 99 and 100:
Consolidated statement of cash flow
Page 101 and 102:
Notes to the financial statements(E
Page 103 and 104:
Page 105 and 106:
Page 107 and 108:
Page 109 and 110:
Page 111 and 112:
Page 113 and 114:
Page 115 and 116:
Page 117 and 118:
Page 119 and 120:
Page 121 and 122:
Page 123 and 124:
Page 125 and 126:
Page 127 and 128:
Page 129 and 130:
Page 131 and 132:
Page 133 and 134:
Page 135 and 136:
Page 137 and 138:
Page 139 and 140:
Page 141 and 142:
Page 143 and 144:
Page 145 and 146:
Page 147 and 148:
Page 149 and 150:
Page 151 and 152:
Page 153 and 154:
Page 155 and 156:
Page 157 and 158:
Page 159 and 160:
Page 161 and 162:
Page 163 and 164:
Page 165 and 166:
Page 167 and 168:
Page 169 and 170:
Page 171 and 172:
Page 173 and 174:
Page 175 and 176:
Page 177 and 178:
Page 179 and 180:
Page 181 and 182:
Page 183 and 184:
Page 185 and 186:
Page 187 and 188:
Page 189 and 190:
Page 191 and 192:
Page 193 and 194:
Page 195 and 196:
Page 197 and 198:
Page 199 and 200:
Page 201 and 202:
Page 203 and 204:
Page 205 and 206:
Page 207 and 208:
Page 209 and 210:
Page 211 and 212:
14 UNAUDITED SUPPLEMENTARY FINANCIA
Page 213 and 214:
15 ORGANISATIONAL STRUCTUREPublic R
Page 215 and 216:
16 BRANCHES AND SUBSIDIARIESTier-on
Page 217 and 218:
16 BRANCHES AND SUBSIDIARIESBranche
Page 219 and 220:
16 BRANCHES AND SUBSIDIARIESChongqi
Page 221:
16 BRANCHES AND SUBSIDIARIESZhejian
show all

Annual Report 2012

Create successful ePaper yourself

Delete template?

Save as template?