BANK OF EAST ASIA (00023) announced its interim results, with profit attributable to shareholders of HK$2.416 billion, an increase of 0.37% year-on-year.

BANK OF E ASIA (00023) announced its interim results for the year 2026, with interest income of HK$15.506 billion, a decrease of 8.23% year-on-year; shareholders' profit attributable amounted to HK$2.416 billion, reflecting a year-on-year increase of 0.37%; basic earnings per share are HK$0.91. A midterm dividend of HK$0.46 per share is proposed. The announcement stated that overall income performance was resilient in the first six months of 2026. Pre-provision operating profit increased by HK$901 million, or 16.5%, to HK$6.348 billion. Net interest income rose by HK$353 million, or 4.8%, to HK$7.697 billion. The group's net interest margin narrowed by 3 basis points year-on-year, from 1.88% to 1.85%. Non-interest income increased by 19.0% to HK$3.470 billion. Net service fee and commission income increased by 16.1% year-on-year to HK$1.921 billion, primarily due to increased fees from third-party policy sales, investment activities, and loan-related services. The net profit from trading, financial instrument revaluations, and related hedges also rose by HK$148 million, or 13.2%, benefiting from active customer trading, which drove an increase in trading income. Operating expenses remained stable year-on-year at HK$4.819 billion. The bank continues to invest in talent and digital capabilities and is enhancing operational efficiency through transformation measures. The cost-to-income ratio improved by 3.7 percentage points to 43.2% in the first six months of 2026. Impairment losses on financial instruments increased by HK$419 million, or 16.5%, to HK$2.958 billion. The group's impaired loan ratio as of the end of June 2026 was 2.71%, compared to 2.69% at the end of December 2025. At the same time, impairment on investment properties increased by HK$309 million to HK$407 million.