China SOE Bank Earnings: Sequential Improvement in Revenue and Net Profit, Dividend Growth in Line

We maintain our fair value estimates for Industrial and Commercial Bank of China, or ICBC, China Construction Bank, or CCB, Agricultural Bank of China, or ABC, and Postal Savings Bank of China, or PSBC, after they reported net profit growth in 2024 of 0.5%, 1.1%, 4.8%, and 0.3% respectively. ABC’s net profit growth exceeded our expectation by 1 percentage point, driven by industry-leading loan growth and strong investment gains. Other banks’ results are in line.