Since the 17th National Congress of the CPC, as one of the first group of joint-stock commercial banks in China and the only national listed bank with Head Office in the Western Taiwan Straits Economic Zone, Industrial Bank (IB) has, relying on the great social and economic development of China, grasped the opportunities to maintain steady operation and scientific development and made a range of major breakthroughs in overall strength, strategic progress, business transformation, brand position, services to the Western Taiwan Straits Area and social responsibilities. The bank has firmly remained among the top 10 Chinese banks, the global top 100 banks and the world top 300 listed companies, and kept improving its market influence and brand image.
Major breakthrough in overall strength
Since the 17th National Congress of the CPC, the assets of IB have been over RMB 2 trillion, the deposits and loans over RMB 1 trillion, and the capital over RMB 100 billion; the non-performing loan ratio of the bank has remained within 0.4%. By the end of June 2012, the total assets of IB reached RMB 2,780.4 billion, 2.29 times the amount in the same period of 2009, boasting a compound growth rate of 31.8%. The balance of all deposits amounted to RMB 1,499.7 billion, 1.82 times the amount in the same period of 2009, boasting a compound growth rate of 22.0%. The balance of all loans reached RMB 1,058 billion, 1.65 times the amount in the same period of 2009, boasting a compound growth rate of 18.2%. The bank ranked front among similar joint-stock commercial banks in terms of business growth rate. Both the equity of shareholders and capital strength increased significantly. By the end of June 2012, its capital reached RMB 168.9 billion, 2.61 times the amount in the same period of 2009, boasting a compound growth rate of 37.70%. The loans of the bank remained in good quality. By the end of June 2012, the non-performing loan ratio was only 0.4%, down by 0.27% compared with the rate in the same period of 2009, remaining at the best level among all similar banks. In the recent three years, IB kept its weighted mean ROE steadily around 25%, maintaining a leading position among major banks across China.
Major breakthrough in strategic progress
Marked by its IPO at Shanghai Stock Exchange in February 2007, IB has successfully fulfilled frog-leap development in four stages, growing from a local bank into a regional bank, a national bank and a publicly listed bank. By the end of June 2012, IB has set up 83 branches, 676 sub-branches and over 5,300 ATMs in major cities around China, built a three-in-one electronic banking service system consisting of internet banking, telephone banking and mobile banking, realized counter pass with over 16,000 institutional outlets at home and established correspondent bank ties with over 1,000 banks around the world. Combining virtual and physical functions, the service network of the bank that extends across the whole country and bridges China and foreign countries has been further improved. Industrial Financial Leasing Co., Ltd., a wholly-owned subsidiary of IB, was established successfully. It had its assets totaling RMB 31.908 billion at the end of June 2012 and registered profits of RMB 338 million in the first half year. The bank purchased Union Trust Limited and renamed it as China Industrial International Trust Limited. By the end of August 2012, its registered capital reached RMB 1.288 billion, and its total assets RMB 3.775 million. The trust assets under its management have reached RMB 178.937 billion, 77.8 times as great as the amount before the restructuring. Industrial Trust ranks top 10 among all the 69 trust companies across China , registering profits of RMB 307 million in the first half year. Through exploring the development of integrated businesses, IB has extended the boundary of its strategic development, and formed its group-oriented operation preliminarily.
Major breakthrough in business transformation
As one of the first commercial banks that proposed and pushed forward business transformation in China, IB has accelerated its strategic business transformation and significantly improved its business and income structures. The bank has insisted on sinking its “service focus” and exerted great efforts to develop retailing business and SME business. It has intensified its supporting efforts to serve the real economy substantially while improving the banking customer structure and business structure. Grasping market opportunities, IB has boldly pushed forward business and product innovation, and actively engaged in such emerging business fields as investment banking, assets management and wealth management, taking the lead in releasing new products in such fields as green finance, bank-bank platform, Renminbi market trading and precious metal agency trading in the market. The bank has also intensified its capital management. While refining capital planning and increasing capital supplementation, it has effectively guided and encouraged the whole bank to take the capital-saving development road by way of assessment and judgment, resource allocation, and measurement detailing. IB has kept improving the proportion of intermediate business incomes and alleviating the dependency on conventional interest incomes, with the incomes from the businesses relating to payment and settlement, custody, leasing, and trust, which reflect the improvement of service capabilities and emerging businesses, all kept growing at a high rate. Centering on the diversified and integrated development of businesses, IB has improved the systems and mechanisms of corporate governance, business management, risk control and operation management, significantly enhancing its management capability.
Major breakthrough in brand position
With all businesses keeping growing steadily in a sustained and healthy manner, IB has kept elevating its brand image and market position in recent years.
According to the ranking of Top 1000 Banks in 2012 released by the British Magazine, The Banker, IB ranked No. 69 in terms of Tier 1 capital, up by 48 over 2009 and No.61 in terms of total assets, up by 47 over 2009. According to the ranking of Forbes Global 2000 in 2012 released by the US magazine, Forbes, IB ranked No.243, up by 146 over 2009. According to the ranking of 2012 Top 500 Chinese Enterprises released by the US magazine, Fortune, IB ranked No.78, up by 211 over 2009. According to the ranking of “Global 500 Financial Brands in 2012” released by the British Magazine, The Banker, IB ranked No.97 in the ranking with its brand value of USD 1.571 billion, up by 75 over 2009, and its brand value increased from USD 471 million to USD 1.571 billion, up by 233.6%.
Moreover, in various appraisals organized by authoritative institutions both at home and abroad, IB has also won a number of important awards in succession including the “Most Profitable Bank in Asia”, the Champion of “Sustainable Asian Bank Prize”, the “Annual Best Joint-stock Commercial Bank”, “No.1 of the Top 10 Listed Companies with the Best Sustained Investment Value”, the “Best Corporate Citizen of China”, the “Best Green Bank”, the “Best Corporate Social Responsibility Financial Institution Award”, and the “Best CSR Performer”. The bank has witnesses significantly elevated market reputation and popularity.
Major breakthrough in services to the Western Taiwan Straits Area
As the only national listed bank based in the Western Taiwan Straits Economic Zone, IB has elevated its services to Western Taiwan Straits Area to the strategic level of the whole bank to make special deployment and launched important measures successively for years, exerting itself to serve the construction of the Western Taiwan Straits Area by diverting its resources. In 2010, the bank released the “Opinions on Further Blending into and Serving the Construction of the Western Taiwan Straits Area”, announcing to implement “Six Major Projects under the 100 Billion Program”. In 2011, it released the “Opinions on the Active Implementation of Financial Innovation to Fully Serve the ‘Five Campaigns' of Western Taiwan Straits Area”, launching “Seven Innovations” to support the “Five Campaigns”. In 2012, it released the “Opinions on Strengthening Financial Services to the Western Taiwan Straits Area in a Sustained Way by Exerting the two Advantages of IB and Activating Three-wheel Drive” to bring into full play its two advantages–location of group headquarters and integrated business, and exert itself to activate the “three-wheel drive”–regional planning, key industries and projects, and real economy and SMEs, so as to enter into the crucial links and key fields for the economic growth of the Western Taiwan Straits Area in an efficient way, help boost the construction of the region in a sustained way. By the end of June 2012, the bank's balance of credits to institutions and enterprises across Fujian both in home and foreign currencies has reached RMB 207.105 billion, up by 73.69% compared with the same period of 2009, and up by 16.09%, an increase of RMB 28.704 billion, over the beginning of this year. IB has made active contribution to the scientific and frog-leap development of the province.
Major breakthrough in CSR
IB has always taken it as an important grab for driving its own scientific development to perform its social responsibilities. Under the guidance of the unique social responsibility concept of “obtaining reasonable profits while bringing benefits to the stakeholders”, the bank has organically combined the performance of social responsibilities with innovation in business model, harvesting both economic and social benefits.
As the first and only Equator bank in China by now, IB has taken the lead to develop the green finance market and boost environmental protection, energy conservation and emission reduction with green finance, creating both economic and social benefits. IB has accumulatively extended over RMB 100 billion energy conservation and emission reduction based financing loans to over 1,000 enterprises with a variety of financial tools. All the emission reduced in the projects supported by such financing loans is equivalent to shutting off 151 thermal power plants of 100 MW a year. It has creatively released the “bank-bank platform” business, supplying technologies, products, management and services to small- and medium-sized financial institutions through linking systems and sharing networks, thus changing competitors into partners. This not only met the pressing needs of small- and medium-sized financial institutions, but also reduced low-level repetitive construction and significantly improved the allocation efficiency of financial resources and service level of the whole society. IB has also actively participated in the pubic benefit cause. In recent years, it donated nearly RMB 120 million for public good in total, supporting a range of public benefit undertakings and projects including post-disaster reconstruction, local education and poverty alleviation.