BOC's after tax profit up 28.52%

BOC achieved profit after tax of US$16.7 billion, a year-on-year growth of 28.52 per cent.

Profit attributable to equity holders is RMB104.42 billion, up 29.20 per cent from the previous year.

At the end of 2010, the Bank’s total assets amounted to US$1.59 trillion, an increase of 19.51 per cent from the previous year-end.

The Group’s net interest margin was 2.07 per cent, an increase of 0.03 percentage point compared with the prior year. Return on total average assets and return on average equity stood at 1.14 per cent and 18.87 per cent, respectively, an increase of 0.05 percentage point and 2.39 percentage points compared with the prior year.

The Bank maintained rapid profit growth in 2010, driven primarily by significant increases in net interest income and non-interest income, strict containment of credit cost, increased operating efficiency and a decline in the effective tax rate. During the year, the Bank’s net interest income grew by 22.08 per cent compared with the previous year and net interest margin rose by 0.03 percentage point.

Non-interest income increased by 12.03 per cent from the previous year, of which net fee and commission income rose by 18.41 per cent. Credit cost was 0.29 per cent, down by 0.09 percentage point from the prior year, while the cost-to-income ratio decreased by 0.76 percentage point to 34.16%. The effective tax rate declined to 22.83 per cent from 23.18 per cent.