Boc Hong Kong (holdings) Limited · HKEX:2388
Boc Hong Kong (holdings) — H1 2026 Earnings Presentation
35 slides from Boc Hong Kong (holdings)'s earnings presentation, Aug 28, 2026
Slide 1: 2026 Interim Results
2026 Interim Results 28 August 2026
Slide 2: Disclaimer
Disclaimer This presentation and subsequent discussions may contain forward-looking statements that involve risks and uncertainties. These statements are generally indicated by the use of forward-looking terminology such as believe, expect, anticipate, estimate, plan, project, target, may or will, o
Slide 3: Agenda
Agenda 01 Strategy Review 02 Financial & Business Results 03 Outlook
Slide 4: Strategy Review
Op SR Ge ree (38 AR) A PR ZS BOC HONG KONG (HOLDINGS) LIMITED 0 ] Strategy Review
Slide 5: Solid Growth in Operating Results with Special Dividend to Reward our Shareholders
Solid Growth in Operating Results with Special Dividend to Reward our Shareholders Profit Attributable to Equity Holders ROE Shareholder Return HK$m 1H26 interim DPS totalled HK$0.58 23,739 +7.1% +0.32 ppt YoY Three-year shareholder return YoY 13.18% programme for 2026-2028: ✓ Orderly increase in di
Slide 6: Strengthening Integrated Service Capabilities while Deepening Local Market Commitment
Strengthening Integrated Service Capabilities while Deepening Local Market Commitment Consolidating Business Advantages Deepening Core Businesses #1 in cumulative number of new residential mortgage loans Private Wealth customers up 11% YoY while number of Private Wealth #1 mandated arranger in HK/Ma
Slide 7: Consolidating Cross-border Business Advantages while Deepening Regional Synergy
Consolidating Cross-border Business Advantages while Deepening Regional Synergy Remained at the forefront of Stock Connect, Bond Connect, Swap Connect, Wealth Customer Deposits* Customer Loans* Management Connect and Payment Connect businesses, and served as an authorised bank for the cross-border d
Slide 8: Supporting Offshore Market Development to Promote the International Use of RMB
Supporting Offshore Market Development to Promote the International Use of RMB Cementing Business Advantages Maintained leadership in offshore RMB clearing, with the combined RMB clearing volume of BOC Malaysia, Manila Branch and Phnom Penh Branch increasing by 24% The Jakarta Branch was appointed a
Slide 9: Refining the Top-level Design of Financial Digitalisation while Deepening Digital and Intelligent Transformation
Refining the Top-level Design of Financial Digitalisation while Deepening Digital and Intelligent Transformation Supporting Financial Infrastructure Joined the CBETS platform as one of its first participants, and became the world’s first offshore e-CNY custodian bank Participated in preparatory work
Slide 10: Delivering on Our CSR and Sustainable Development Commitments
Delivering on Our CSR and Sustainable Development Commitments Promoting Green Finance Supported implementation of Hong Kong Taxonomy for Sustainable Finance (Phase 2A) BOC Life completed its first carbon audit on climate action and green operations Hosted 2026 BOCHK Sustainable Supplier Forum to dri
Slide 11: Financial & Business Results
Financial & Business Results
Slide 12: Solid Operating Results
Solid Operating Results HK$m 461 24,356 949 (366) 1,043 (817) 22,804 846 (564) (+3.3%) (-5.8%) (-17.0%) (+6.7%) (-25.5%) (n.a.) (-10.0%) (+6.8%) 1H25 Net Net Fee & Other Operating Impairment Net Loss from Taxation 1H26 Profit after Interest Commission Non- Expenses Allowances Disposal of / & Others
Slide 13: Further Improved Deposit Mix
Further Improved Deposit Mix Customer Deposits up 3.2% Leading Market Position HK$m 3,037,174 2,944,188 CASA ratio: 53.8% 2026.06 +0.5 ppt 14.74% +4.0% 2025.12 2026.06 Time and Other Deposits Current and Saving Deposits (CASA) Deposit Market Share 13
Slide 14: Broad-based Growth in Customer Loans
Broad-based Growth in Customer Loans Customer Loans up 5.9% Leading Market Position HK$m Loans for use in HK - 732,792 Corporates +6.3% Loans for use in HK - 634,715 Individuals +3.8% 2026.06 Loans for use 401,356 16.18% outside HK +7.0% Trade 49,755 Financing +20.8% 2025.12 2026.06 Loan Market Shar
Slide 15: Steady Growth in Net Interest Income
Steady Growth in Net Interest Income Net Interest Income up 3.3% NIM Expansion YoY HK$m HK$m 1H26: 1.57% +3 bps YoY 1.71% 1.55% 1.54% 1.59% 1.55% 3,790,681 3,843,722 1.53% 29,934 28,985 16,398 14,810 14,391 14,934 15,000 +3.3% +1.4% 14,175 1H25 1H26 1H25 1H26 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26 Net Intere
Slide 16: Solid Performance in Fee Income and Wealth Management
Solid Performance in Fee Income and Wealth Management Growth Driven by Wealth Net Fee Income up 19% HoH Management and Insurance HK$m Personal Banking (PB) and Wealth Management 6,345 5,979 5,025 Wealth management income from PB +14% YoY Investment product distribution income* from PB +50% YoY 1,355
Slide 17: Cost Efficiency Remained Sound
Cost Efficiency Remained Sound Satisfying Core Requirements Outperforming the Market while Focusing on Key Initiatives in Cost-to-income Ratio HK$m 52 8,980 392 106 14 36.7% * 33.4% 8,416 21.0% 22.5% 1H25 Staff Premises & D&A# Others 1H26 1H25 1H26 Costs Equipment #Depreciation & Amortisation Market
Slide 18: Stable and Solid Asset Quality
Stable and Solid Asset Quality Better-than-market Impaired Loan Ratio Improved Credit Cost HK$m 1,757 2,385 2.01% 1H26 524 0.27% 1.82% 104 1.14% 0.89% 1,858 3,264 1H25 763 0.39% 643 2025.12 2026.06 Net Charge of Impairment Allowances – Advances and Other Accounts Market Average BOCHK Annualised Cred
Slide 19: Sound Capital and Liquidity Position
Sound Capital and Liquidity Position Solid Capital Ratios Sufficient Liquidity Total 25.71% Capital Ratio -0.27 ppt 208.42% 187.83% 174.44% Tier 1 23.80% Capital Ratio -0.21 ppt 140.01% 142.69% 143.62% CET 1 23.80% Capital Ratio -0.21 ppt 1H25 2H25 1H26 2025.12 2026.06 Liquidity Coverage Ratio Net S
Slide 20: Outlook
op SR Se (12 HR) PR iG KONG (HOLDINGS) LIMITED 0 3 Outlook
Slide 21: Second Half Outlook
Second Half Outlook Profound shifts in the geopolitical landscape China’s 15th Five-Year Plan charts a clear direction Financial markets face increased uncertainty HKSAR’s first Five-Year Plan aligns accordingly Monetary policies skew towards tightening New cross-border business opportunities emerge
Slide 22: Strategic Plan for 2026 to 2030
Strategic Plan for 2026 to 2030 Development Vision Building the Best Regional Bank Strategic Vision Benchmark of Benchmark of Benchmark of Benchmark of Core Elements Regional HQ Customer Trust Cross-border Finance Employee Recognition Strategic Ideation Align with National & BOC Group Strategies, co
Slide 23: Appendices
op ERS re (13 AE) ABR AS BOC HONG KONG (HOLDINGS) LIMITED Appendices
Slide 24: Income Statement and Balance Sheet Summary
Income Statement and Balance Sheet Summary Income statement summary (HK$m) 1H2026 1H2025 Change 2H2025 Change Net interest income* 29,934 28,985 3.3% 30,789 -2.8% Net fee and commission income 5,979 6,345 -5.8% 5,025 19.0% Other non-interest income* 3,990 4,807 -17.0% 1,281 211.5% Net operating inco
Slide 25: Average Balances and Average Interest Rates
Average Balances and Average Interest Rates (HK$m / %) 1H2026 1H2025 Assets Average balance Average yield Average balance Average yield Balances and placements with banks 484,080 2.16% 635,043 2.14% and other financial institutions Debt securities investments and other debt instruments 1,599,319 3.1
Slide 26: Fee and Commission Income
Fee and Commission Income HK$m 1H2026 1H2025 Change 2H2025 Change Securities brokerage 1,610 1,579 2.0% 1,711 -5.9% Credit card business 1,474 1,314 12.2% 1,446 1.9% Loan commissions 1,378 1,355 1.7% 513 168.6% Insurance 691 1,162 -40.5% 829 -16.6% Funds distribution 690 445 55.1% 512 34.8% Payment
Slide 27: Operating Expenses
Operating Expenses HK$m 1H2026 1H2025 Change 2H2025 Change Staff costs 5,938 5,546 7.1% 6,638 -10.5% Premises & equipment expenses 864 758 14.0% 866 -0.2% Depreciation and amortisation 1,388 1,374 1.0% 1,367 1.5% Others 1,471 1,298 13.3% 1,752 -16.0% Less: Costs directly attributable to insurance co
Slide 28: Customer Deposits
Customer Deposits HK$m 2026.06 2025.12 Change Total deposits from customers 3,037,174 2,944,188 3.2% CASA 1,633,755 1,570,605 4.0% Demand deposits and current accounts 328,086 291,926 12.4% Savings deposits 1,305,669 1,278,679 2.1% Time, call and notice deposits 1,401,927 1,366,622 2.6% Structured d
Slide 29: Advances to Customers
Advances to Customers HK$m 2026.06 2025.12 Change Loans for use in Hong Kong - industrial, commercial and financial 732,792 689,368 6.3% Property development 156,874 156,785 0.1% Property investment 94,765 95,904 -1.2% Financial concerns 33,667 25,227 33.5% Stockbrokers 4,283 4,362 -1.8% Wholesale a
Slide 30: Capital and Liquidity
Capital and Liquidity HK$m 2026.06 2025.12 Change CET 1 Capital 311,629 295,716 5.4% Tier 1 Capital 311,629 295,716 5.4% Total Capital 336,536 319,967 5.2% Risk-weighted Assets 1,309,167 1,231,680 6.3% % 2026.06 2025.12 Change CET 1 Capital ratio 23.80% 24.01% -0.21ppt Tier 1 Capital ratio 23.80% 24
Slide 31: Gross Advances and Other Accounts by Internal Credit Grade and Stage Classification
Gross Advances and Other Accounts by Internal Credit Grade and Stage Classification 2026.06 2025.12 HK$m Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total Advances to customers 1,738,336 63,914 16,254 1,818,504 1,633,883 63,628 19,558 1,717,069 Pass 1,736,387 27,166 - 1,763,553 1,632,013 2
Slide 32: Non-bank Mainland Exposures
Non-bank Mainland Exposures On-balance sheet exposure Off-balance Total HK$m Total loans and O/W: for use in Debt securities sheet exposure exposure Subtotal advances Mainland and others Central government, central government- owned entities and their subsidiaries and 313,765 66,277 76,717 390,482 2
Slide 33: Loan Exposure to Property Companies
Loan Exposure to Property Companies As at end of June 2026, commercial real-estate (CRE) related loans to corporates amounted to HK$325.5bn, down 0.31% from the end of 2025; accounting for 17.9% of Group’s total loans, down 1.1 ppt from the end of 2025 Loan for use in HK, Chinese Mainland, SEA and o
Slide 34: Personal Banking and Wealth Management
Personal Banking and Wealth Management Rapid Growth in High-quality Growth Personal Banking Business in High-end Customers + 10% + 20% 2025.06 2026.06 2025.12 2026.06 TRB of High-end Customers Private Banking AUM** In 1H2026, Personal Banking wealth management income Closely followed global integrat
Slide 35: BOC Life Business Development
BOC Life Business Development BOC Hong Kong (Holdings) (HK$m) 2026.06 2025.12 Change Contractual service margin 26,336 21,303 23.6% MOODY’S A1 BOC Life (HK$m) 1H26 1H25 Change Standard new premiums 18,962 14,831 27.9% Value of new business (VNB) 3,390 2,178 55.7% STANDARD & POOR’S A Profit before ta
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