Official Announcement: Breaks 1 Trillion! Pufa Bank 2025 Performance Rebound, Maximum Value?

Product Listing | China Visit Network

Review | Li Xiaoyan

In early 2026, Shanghai Pudong Development Bank (SPDB) took the lead in releasing its 2025 annual performance brief, delivering a business report that is both a milestone and a sign of recovery. By the end of 2025, the group’s total assets surpassed 10 trillion yuan, reaching 10,081.746 billion yuan, officially entering the “Trillion-Yuan Club” of domestic banks; revenue ended four consecutive years of decline, achieving a year-on-year growth of 1.88%, and net profit attributable to the parent increased by 10.52%, with profitability returning to a stable growth track. Against the backdrop of narrowing interest spreads, increased risk pressure, and accelerated transformation in the banking industry, SPDB’s growth in scale, profit recovery, quality optimization, and digital intelligence empowerment demonstrate the solid results of strategic adjustments and operational efforts, marking a new starting point for high-quality development.

Breaking through the 10 trillion yuan asset scale is a significant milestone in SPDB’s development history and a concentrated reflection of its enhanced comprehensive strength, service capability, and market competitiveness. This breakthrough is not merely about expanding scale but is based on steady growth driven by serving the real economy, optimizing resource allocation, and deepening core regional markets. In 2025, SPDB precisely grasped policy guidance and regional economic trends, focusing credit resources on key areas such as the Yangtze River Delta integration, manufacturing upgrades, green energy, and tech startups—aligning with national strategic sectors—and achieved concentrated breakthroughs through a “good start” credit deployment strategy, solidifying the real economy foundation for reasonable asset growth.

The simultaneous strengthening of capital power provides a solid support for scale expansion. By the end of 2024, the successful conversion of 50 billion yuan of perpetual bonds into equity significantly boosted core Tier 1 capital, improving capital adequacy ratio and effectively alleviating capital consumption pressure, opening up space for future business expansion. The trillion-yuan asset size means SPDB has stronger capital deployment, risk-bearing capacity, and customer service capabilities, playing a greater role in major projects, supporting industrial upgrades, and safeguarding financial services for people’s livelihoods, thereby consolidating its position among the top tier of national joint-stock banks.

While expanding scale, SPDB actively responds to the industry’s shift from “scale first” to “quality first,” focusing growth on structural optimization and efficiency improvement. In 2025, total liabilities increased by 6.20%, deposit structure continued to optimize, with a higher proportion of demand deposits, and interest expenses effectively declined, supporting stable net interest margins and achieving balanced development of scale, efficiency, speed, and quality.

In 2025, SPDB’s operational performance experienced a landmark recovery, ending four years of continuous revenue decline, with total operating income reaching 173.964 billion yuan, up 1.88% year-on-year; net profit attributable to the parent was 50.017 billion yuan, up 10.52%, with both revenue and net profit increasing—demonstrating operational resilience and recovery momentum. In an environment where industry-wide interest margins are narrowing and growth pressures persist, this achievement is hard-won, driven by strategic focus, cost control, and coordinated asset-liability management.

Profit structure continued to optimize, and growth quality steadily improved. On one hand, SPDB deepened its layout across five major sectors—technology finance, supply chain finance, inclusive finance, cross-border finance, and treasury finance—enhancing non-interest income contribution and gradually reducing reliance on traditional interest margin business; on the other hand, refined cost management improved operational efficiency, with the cost-to-income ratio continuously optimized, significantly boosting net profit growth beyond revenue growth, and enhancing profit conversion efficiency.

The combination of slight revenue recovery and double-digit profit growth reflects that SPDB’s operational foundation is solid and recovery trend is clear. Although revenue growth is still in the recovery phase, reversing the long-term downward trend marks a substantial breakthrough in business adjustment and market expansion, laying a foundation for sustained future growth.

Asset quality remains the lifeline of prudent banking operations and is one of SPDB’s most impressive achievements in 2025. By year-end, non-performing loans (NPLs) stood at 71.99 billion yuan, down 1.164 billion yuan from the previous year; the NPL ratio was 1.26%, down 0.10 percentage points from the previous year, reaching the lowest level in nearly a decade, achieving both a decline in non-performing balance and ratio. Meanwhile, the loan loss provision coverage ratio increased to 200.72%, up 13.76 percentage points from the previous year, significantly enhancing risk buffer capacity and providing a solid safety net for prudent operation.

Excellent asset quality indicators stem from the precise implementation of a dual-track strategy of “controlling new risks and reducing old ones.” On the new credit side, SPDB strictly enforces access standards, actively reduces risk exposure in real estate and local government financing platforms, and increases investment in high-quality assets such as manufacturing, green energy, and tech SMEs—preventing risk from originating; on the existing asset disposal side, it intensifies non-performing loan write-offs and professional collection efforts, efficiently resolving historical burdens and continuously improving asset quality. The overdue 90-day and 60-day delinquency deviations are both kept within 100%, demonstrating effective forward-looking risk management and a solid foundation for asset quality improvement.

While high provisioning coverage may impact current profit distribution, it more strongly reflects prudent management philosophy and a long-term perspective, effectively enhancing resilience against cyclical fluctuations, ensuring steady future performance, and signaling to the market that risks are controllable and operations are stable.

Facing industry transformation pressures, SPDB regards digital intelligence as a key breakthrough. In 2025, with the theme of “Digital Intelligence Strategy Enhancement Year,” the bank promoted the five major sectors from layout to results, leveraging technology to upgrade business, improve efficiency, and innovate services. In technology finance, it built a full lifecycle service system, serving over 240,000 tech companies and covering more than 70% of listed companies on the STAR Market; supply chain finance relied on digital platforms, rapidly increasing the number of upstream and downstream clients; inclusive finance utilized big data and AI to precisely serve micro and small enterprises, maintaining steady loan growth; cross-border and treasury finance enhanced cross-border capital services and comprehensive financial capabilities through digital means.

The digital transformation not only drives business growth but also optimizes asset-liability management and operational efficiency. Digital customer acquisition and service systems reduce operational costs, with demand deposits and their proportion both rising, effectively offsetting pressure from narrowing net interest margins; tools like intelligent risk control and operations improve risk management accuracy and processing efficiency, supporting the shift from “asset-heavy” to “light-capital, high-efficiency” banking. The current phase of digital transformation has moved from “quantitative accumulation” to “qualitative enhancement,” with deepened sector development creating scale effects and injecting sustained momentum for long-term growth.

While business is improving, SPDB also recognizes shortcomings in compliance management. The regulatory fines in early 2026 reflect that rapid expansion has exposed weaknesses in internal control and compliance, prompting the bank to further improve governance and strengthen compliance foundations. In recent years, SPDB has appointed a Chief Compliance Officer, clarified the management policy of “reducing fines and cases,” and increased efforts in internal control process optimization and compliance culture building, promoting the deep integration of compliance management and business development.

For a trillion-yuan bank, “speed” must be matched with “control.” SPDB is integrating compliance and risk control throughout its operations, balancing scale expansion, innovation, and risk management, with stricter internal control standards and improved governance mechanisms to ensure long-term stable development. Deepening compliance reforms will further eliminate hidden risks, enhance market trust, and safeguard high-quality growth.

Standing at the new starting point of 10 trillion yuan, SPDB has emerged from a low point in operations, achieving comprehensive recovery in scale, performance, and quality. Its future development is clear and driven. Moving from scale obsession to quality priority, from interest margin dependence to diversified income, from traditional operations to digital intelligence-driven growth, the bank is accelerating its high-quality development transformation.

Looking ahead, as digital transformation deepens, the five major sectors’ effectiveness is unleashed, asset quality steadily improves, and compliance management is strengthened, SPDB is expected to further enhance capital returns, optimize profit structure, and increase value creation. The scale advantage will be transformed into a value advantage. For markets and investors, this reshaped joint-stock bank, after adjustments and restructuring, now has a more solid operational foundation, clearer transformation pathways, and stronger recovery momentum. In its dual journey of serving the real economy and achieving high-quality self-development, its prospects are promising.