BOC HONG KONG HOLDINGS LTD 2017
CONTENTS
PAGE
Financial Highlights 2 Management's Discussion and Analysis 3 Condensed Consolidated Income Statement 35 Condensed Consolidated Statement of Comprehensive Income 36 Condensed Consolidated Balance Sheet 37 Condensed Consolidated Statement of Changes in Equity 38 Condensed Consolidated Cash Flow Statement 40 Notes to the Interim Financial Information 41 Additional Information 117 Independent Review Report 125 Appendix - Subsidiaries of the Company 126 Definitions 129 Interim Report 2017 BOC Hong Kong (Holdings) Limited 1 Financial HigHligHtsFor the period | 30 June 2017 HK$'m | 30 June 2016 HK$'m |
Net operating income before impairment allowances1 | 23,324 | 20,511 |
Operating profit1 | 16,866 | 14,196 |
Profit before taxation1 | 17,785 | 14,349 |
Profit for the period1 | 14,980 | 12,061 |
Profit attributable to the equity holders of the Company1 | 14,627 | 11,749 |
Per share | HK$ | HK$ |
Basic earnings per share1 | 1.3835 | 1.1112 |
Dividend per share | 0.6400 | 1.2550 |
At period/year end | 30 June 2017 HK$'m | 31 December 2016 HK$'m |
Total assets | 2,639,964 | 2,336,757 |
Issued and fully paid up share capital | 52,864 | 52,864 |
Capital and reserves attributable to the equity holders of the Company | 237,455 | 226,827 |
Financial ratios for the period | 30 June 2017 % | 30 June 2016 % |
Return on average total assets2 | 1.33 | 2.27 |
Return on average shareholders' equity3 | 13.72 | 25.39 |
Cost to income ratio1 | 26.17 | 28.28 |
Average value of liquidity coverage ratio4 | ||
First quarter | 121.41 | 112.92 |
Second quarter | 123.88 | 109.70 |
Financial ratios at period/year end | 30 June 2017 % | 31 December 2016 % |
Loan to deposit ratio5 | 66.78 | 64.66 |
Total capital ratio6 | 21.76 | 22.35 |
The financial information for the period ended 30 June 2017 is from continuing operations and the comparative information has been restated accordingly.
Return on average total assets =
Profit for the period
Daily average balance of total assets
Return on average shareholders' equity
Profit attributable to the equity holders of the Company
=
Average of the beginning and ending balance of capital and reserves attributable to the equity holders of the Company
The average value of liquidity coverage ratio is computed on the consolidated basis which comprises the positions of BOCHK and certain subsidiaries specified by the HKMA in accordance with the Banking (Liquidity) Rules.
Loan to deposit ratio is calculated as at period/year end. Loan represents gross advances to customers. Deposit represents deposits from customers including structured deposits reported as "Financial liabilities at fair value through profit or loss".
Total capital ratio is computed on the consolidated basis for regulatory purposes that comprises the positions of BOCHK and certain subsidiaries specified by the HKMA in accordance with the Banking (Capital) Rules.
The Group has applied the merger accounting method in the preparation of financial information for the combination with entity under common control in 2017. The comparative information has been restated accordingly.
2 BOC Hong Kong (Holdings) Limited Interim Report 2017
ManageMent's Discussion anD analysisAs a result of the disposal of Chiyu, the Group reported the operating results of Chiyu as profit from discontinued operations in the condensed consolidated income statement with comparative information restated. Assets and liabilities of Chiyu as at 31 December 2016 were presented separately as assets held for sale and liabilities associated with assets held for sale in the condensed consolidated balance sheet. Certain comparative figures in this Management's Discussion and Analysis have been restated to conform with the current period's presentation.
Following the completion of the share acquisition of Bank of China (Malaysia) Berhad ("BOC Malaysia") and Bank of China (Thai) Public Company Limited ("BOC Thailand") on 17 October 2016 and 9 January 2017 respectively, the Group has applied the merger accounting method in the preparation of financial statements for the combination with entities under common control. The comparative information for the year 2016 has been restated accordingly.
The above transactions are collectively referred as the "disposal and acquisitions" in this Management's Discussion and Analysis.
FINANCIAL PERFORMANCE AND CONDITION AT A GLANCEThe following table is a summary of the Group's key financial results for the first half of 2017 in comparison with the previous two half-yearly periods. The average value of the liquidity coverage ratio is reported on a quarterly basis.
Key Performance Trends | ||
Profit Attributable to the Equity Holders HK$'m 42,837 17,216 12,667 11,749 12,45314,627 1H2016 2H2016 1H2017 Discontinued Continuing operations operations | Return on Average Shareholders' Equity1 ("ROE") and Return on Average Total Assets2 ("ROA") on continuing operations % 14.13 11.7812.30 1.12 1.12 1.24 1H2016 2H2016 1H2017 ROA ROE | Earnings Per Share ("EPS") and Dividend Per Share ("DPS") HK$ 4.0516 1.6283 0.7100 1.1981 0.5450 0.6250 0.0950 0.5450 1H2016 2H2016 1H2017 Special DPS Interim DPS EPS |
Profit attributable to the equity holders
Solid returns to shareholders | ||
BOC Hong Kong (Holdings) Ltd. published this content on 13 September 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 13 September 2017 08:46:07 UTC.
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