Bank of Jiujiang Co Ltd (6190.HK) Q3 2024 Earnings Report

Bank of Jiujiang reported Q3 2024 revenue of 1,430.8 million CNY, with gross profit matching revenue and an operating loss of 32.1 million CNY. Net income totaled 259.97 million CNY, or 18.17% of revenue, aided by substantial non-operating income of 444.53 million CNY that lifted income before tax to 412.40 million CNY. The quarterly results underscore a bifurcated picture: a weak core operating performance offset by a material swing in non-operating items that drove net profit higher on a QoQ basis. Year-over-year metrics are skewed by the same non-operating drivers, with revenue and gross profit down by approximately 34% from the prior year, while QoQ trends show a sharp sequential lift in profitability driven by other income.

From a balance-sheet perspective, total assets stood at 508.08 billion CNY with liabilities of 465.16 billion CNY and stockholders’ equity of 41.56 billion CNY. Cash and cash equivalents totaled 26.33 billion CNY. The liquidity position appears solid, but core profitability remains pressured as indicated by a negative operating margin of -2.25% and low efficiency metrics. Valuation signals are strikingly cheap on a book basis (P/B ~0.15) and modest on a earnings basis (P/E ~6x), suggesting potential value if core earnings power can be stabilized. Investors should monitor forward-looking indicators such as core lending growth, net interest income development, and asset quality trends against a backdrop of ongoing macro uncertainty in China.