With the conclusion of 2025 annual report disclosures, listed banks have entered their annual dividend distribution period. However, Bank Of Zhengzhou Co.,Ltd. (002936.SZ, 06196.HK) stands out as the sole entity within the sector not to declare a dividend for the year.

The annual report shows that in 2025, Bank Of Zhengzhou Co.,Ltd. achieved operating revenue of 12.921 billion yuan, a year-on-year increase of 0.34%, marking a return to positive growth after two years. Net profit attributable to the bank's shareholders was 1.895 billion yuan, an increase of 1.03% year-on-year.

Despite the improvement in performance, Bank Of Zhengzhou Co.,Ltd. explicitly stated it would not distribute profits for 2025, making it the only bank among the 42 A-share listed banks to forgo a dividend for that year.

It is noteworthy that since its A-share listing in 2018, the bank's dividend frequency has been highly irregular. In the nearly eight years since listing, cash dividends have only been paid in three fiscal years. Over the past six years, the bank only distributed cash in 2024, paying out 182 million yuan.

The core reason for this suspension of dividends is the bank's decision to retain profits during a critical phase of deepening reforms, using the funds to supplement its core tier 1 capital.

As of the end of March 2026, Bank Of Zhengzhou Co.,Ltd.'s capital adequacy ratio, tier 1 capital adequacy ratio, and core tier 1 capital adequacy ratio had declined to 11.46%, 10.19%, and 8.3%, respectively. Among these, the bank's capital adequacy ratio and core tier 1 capital adequacy ratio are at the bottom among listed city commercial banks.

**Only One Cash Dividend in the Past Six Years** Listed banks have long been the primary dividend payers in the A-share market, with their stability and shareholder returns widely recognized. Bank Of Zhengzhou Co.,Ltd.'s decision for a zero dividend in 2025 is particularly conspicuous within the sector.

The bank's 2025 profit distribution plan indicates it "will not pay a cash dividend, issue bonus shares, or convert capital reserves into shares this year."

This means Bank Of Zhengzhou Co.,Ltd. is the "only one" among the 42 A-share listed banks not paying a dividend.

A review shows that in the nearly eight years since listing, the bank's dividend rhythm has been irregular and lacking in continuity. In its first year post-listing in 2018, the bank implemented a distribution of 1.5 yuan per 10 shares, paying out 888 million yuan, representing 29.04% of its net profit for the period.

In 2019, the bank distributed 1 yuan per 10 shares alongside a 1-for-10 bonus share issue, with total cash dividends of 592 million yuan, lowering the cash dividend payout ratio to 18.03%. In 2020, the bank did not make a cash distribution, only implementing a 1-for-10 bonus share issue. In 2021, profit distribution was suspended, and in 2022, another 1-for-10 bonus share issue was implemented.

The bank paid no dividend in 2023. In 2024, it resumed cash dividends, distributing 0.2 yuan per 10 shares for a total of 182 million yuan, with a cash dividend payout ratio of 9.69%.

Overall, in the past six years, Bank Of Zhengzhou Co.,Ltd. only made a cash dividend payment in 2024, with no cash dividends in the other five years. Since listing, the bank has paid cash dividends three times, totaling 1.662 billion yuan.

This contrasts sharply with its fundraising activities. The bank raised net proceeds of 2.709 billion yuan from its 2018 A-share IPO. In November 2020, it conducted a private placement raising net proceeds of 4.632 billion yuan. These two issuances raised a total of 7.341 billion yuan.

Bank Of Zhengzhou Co.,Ltd. explained the suspension of the 2025 dividend with two main reasons. First, the bank is in a critical stage of deepening reform and transformation. Retaining undistributed profits is conducive to solidifying the capital foundation for high-quality development, further enhancing risk resilience, and providing strong support for operational stability. Second, against the backdrop of tightening financial regulation and strengthened capital constraints, using retained profits for internal replenishment is a primary and effective way to ensure adequate capital levels. The retained undistributed profits will be used to supplement core tier 1 capital, improve capital adequacy, support sustainable development, and safeguard the long-term interests of investors.

**Total Assets Reach 783.5 Billion Yuan as Capital Consumption Accelerates** In fact, judging from the trend of capital indicators in recent years, the bank's capital adequacy levels have shown a continuous decline.

From the end of 2023 to the end of 2025, Bank Of Zhengzhou Co.,Ltd.'s capital adequacy ratio was 12.38%, 12.06%, and 11.71%, respectively; its tier 1 capital adequacy ratio was 11.13%, 10.81%, and 10.44%; and its core tier 1 capital adequacy ratio was 8.9%, 8.76%, and 8.45%. All three core capital metrics decreased year by year.

By the end of March 2026, the bank's capital adequacy ratio, tier 1 capital adequacy ratio, and core tier 1 capital adequacy ratio had declined further to 11.46%, 10.19%, and 8.3%, respectively.

Among these, the bank's capital adequacy ratio and core tier 1 capital adequacy ratio are at the bottom among A-share listed city commercial banks. Within the broader listed bank sector, they are only higher than the capital adequacy ratio (11.24%) and core tier 1 capital adequacy ratio (8.26%) of China Zheshang Bank Co.,Ltd.

The acceleration in capital consumption is directly related to the expansion of the bank's business scale. At the end of 2025, the bank's total assets were 743.674 billion yuan, an increase of 9.95% from the end of the previous year. Total loans were 410.264 billion yuan, up 5.82% year-on-year. Total deposits were 463.075 billion yuan, an increase of 14.47% from the end of the previous year.

By the end of March 2026, the bank's total assets had further increased to 783.495 billion yuan, a growth of 5.35% from the end of the previous year, indicating a continued acceleration in balance sheet expansion.

However, this rapid expansion has not been matched by corresponding growth in performance. In 2025, the bank's operating revenue increased by a mere 0.34% year-on-year to 12.921 billion yuan, following two consecutive years of revenue decline in 2023 and 2024. For the same period, net profit attributable to shareholders was 1.895 billion yuan, up 1.03% year-on-year, while net profit after extraordinary items was 1.824 billion yuan, down 1.86% year-on-year.

In the fourth quarter of 2025, the bank's operating revenue was 3.526 billion yuan, a decrease of 8.08% year-on-year. Net profit attributable to shareholders and net profit after extraordinary items were -384 million yuan and -455 million yuan, respectively, representing year-on-year declines of 4.26% and 25.94%.

It is notable that since 2018, the bank has reported losses in the fourth quarter for multiple consecutive years. The core reason is the concentrated provisioning of substantial asset impairment losses at year-end. For the full year 2025, the bank recognized credit impairment losses of 7.282 billion yuan, an increase of 1.37% year-on-year. Of this, the provision recognized in the fourth quarter was 2.923 billion yuan, the highest among the four quarters.

In terms of revenue structure, benefiting from the expansion of interest-earning assets, the bank's net interest income in 2025 was 10.864 billion yuan, an increase of 4.82% year-on-year. The net interest margin was 1.61%, down 11 basis points year-on-year, indicating a continued narrowing of the interest spread. For the same period, non-interest income was 2.057 billion yuan, a decrease of 18.13% year-on-year, accounting for 15.92% of operating revenue. Specifically, net fee and commission income was 406 million yuan, a decrease of 66 million yuan year-on-year. Other non-interest income was 1.651 billion yuan, a decrease of 390 million yuan year-on-year. Notably, gains from changes in fair value fell from 131 million yuan the previous year to -378 million yuan, a decrease of 509 million yuan, becoming the primary drag on the decline in non-interest income.

Entering 2026, the bank's operational trend showed some recovery. In the first quarter of 2026, Bank Of Zhengzhou Co.,Ltd. achieved operating revenue of 3.521 billion yuan, an increase of 1.31% year-on-year. Net profit attributable to shareholders was 1.07 billion yuan, an increase of 5.37% year-on-year.

For the first quarter, the bank's net interest income was 2.673 billion yuan, flat year-on-year. Net fee and commission income was 120 million yuan, an increase of 18.33% year-on-year. Gains from changes in fair value were 173 million yuan, a significant improvement from -154 million yuan in the same period last year.

Regarding asset quality, from the end of 2021 to the end of 2025, the bank's non-performing loan (NPL) ratio was 1.85%, 1.88%, 1.87%, 1.79%, and 1.71%, respectively, showing some improvement in credit asset quality.

By the end of the first quarter of 2026, the bank's NPL ratio had further decreased to 1.69%, and the provision coverage ratio increased to 202.75%, indicating a continued enhancement of its risk resilience.