Profitability Analysis And Countermeasure Of Shengshi Rural Commercial Bank

The promotion of the market economy provides a wider space for the development of the banking industry,and the steady progress of the banking industry provides strong financial support for the gradual implementation of the market economy.Commercial banks are the most important in the banking system.The development maturity of commercial banks determines the development speed of interest rate market and capital market.With the gradual relaxation of national banking supervision and the promotion of marketization of interest rates,more and more small banks such as urban commercial banks,rural commercial banks and other small banks have gradually risen,which has become the impetus for the development of the local economy.Vigorously support the important pillar of local small and micro enterprises.As a commercial bank,like enterprises,the goal is to maximize shareholders' rights and interests,and its operating results and profitability are not only related to the survival of its own enterprises,but also to the local economy as a whole.Therefore,this paper selects the prosperous rural commercial banks as the research object,using the method of case study to explore many problems existing in the development of small scale rural commercial banks.Prosperous rural commercial bank predecessor was born in 1956,for the rural credit union.In 2015,with the approval of the CBRC,Prosperous Rural Credit Cooperative was officially opened and upgraded to Prosperous Rural Commercial Bank Co.,Ltd.,becoming the first rural commercial bank in the region.The establishment of the bank opened a new chapter in local financial reform and had a profound impact on the development of the entire city.Its transformation from rural credit cooperatives to rural commercial banks is also a key turning point for other rural credit cooperatives to adapt to the reform of economic system,which is of good typicality.This paper follows the writing method of case study,according to the way of finding problems,analyzing problems and solving problems.Firstly,the research background and research methods are summarized,then the research conclusions of domestic and foreign scholars are analyzed and sorted out,and then the related problems are found through financial data analysis and in-depth analysis.Finally,a targeted solution is put forward.Through the longitudinal comparison of its own data and the horizontal comparison with other banks,it is found that the disadvantage exists in the small scale commercial banks,which opens up the direction of the research on the profitability of the small scale banks.It is found that there are some problems such as single business structure,low efficiency of management,insufficient utilization of assets,high non-performing loans,unstable long-term capital input and so on.They also proposed to optimize the business structure,strengthen the development of intermediate business,rebuild the internal management system,standardize business processes,introduce senior personnel,invest surplus funds into projects with higher returns,reduce deposit costs,and strengthen risk management.Standardize credit audit;docking local governments to form economies of scale and a series of suggestions for improvement.