Sustainability Analysis Of Minsheng Bank's Profitability

In recent years,the transformation and transformation of China's commercial banks have been a hot topic of discussion in various sectors of the society.Due to the reform of the marketization of interest rates and the sudden emergence of internet finance,the profitability of commercial banks has been affected by considerable impact.China Minsheng Bank is the first nationwide joint-stock commercial bank established mainly by private enterprises since the reform and opening up.Whether its profitability is sustainable or not,and which aspects affect the profitability and impact of Minsheng Bank,is a Theoretical and practical issues.The article begins with a theoretical analysis of the profitability of a commercial bank,explains the concept of profitability,and then uses the results of previous studies to explain the connotation of the sustainability of profitability of commercial banks,and from the macro and the bank itself.The angle elaborates the factors influencing the profitability of commercial banks.Next,we analyze the profitability of Minsheng Bank from both vertical and horizontal perspectives.In the screening of influencing factors,firstly,the annual report data of the China Minsheng Bank for the period 2006-2016 was selected as the population.The calculation method of the first-order autoregressive model was introduced to measure the sustainability of the profitability of Minsheng Bank.The results showed that the profitability of Minsheng Bank continued is still not stable.Then we select the financial data of Minsheng Bank from 2006 to 2016,and use a multiple linear regression model to screen the impact factors of Minsheng Bank's profitability.The empirical results show that the three factors such as the fee and commission net income accounted for the impact on the profitability of Minsheng Bank.On the premise of the previous chapter,the author analyzes the sustainability of Minsheng Bank's profitability from five aspects: income structure,operational efficiency,risk control level,liquidity,and ability to access customers through online financial channels.In this paper results: aspects of revenue structure,fee and commission income Minsheng Bank will be in the future an important driver of sustainable profitability point;in the profitability of commercial banks to diversify sources at the same time,to ensure efficient operational efficiency to achieve profitability may On the other side of sustainability,under the conditions that make capital adequacy ratio and provision coverage consistent with national regulations,rationally lowering the non-performing loan ratio is the basic guarantee for ensuring the sustainability of profitability of Minsheng Bank;in addition,it will increase the impact of online financial brands.It is an important driving force for the sustainability of Minsheng Bank's profitability to improve the accuracy of customer access through online finance.Finally,based on the conclusions drawn from the article,we provide relevant countermeasures for improving the sustainability of Minsheng Bank's profitability.