Bank of Communications profit up 1.5% in Q1

A branch of the Bank of Communications Ltd in Qiqihar, Heilongjiang province. [Photo provided to China Daily]

BEIJING - The Bank of Communications, a major commercial lender, said its net profit increased 1.5 percent year on year to 18.97 billion yuan ($3.1 billion) in the first quarter on Tuesday.

Revenues from service charges and commission fees came in at 9.88 billion yuan, rising 29.27 percent year on year, according to its business report filed with the Shanghai Stock Exchange.

As of the end of March, the bank's total assets reached 6.63 trillion yuan, up 5.73 percent from the beginning of the year, while its non-performing loans ratio settled at 1.3 percent.

Shares of the lender gained 1.71 percent to end at 7.14 yuan per share Tuesday. Profit at China's major banks have grown at the weakest rate in years as world's second-largest economy entered the "new normal" period of slower growth but higher quality.

The 16 banks listed on the Shanghai and Shenzhen bourses are forecast to post a three to five percent average growth in net profits in the first quarter of this year, China Securities Journal reported Monday citing estimates by brokers.