SHARES in CITIC Bank rose yesterday on better-than-expected profits growth in 2007.
The Beijing-based bank - the only one of the 20 listed financial players that posted a gain - rose 1.13 percent to 10.72 yuan (US$1.48).
The benchmark Shanghai Composite Index dropped 0.98 percent to 5,443.79 on the poor performance of blue chips.
CITIC Bank, a medium-sized commercial bank, said yesterday in a preliminary estimate to the Shanghai Stock Exchange that its net profit would more than double last year, riding on rapid loan growth and improved interest-rate margins.
In 2006, the bank raked in a net profit of 3.73 billion yuan.
Listed companies are required to announce preliminary estimates if they expect profits to grow more than 50 percent.
The bank is scheduled to report its annual performance on March 27.
China International Capital Corp Ltd said in a research note yesterday that the bank's profit is better than the industry's average forecast.
"The bank's fourth-quarter non-interest income is adding rapidly with assets quality improved," said CICC.
However, CICC still rated the bank as avoid as its A shares are 112 percent higher than its H shares with a 2008 price-to-earnings ratio at 33 times.