I. Financial Highlights

Contents

II. Business Operations

III. Looking Ahead

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I. Financial Highlights 1. Profit and Scale

2. Asset Quality and Efficiency

3. Income Statement

4. Regulatory Indicators

1. Profit and Scale

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(In RMB’100 million) Jan-Mar 2014 Jan-Mar 2013 YoY

Change Change %

1. Net Profit 50.54 35.89 14.65 40.8%

31 Mar 2014 31 Dec 2013 YTD

Change Change %

2. Total Assets 20,971 18,917 2,054 10.9%

Including: Total Loans 8,903 8,473 430 5.1%

Including: General Corporate Loans

(excluding Discounted Bills) 5,469 5,093 376 7.4%

3. Total Liabilities 19,798 17,797 2,001 11.3%

Including: Total Deposits 13,826 12,170 1,656 13.6%

Including: Corporate Deposits 11,454 10,053 1,401 13.9%

4. Shareholders’ Equity 1,173 1,121 52 4.7%

2. Asset Quality and Efficiency

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(In RMB’100 million) 31 Mar 2014 31 Dec 2013 YTD

1. Asset Quality

NPL Balance 81.05 75.41 7.47 %

NPL Ratio 0.91% 0.89% +0.02 pc point

Provision to Loan Ratio 1.83% 1.79% +0.04 pc point

Provision Coverage Ratio 201.55% 201.06% +0.49 pc point

Jan-Mar 2014 Jan-Mar 2013 YoY

2. Return on Assets

Average Return on Total Assets (annualized) 1.01% 0.84% +0.17 pc point

Weighted Average Return on Equity (annualized) 16.54% 15.61% +0.93 pc point

3. Net Interest Spread 2.23% 2.01% +0.22 pc point

4. Net Interest Margin 2.42% 2.18% +0.24 pc point

5. Cost / Income Ratio (excluding Business Tax) 37.65% 38.73% -1.08 pc point

3. Income Statement

(In RMB’100 million)

Jan-Mar 2014 YoY

Amount Proportion Amount

Change

Amount

Change %

Proportion

Change

Operating Income 161.00 100% 52.98 49.1%

Net Interest Income 115.50 71.74% 28.43 32.7% -8.87%

Net Non-Interest Income 45.50 28.26% 24.55 117.2% 8.87%

Including: Net Fee Income 32.07 19.92% 14.02 77.7% 3.21%

Expenses 73.21 22.82 45.3%

Operating Fees 60.62 37.65% 18.78 44.9% -1.08%

Operating Profit Before Provisions 87.79 30.16 52.3%

Less: Asset Impairment Loss 20.67 10.21 97.6%

Net Profit 50.54 14.65 40.8%

Basic / Diluted EPS (in RMB) 0.53 0.09 20.5%

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4. Regulatory Indicators

Standard level 31 Mar 2014 31 Dec 2013

Liquidity Ratio (RMB and Foreign Currency) ≥25% 63.89% 49.56%

Loan / Deposit ratio (including Discounted

Bills, RMB and Foreign Currency) ≤75% 63.75% 69.67%

NPL Ratio ≤5% 0.91% 0.89%

According to

Administrative

Measures for the

Capital of

Commercial Banks

(Trial)

Capital Adequacy Ratio ≥8.9% 10.79% 9.90%

Tier 1 Capital Adequacy

Ratio ≥6.9% 8.70% 8.56%

Core Tier 1 Capital

Adequacy Ratio ≥5.9% 8.70% 8.56%

At the end of the reporting period, the Bank’s major regulatory indicators were in line with regulatory requirements.

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Notes: The applicable standard levels of indicators for 2014 are presented according to the Administrative Measures for the Capital of

Commercial Banks (Trial) issued by the CBRC.

II. Business Operations 1. Rapid Growth in Deposits

2. Improvement in Profitability and Optimized Structure

3. Upgrade in Micro Finance

4. Innovation in Assets Operations and Returns

5. Implementation in Operational Reforms

6. Development in Foundation

1. Rapid Growth in Deposits

(In RMB’100

million)

31 Mar 2014 YTD

Balance Composi-

tion

Balance

Change

Balance

Change %

Composi-

tion

Change

Corporate

Deposits 11,454 82.84% 1,401 13.9% +0.24%

Retail

Deposits 2,372 17.16% 255 12.1% -0.24%

Total

Deposits 13,826 100% 1,656 13.6% -

In 1Q2014, total deposits continued to grow rapidly on the basis of

last year’s sharp growth . The total deposits increased by RMB

165.6 bn YTD, which accounting for 85% of the incremental in Year

2013 and nearing the full-year incremental in Year 2012. The

growth rate ranked in the top among peers.

The daily average deposit balances in 1Q2014 is 1,299.4 bn, which

increased 157.6 bn over Year 2013.

Rapid Growth in Deposits

Major branches whose performance was outstanding have played an exemplary role and our market share in main cities increased significantly.

The growth in deposits was driven by the accelerated development of BUs as well as innovation in investment banking, trade finance, offshore operation and featured corporate products, etc.

Rising contribution from integrated finance: introduction of various synergetic mechanisms and gradually improving top-level mechanisms; increasingly sound staffing, structures and systems.

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2. Improvement in Profitability and Optimized Structure

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2012* 2013 Jan-Mar 2013 Jan-Mar 2014

Operating Income 18.7% 31.3% 11.1% 49.1%

Operating Profit Before Provisions 20.8% 29.9% 11.9% 52.3%

Provisions 27.9% 120.1% 52.5% 97.6%

Net Profit 16.6% 12.7% 2.7% 40.8%

Average ROA

(cumulative, annualized)

Weighted Average ROE

(cumulative, annualized)

0.84%

0.88% 0.90%

0.87%

1.01%

0.75%

0.85%

0.95%

1.05%

1Q2013 2Q2013 3Q2013 4Q2013 1Q2014

15.61%

16.40%

16.93% 16.57% 16.54%

15.00%

16.00%

17.00%

18.00%

1Q2013 2Q2013 3Q2013 4Q2013 1Q2014

YoY income and profit growth hit record highs

*Note: Former SDB and PAB merged in 2012 and the growth for 2012 was calculated based on the simple addition of the growth of the two banks in 2011.

Note: At the end of 2013, we completed a capital injection of RMB 14.8 bn, and

thus 1Q2014 ROE was diluted.

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• Non-Interest Income amounted to RMB 4.55 bn in 1Q2014, representing an increase of RMB 2.46 bn or 117%;

• The percentage of Non-Interest Income over the Bank’s total income hit a record high of 28.3% in 1Q2014. With reference to comparable data in 2013, the proportion of Non-Interest Income over total income for the Bank stood at an industry-leading level.

Growth in Non-Interest Income

Business

• Aside from the investment banking business which continued to grow at high speed, a number of our growth points shifted into full swing, the non-interest income such as bills and gold in interbank operation as well as international/offshore settlement and cash management in corporate business, achieved significant growth.

Optimization of Business Mix

(In RMB’100 million) Jan-Mar 2014 YoY

Change Change %

Investment Banking 4.6 2.9 171%

Custody 2.1 0.5 33%

Bill Price Earnings 9.3 7.4 395%

Settlement 4.1 1.7 70%

Net Bank Card Income 9.4 2.0 26%

Others 16.0 10.1 171%

Total 45.5 24.6 117%

Non-Interest Income Structure

2. Improvement in Profitability and Optimized Structure

3. Upgrade in Micro Finance

•Number of cards issued: A total of 540,000 Dai Dai Ping An cards were issued by the end of 1Q, of which 190,000 cards were newly issued during the first quarter, representing a growth of 54%;

•Deposits and loans: The balance of outstanding loans was RMB 18.2 bn, i.e. an increase of RMB 12.2 bn YTD; deposits amounted to RMB 8.9 bn, up by RMB 3.5 bn YTD;

•Yield: The annualized interest rate was 15.51%, higher than the Bank’s average interest rate for new loans by 615 bp;

•Assets quality: maintain sound quality.

Rapid Extending in Dai Dai Ping An Product

•Developing the market: In terms of marketing channel, the Bank intensified marketing management to promote the development of whole small enterprise business industry chain and conduct massive customer acquisition centering on the wholesale market; In terms of product innovation, issued Dai Dai Ping An Buddhist Cards, Dai Dai Ping An Mazu Cards and other featured cards; In terms of customer service, we improved our small enterprise customer service system and introduced preferential settlement rates as well as the “Fraud Risk” insurance service; In terms of integrated finance, we initially established the “Wanlitong” customer contribution enhancement program, cooperated with brother companies such as Ping An P&C, Ping An Annuity and Ping An Health, and design product packages such as small enterprise business + personal accident of business owner + health insurance and service.

•Reinforcing back office: Systems construction and process optimization have been constantly driven to achieve the separation of duties among credit jobs and to set up credit auditor posts. Currently, our credit facility processing capability is getting stronger and the back office capacity to issue cards at great quantities is built.

•Controlling risks: We formulated rules governing review and approval and promoted the standardization; internal and external information were shared, hence enhancing our risk control capability and processing efficiency.

Building a Small Enterprise Service Platform

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4. Innovation in Assets Operations and Returns

• Assets securitization business: conducted New One Loan, credit card and auto loans credit assets

securitization innovation projects.

• Credit assets transfer platform: innovatively commenced several projects on credit assets transfer

platform, becoming the first batch of banks to conduct such kind of business in the market.

• Innovative financing portfolio model: innovatively launched the non-public offering financing

business and cooperated with local governments to support the rural economy and introduce

agricultural funds.

Accelerated Innovation in Assets Operations

• Provided that risks are kept in control, we continued to adhere to loan pricing management and quota

bidding with the yield of risk assets serving as a new important indicator for reference;

• The Bank’s average yield for loans (excluding discounted bills) was 7.57% in 1Q, up by 71 bp from the

average loan yield through 2013. In 1Q2014, Deposit-Loan Spread was 5.11% while NIS and NIM were

2.23% and 2.42% respectively, significantly higher than that in the same period last year.

Continuously Rising Lending Rates

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5. Implementation in Operational Reforms

• The management structure, workforce and appraisal system of our Retail BU are basically in place, creating a favorable environment in accelerating the development and increasing the proportion of retail business.

Steady Implementation

of Retail Reforms

• Responsibility and benefit sharing: Under the double counting appraisal model, the professional management strengths of BUs and the local advantage of branches are brought into play to promote business developments.

• Joint operations: The integration of operations and a win-win situation has taken shape.

Double Counting at Industry BU

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6. Development in Foundation

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• Successful issuance: Following the private placement in the end of 2013, the Bank successfully issued tier two write-down capital bonds amounting to RMB 15 bn in the interbank market in March and April 2014.

• Enhanced strength: The bond issuance has solidified our capital strength, providing a guarantee for better and faster development of our business.

Issue of Tier Two Capital

Bonds

• New branches: Suzhou Branch and Linyi Branch were officially opened in March and April respectively with deposits breaking RMB 11.8 bn and RMB 12.8 bn on the first day of business, repeatedly hitting the Bank’s new records for tier two branches and further enhancing our brand image and market presence.

• New sub-branches and community banks: In 1Q2014, the Bank set up three sub-branches and started 33 community banks.

Acceleration of Network Expansion

III. Looking Ahead

Looking Ahead

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Adjust focus to speed up the development of retail business

Enhance the efficiency of Dai Dai Ping An Product

Accelerate innovations and bring the integrated finance group into full play

Increase efforts to deal with the non-performing assets

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