Research On The Influencing Factors Of The Profitability Of Listed City Commercial Banks

With the slowdown of China's economic development,the continuous promotion of interest rate marketization,the further expansion of financial market opening up,the increasing pressure of interbank competition and the rise of digital financial enterprises,the profitability of China's listed commercial banks is facing great challenges.Compared with other listed commercial banks,listed city commercial banks face greater challenges in their profitability due to their development history,development environment and other reasons.Therefore,this paper studies the influencing factors of the profitability of listed city commercial banks.The purpose is to analyze the influence degree of different influencing factors on the profitability of listed city commercial banks,so as to put forward targeted countermeasures and suggestions.This paper makes an empirical analysis of the factors influencing the profitability of listed city commercial banks from the internal and external aspects.It is assumed that the net profit margin,non-performing loan ratio,cost income ratio,capital adequacy ratio,net profit growth rate,asset scale,deposit loan ratio,service fee and commission income growth rate are the internal factors affecting the profitability of listed city commercial banks,and the growth rate of GDP is the internal factor It is an external factor that affects its profitability.In order to verify the impact of various factors on the profitability of listed city commercial banks,based on the balance panel data of 19 listed city commercial banks in 2013-2018,this paper uses the random effect model to conduct empirical analysis on the influencing factors of the profitability of listed city commercial banks.The empirical results show that: the increase of GDP growth rate can significantly improve the profitability of listed city commercial banks;capital adequacy ratio,the increase of net profit margin,net profit growth rate,service charge and commission income growth rate of listed city commercial banks can significantly improve their profitability;the decrease of cost income ratio and non-performing loan ratio of listed city commercial banks can significantly improve their profitability Its profitability.Based on the results of empirical analysis,this paper analyzes the case of Bank of Zhengzhou,points out the existing problems of Bank of Zhengzhou,and supplements the lack of the relationship between government subsidies and the profitability of listed city commercial banks.Finally,this paper discusses the countermeasures and suggestions to improve the profitability of listed city commercial banks in China from six aspects: strengthening risk management,improving operating efficiency,improving capital strength,optimizing income structure,reasonably controlling asset scale and following local policies.