China Merchants Bank (CMB), the country's sixth largest lender, had a net profit of 8.26 billion yuan (US$120.9 million) in the first half of this year.

The profit represents a drop of 4.98 billion yuan, or 37.62 percent from the same period last year, according to the bank's half-year report on Saturday.

By the end of June, its non-performing loan ratio was 0.86 percent, down 0.25 percentage point from the beginning of the year.

Total assets topped 1.97 trillion yuan by the end of June this year, representing an increase of 400 billion yuan, or 25.51 percent from the beginning of the year.

On Aug. 17, CMB announced it would use part of the money raised in a share issue on the Shanghai and Hong Kong bourses to set up overseas branches. It is planning to launch a branch in London soon following the setting-up of a representative office in the city last month.

(Xinhua News Agency August 29, 2009)