Nanjing Securities (601990) H1 2024 earnings summary

Executive summary

• Revenue for H1 2024 reached ¥1.68 billion, up 29.55% year-over-year, with net profit attributable to shareholders at ¥546 million, up 19.73% year-over-year.

• Growth driven by investment income, fair value gains, and strong asset management and investment banking fee income.

• Total assets at period-end were ¥58.95 billion, up 0.76% from year-end 2023; shareholders' equity rose 1.38% to ¥17.41 billion.

• Cash flow from operating activities turned positive at ¥1.27 billion, compared to a net outflow in the prior year.

• No interim dividend or capital increase plan for the half-year.

Financial highlights

• Net profit attributable to shareholders: ¥546 million, up 19.73% year-over-year.

• Operating income: ¥1.68 billion, up 29.55% year-over-year.

• Basic and diluted EPS: ¥0.15, up 25% year-over-year.

• Gross margin for securities investment business increased by 0.69 percentage points; asset management margin fell due to project valuation declines.

• Cash flow from operations: ¥1.27 billion inflow, versus ¥1.82 billion outflow last year.

Outlook and guidance

• Management expects continued industry consolidation and focus on investment banking and wealth management.

• Regulatory environment remains strict, with emphasis on risk control and compliance.

• No specific quantitative guidance provided for H2 2024.