The report card of the brokerage’s “No. 1 Brother” is here! Self-operated business soared by more than 50%
Operating income was 26.744 billion yuan, a year-on-year increase of 22.73%; net profit was 8.926 billion yuan, a year-on-year increase of 38.48%. This is the report card for the first half of the year just handed over by CITIC Securities, the "big brother" of the securities firm. From the perspective of main business, CITIC Securities' self-operated business performed well in the first half of the year, with a year-on-year increase of more than 50%, as it seized on consumer, pharmaceutical, technology and other trends.
CITIC Securities made a net profit of 8.926 billion yuan in the first half of the year
In the first half of the year, affected by the new coronavirus epidemic and other factors, the global financial market fluctuated violently. Except for Nasdaq, which rose by 10.05%, Other stock indexes experienced declines of varying magnitudes, ranging from 4% to 20%. On the other hand, trading in the A-share market continued to be active, with the average daily turnover of the two cities reaching 757.972 billion yuan, and the total turnover totaling 88.68 trillion yuan, a year-on-year increase of 27.95%.
On the evening of August 24, CITIC Securities announced its results for the first half of this year. From the data, in the first half of this year, CITIC Securities achieved operating income of 26.744 billion yuan, a year-on-year increase of 22.73%; net profit reached 8.926 billion yuan, a year-on-year increase of 38.48%.
It is worth noting that the pattern of strong players in the securities industry remaining strong is still relatively obvious.
According to the operating performance of securities companies in the first half of 2020 recently announced by the Securities Association of China, under the rebound of the securities market and the increase in both volume and price, the securities industry achieved operating income of 213.404 billion yuan in the first half of this year. The year-on-year increase was 19.26%; the net profit was 83.147 billion yuan, a year-on-year increase of 24.73%. In other words, in the first half of this year, the revenue of CITIC Securities alone accounted for 12.5% ??of the total revenue of the securities industry.
Seize the trend of medicine and technology
CITIC Securities’ self-operated business increased by more than 50% year-on-year in the first half of the year
Behind the double increase in revenue and net profit is the company’s brokerage , investment banking, asset management, self-operation and other major business lines are fully blooming. In the first half of this year, CITIC Securities’ brokerage business achieved revenue of 6.574 billion yuan, a year-on-year increase of 28.57%; the asset management business achieved revenue of 4.080 billion yuan, a year-on-year increase of 27.46%; the securities underwriting business achieved revenue of 2.126 billion yuan, a year-on-year increase of 38.76%; < /p>
It is worth noting that among the main businesses, self-operated business still contributes the most to the company as it has seized on investment opportunities such as medicine.
In the first half of this year, CITIC Securities’ securities investment business achieved revenue of 8.921 billion yuan, a year-on-year increase of 50.83%. It is the largest revenue amount and year-on-year increase among several major business lines.
CITIC Securities stated in the first half of the year that in the first half of the year, the company’s stock proprietary business strengthened special investment research in key industries such as consumption, medicine, and technology, focusing on high-quality growth companies, supplemented by strict systemic risk control measures and overall maintained solid performance. At the same time, we will deepen the exploration and practice of quantitative analysis and multiple strategies. Progress has also been made in the development and practice of related strategies in stock index derivatives, helping investment portfolios to effectively control market risks and reduce performance dependence on changes in a single direction of the market.
"Bailout funds" suffered a floating loss of 3% in the first half of the year
The investment income of the bailout funds in the first half of the year also surfaced. According to the content disclosed by CITIC Securities, as of June 30, 2020, the fair value of the company's investment in the Securities Financial Services Company's special account was 15.599 billion yuan, a decrease of 3% from 16.074 billion yuan on December 31, 2019. In other words, the rescue funds still lost 3% in the first half of the year.
The securities and finance company’s special investment account was established when the “stock market crash” occurred in July 2015. The securities firm *** contributed capital to the securities and finance company in two batches for investment. The second round of funds injected has been recovered before the 2017 semi-annual report, and currently only the first batch of bailout funds is still in operation.
Since each securities firm injects capital on a proportional basis, and the securities and finance company conducts unified operations and investment management, the investment income level of each special account is basically the same.
Revenue and net profit increased by more than 20% year-on-year
China Asset Management made a net profit of 748 million yuan in the first half of the year
With the disclosure of CITIC Securities’ semi-annual report, its The operating results of subsidiary China Asset Management in the first half of the year also surfaced.
In the first half of this year, China Asset Management achieved revenue of 2.383 billion yuan, a year-on-year increase of 24.63%, and net profit of 748 million yuan, a year-on-year increase of 25.93%.
As of the end of the reporting period, the assets under management of China Asset Management Headquarters were 1.248079 billion yuan. Among them, the management scale of public funds is 686.8 billion yuan; the scale of institutional and international business assets management is 561.279 billion yuan.