Huatai Securities (601688) 2019 Interim Report Comment: Big self-employment is optimistic about the future investment bank’s development prospects
In the first half of the year, the company achieved operating income of 111.
07 million yuan, an increase of 35 in ten years.
18%, the net profit attributable to shareholders of the parent company is 40.
570,000 yuan, an increase of 28 in ten years.
43%, net profit after deduction is 40.
4.4 billion, the previous growth rate was 32.
68%; of which, the second quarter of 2019 realized operating income of 10,000 yuan, an increase of 23.
73%, down 22 from the previous month.
23%; net profit attributable to mothers reached 100 million yuan in the second quarter, a year-on-year growth rate of 1.
67%, down 54.
In the first half of the year, the return was basically zero.
49 yuan / share, an increase of 11 in ten years.
36%, the average return on average net assets increased by 3.
82%, an increase of 0 compared with the same period last year.
The improvement of the company’s performance was mainly due to the general improvement of the stock market in the first half of 2019, and the stock trading quotas of the Shanghai and Shenzhen stock markets increased.
Key points of investment: The market is picking up. The company’s brokerage and self-employed businesses contribute a share of the company’s application of Internet technology. The report continues to increase the exploration of emerging technologies and the mining of big data.Business model.
As of the end of the reporting period, the monthly number of activities of “Zhangle Wealth Link” was 749.
340,000, ranking first in securities company APP.
Net income from procedures and commissions for asset-light business representatives was 44.
63 ppm, an increase of 14 in ten years.
52%, of which, net income from securities business was 22.
4.3 billion, the previous growth rate was 20.
59%; net income from securities underwriting business was 6.
40,000 yuan, a decrease of 25 per year.
25%; net income from asset management business is 10,000 yuan, with an annual growth rate of 18.
^ Net income is 12.
68 ppm, a reduction of 3 per year.
21%; large self-operated business realized operating income of 34.
31 ppm, a 119-year increase.
From Q2 alone, the net fee and commission income was 23.
22 ppm, an increase of 21 in ten years.
44%, an increase of 8 from the previous month.
45%, of which, the net income from the agency business of securities trading, the net income from the securities underwriting business and the net income from the asset management business increased by 27.
92%, -11%, 12.07%, compared with Q1, the chain growth rate is -0.
Net interest income, large self-employed business achieved income 7 in Q2.
27 ppm, an increase of 25% over ten years, 81.
78%, the chain growth rate was 52.
In terms of the proportion of the structure, in the first half of 2019, the net income from agency trading of securities business, net income from securities underwriting business, net income from asset management business, net index income, and net income from large self-employed businesses were 20.
The corresponding proportion in Q2 single quarter was 23 respectively.
The large self-operated business promoted the improvement of performance, and the company’s equity investment income increased from the previous quarter. The company continued to work hard to promote the transformation of the business model into transactions, actively explored transformation strategies, and explored innovative profit models such as macro hedging transaction business.
Relying on the big data system platform, a comprehensive market monitoring system is improved, the research and tracking of the industrial chain is deepened, the market operation rules are actively explored, market change opportunities are captured, and transaction business is supported.
At the same time, it closely tracked the creation progress of the science and technology board and laid out related investment and trading businesses.
, The company’s self-operated business realized income34.
31 ppm, a 119-year increase.
65%, mainly because the market is picking up, net income from fair value changes has increased, and self-operated investment businesses have seen a significant boost.
Achieve self-employed income12.
27 ppm, an increase of 81 in ten years.
78%, down 44.
The company’s investment income from associates and joint ventures is 12.
80 ppm, an increase of 32 in ten years.
37%, of which the single quarter is 1.
13 ppm, a reduction of 70 per year.
80%, 90% lower than the previous month.
The substantial growth of the company’s self-operated business and equity investment business jointly promoted the improvement of overall performance.
Under strict risk control, the company actively adjusted its operating strategy. The net interest rate income decreased slightly, and the company’s net interest income was 12.68 ppm, a slight decrease of 3 a year.
21% of which achieved 7.
65 ppm, an increase of 25% per year and an increase of 52 from the previous month.
09%, the company actively adjusted its operating strategy, the company quickly responded to market changes and regulatory requirements, and comprehensively improved the risk management and control capabilities of the capital intermediary business.
As of the end of the reporting period, the balance of the margin financing and securities lending business of the parent company was RMB548.
390,000 yuan, the overall maintenance guarantee ratio is 316.
98%; the stock pledged repurchase business’s repurchase margin is RMB 10,000, and the average performance guarantee ratio is 267.
At the end of the reporting period, the company’s balance of financial assets purchased under resale agreements was 267.
12 trillion, a decrease of 38 from the end of the previous period.
67%, a 38% drop from the previous month.
64%, mainly due to the company’s initiative to reduce the size of the stock. The company representative said that this business will be compressed in the future, focusing on the main business of stock pledge business, such as helping customers to bridge financing and other financing;On the other hand, the scale at the end of the period was 569.
31 ppm, an increase of 23 from the end of the previous period.
26%, basically unchanged from the previous month, mainly because the company seized the possibility of market recovery and the financing scale increased.
Equity transfer business has decreased, and companies that have grown in bond underwriting business rely on the integrated platform of large investment banks and a full-service chain system, and focus on industry focus, regional layout and customer deepening.
Grasp the new trends in the development of the capital market, and with the launch of the science and technology board, actively strengthen the layout in the field of scientific and technological innovation.
According to wind statistics, the Group’s total underwriting amount for the first half of 2019 was 2034.
11 trillion, compared with 1669 in the same period last year.
30,000 yuan, an increase of 21 in ten years.
87%, of which 472 is equity underwriting.
24 ppm, a decrease of 42 per year.
Among them, the total underwriting amount in the second quarter was 1018.
3 trillion, basically the same as the division in the first quarter, of which the fair underwriting was 202.
09 million yuan, down 25.
74%; bond underwriting scale was 816.
2.1 billion, up 9 from the previous month.
As of August 29, 2019, Huatai jointly planned to underwrite the science and technology board project amount of 117.
1.3 billion, with a market share of 8.
Among the mentoring science and technology companies, Fangbang, Hongsoft, Guangfeng Technology and Huaxing Yuanchuang have all been successfully listed.
It is expected that in the future, the reserved science and technology board project will be devoted to improving the income of investment banking business.
The growth rate of the asset management business was slightly faster than expected, and the growth rate of the brokerage business was in line with the expected new capital management requirements of Huatai Asset Management Corporation. Relying on the advantages of the full business chain resources and focusing on customer needs, the financial asset acquirers and financial assets were actively usedPricing players and financial product creators have the advantages of integration, continuously improve their active management capabilities, and provide customers with comprehensive financial service solutions for the entire life cycle and the entire business chain.
According to the statistics of the Fund Industry Association as of the first quarter of 2019, the average monthly scale of private equity management of Huatai Asset Management Corporation was RMB 8,491.
06 million yuan, ranking second in the industry; the average monthly scale of private equity actively managed assets was RMB 2,334.
520,000 yuan, ranking fourth in the industry.
According to wind energy statistics, the report was merged, and Huatai Asset Management 南京桑拿网 Corporation’s corporate ABS (asset securitization) issued RMB447.
840,000 yuan, ranking second in the industry.
Net income from asset management business was 13.99 ‰, the annual growth rate is 18.
66%, mainly due to the company’s outstanding active management capabilities, the asset management business growth rate broke through, slightly exceeding expectations.
The international layout leads a new era, and it is expected to form a duopoly competition. In the year, the company achieved impressive results in the international layout. Firstly, it was successfully issued in June 2019 and became the first A + G + H Chinese-funded securities company; Huatai Securities ((USA) Co., Ltd. received underwriting advance securities in the United States; In July 2019, its subsidiary AseetMark was spun off and listed on the New York Stock Exchange.
We believe that the company can 苏州夜网论坛 grasp a better time window for each capital operation.
The company’s international strategic layout has opened up a new situation for the company’s development and integrated the territory, such as applying for the European FA license as soon as possible to serve European customers and form a continuous synergy effect.
Estimation and investment advice The company’s business develops in a balanced manner. The brokerage business is at the forefront of the industry. Wealth management transformation is constantly underway. The quality investment bank will lead the industry.
As the first A + H + G listed brokerage company, the company will make good use of two international and domestic markets, make in-depth layout of international business and lead the industry, and draw closer to the scale of capital, such as CITIC Securities and Haitong Securities.Especially after the implementation of new regulations such as the “Administrative Measures on the Equity of Securities Companies”, Huatai Securities may trigger and form a duopoly competition in the industry.
Strategically, in 2019, the company will form a two-wheel drive pattern of wealth management and institutional business, achieving comprehensive marketization in mechanism; implementing customer-driven architecture, reorganizing the organizational structure, and promoting the online and online integration process of wealth management; implementing intelligence in servicesOperations, to create a strong headquarters and Taiwan support system; to implement cross-border linkages in space; to implement digital transformation in technology to achieve technological empowerment.
We believe that the company will continue to advance international advanced management experience on the mechanism, accelerate the implementation of the professional manager system and optimize the incentive system, and help attract more management talents with an international perspective and rich practical experience to join.On the way, we will continue to move forward steadily, let the market activate the organization, and let competition hone the organizational change.
In addition, we think that from the current point of view, it is necessary to focus on the potential risks of the layout of the internationalized business of Chinese-funded securities companies. Everbright Securities, which has been exposed successively this year, and GF Securities’ overseas subsidiaries in the process of internationalization are all different.Risk events have occurred to some extent, and it is necessary to pay attention to the possibility that due to the organizational structure and risk control compliance, the company’s management area may exceed the existing capabilities, so as to summarize necessary experiences and lessons from the success of Goldman Sachs and the closed quagmire of Deutsche Bank.
From the large-scale profile, we are optimistic about the company’s strategic development prospects and look forward to fruition. It is expected that the diluted EPS for the year -2021 will be 0.
14 yuan, corresponding to PE, to maintain the “recommended” level.
Risk reminders: Sino-US trade friction risks, macroeconomic downside risks; the risk of a sharp decline in the stock market; the company’s performance does not meet the expected risks;