Financial Performance - For the nine months ended September 30, 2022, the total revenue was HKD 1,105,165,000, a decrease of 53% compared to HKD 2,358,486,000 for the same period in 2021[2] - The company reported a loss attributable to shareholders of HKD 2,497,946,000 for the nine months ended September 30, 2022, compared to a profit of HKD 1,150,275,000 in the same period of 2021[3] - The basic loss per share for the nine months ended September 30, 2022, was HKD (38.38), compared to earnings of HKD 17.76 per share in the same period of 2021[3] - The company reported a significant drop in financial assets held for trading, decreasing from HKD 3,265,941 thousand to HKD 1,524,216 thousand, a reduction of about 53%[5] - The company reported a net loss of HKD 2,497,946 thousand for the nine months, compared to a profit of HKD 1,150,275 thousand in 2021, indicating a significant loss swing[9] - The total expenses for the nine months were HKD 3,193,341 thousand, compared to HKD 2,346,464 thousand in the previous year, an increase of about 36.2%[9] Assets and Liabilities - The total assets as of September 30, 2022, were HKD 102,984,487,000, a decrease of 2% from HKD 104,991,595,000 as of December 31, 2021[2] - Total liabilities reached HKD 78,137,515 thousand, compared to HKD 77,465,150 thousand, showing a slight increase of about 0.9%[5] - The equity attributable to shareholders decreased by 10% to HKD 24,846,972,000 as of September 30, 2022, from HKD 27,526,445,000 as of December 31, 2021[2] - The company’s net current assets decreased to HKD 17,950,295 thousand from HKD 29,601,276 thousand, a significant decline of approximately 39.6%[5] - The company’s total investments in consolidated investment funds amounted to HKD 72.92 billion, an increase from HKD 59.05 billion as of December 31, 2021[25] Revenue Streams - The company experienced a significant decline in commission and fee income, which was HKD 330,533,000 for the three months ended September 30, 2022, down from HKD 700,851,000 in the same period of 2021[3] - Wealth Management segment revenue for the nine months was HKD 720,141 thousand, down from HKD 1,184,259 thousand in the previous year, reflecting a decrease of about 39.1%[9] - The Investment segment reported a loss of HKD 1,848,401 thousand for the nine months, compared to a profit of HKD 1,066,579 thousand in 2021, indicating a significant downturn[9] - The company’s total other income and gains for the nine months was HKD 184,430 thousand, compared to HKD 4,961,503 thousand in 2021, a decline of about 96.3%[9] Financial Costs and Impairments - The company reported a financial cost of HKD (352,404,000) for the three months ended September 30, 2022, compared to HKD (250,808,000) in the same period of 2021[3] - The company recorded a net impairment charge of HKD 50,199,000 for the three months ended September 30, 2022, compared to HKD 46,623,000 for the same period in 2021[16] - The company recorded an impairment provision of HKD 1.34 billion for margin loans due to a decrease in the market value of collateral securities[30] Shareholder Information - The number of issued shares increased by 10% to 6,641,563,594 shares as of September 30, 2022, from 6,037,785,086 shares as of December 31, 2021[2] - The company issued 603,778,508 bonus shares on June 23, 2022, based on a ratio of one bonus share for every ten existing shares held[22] - The company did not declare an interim dividend for the six months ended June 30, 2022, and has a policy of considering dividends at mid-year and year-end only[22] Future Outlook - The company plans to focus on market expansion and new product development to improve future performance[9] - The company’s risk management department closely monitors credit risk associated with margin financing, ensuring strict control over financing balances[29]

Financial Performance - Total revenue for the six months ended June 30, 2022, was HKD 1,001,110,000, a decrease of 39.5% compared to HKD 1,655,987,000 for the same period in 2021[7] - The company reported a net loss attributable to shareholders of HKD 1,681,222,000, compared to a profit of HKD 1,080,525,000 in the previous year, marking a significant decline[7] - Total revenue for the first half of 2022 was HKD 90.1 million, a significant decline of 98% compared to HKD 3.74 billion in the same period of 2021[18] - Commission and fee income fell by 53% to HKD 774.6 million, while interest income decreased by 37% to HKD 627.3 million[18] - The group reported a net trading and investment loss of HKD 1.28 billion, contrasting with a net income of HKD 1.19 billion in the first half of 2021[18] - The group reported a loss before tax of HKD 1,681,222,000 for the period, indicating a challenging financial environment[110] - The company reported a loss attributable to shareholders of HKD 1,681,222,000 for the six months ended June 30, 2022, compared to a profit of HKD 1,080,525,000 in the same period of 2021[121] - Basic loss per share was HKD 25.82, compared to earnings per share of HKD 16.71 in the previous year[92] Revenue Breakdown - The company achieved a total commission and fee income of HKD 243,000,000, a decrease of 3% year-on-year[12] - The wealth management division achieved revenue of HKD 452 million in the first half of 2022, a year-on-year decline of approximately 46% due to decreased trading volume in the Hong Kong stock market and the previous year's higher income from retail and wealth management services[13] - The corporate finance segment's revenue fell by 64% to HKD 287,342, with a pre-tax profit of HKD 55,947, down 87%[42] - The asset management segment's revenue decreased by 48% to HKD 141,254, with a pre-tax profit of HKD 79,376, also down 48%[42] - The global markets segment generated revenue of HKD 586,452, a 29% decrease, but achieved a pre-tax profit of HKD 143,895, down 8%[42] - The investment segment reported a significant loss of HKD 1,998,036, compared to a profit of HKD 375,534 in the same period last year[42] Cost Management - The company’s total cost for the first half of 2022 was HKD 1,506,000,000, a decrease of 32% year-on-year, indicating effective cost management[9] - Total costs decreased by 32% to HKD 1.506 billion, with effective cost control measures contributing to savings across most expense categories[19] - Employee costs decreased by 39% to HKD 546 million, with the number of employees reduced from 1,225 to 1,118[36] - Financial costs amounted to HKD 471 million, a decrease of 24% year-on-year, despite an increase in interest rates during the first half of 2022[19] Asset and Liability Management - Total assets as of June 30, 2022, were HKD 102,279,270,000, down from HKD 104,991,595,000 at the end of 2021[8] - Total liabilities decreased by 1% to HKD 76.6 billion as of June 30, 2022, with reductions in trading financial liabilities[22] - Financing liabilities increased by 9% to HKD 51.2 billion, providing funding support for new investments[22] - Total assets decreased by HKD 2.7 billion or 3% from HKD 105 billion on December 31, 2021, to HKD 102.3 billion on June 30, 2022[60] - Total liabilities decreased by HKD 840 million or 1% from HKD 77.5 billion on December 31, 2021, to HKD 76.6 billion on June 30, 2022[60] Market Conditions and Outlook - The company anticipates continued economic slowdown and high inflation risks in the second half of 2022, with a focus on risk management and asset structure optimization[16] - The Hong Kong stock market index fell by 6.6% year-to-date, with market trading volume decreasing by 27.1%[17] - The group plans to maintain its strategy of reducing leverage and managing risks while exploring sustainable development in core investment banking, asset management, and wealth management businesses[16] Investment and Financing Activities - The company completed 11 equity financing projects in the first half of 2022, ranking third among all investment banks in Hong Kong by project count[10] - The bond issuance team completed 97 bond issuance projects, ranking fourth globally among financial institutions[11] - The company completed 14 green and sustainable bond underwriting projects, with a financing scale of USD 6 billion[11] - The group maintained a strong financial position with a diversified funding strategy, including a successful issuance of USD 5 billion in medium-term notes in the first half of 2022[83] Risk Management and Compliance - The group actively monitors regulatory capital requirements across various jurisdictions to ensure compliance and maintain capital above required levels[81] - The group faced various financial risks, including interest rate risk, currency risk, credit risk, liquidity risk, and price risk, with no significant changes in risk management policies during the period[186] - The company emphasized the importance of independent pricing and verification for fair value measurements[191] Shareholder Information - The company did not declare an interim dividend for the six months ended June 30, 2022[124] - The company issued 603,778,508 bonus shares on June 23, 2022, affecting the calculation of basic and diluted loss per share for the six-month period[123] - The company’s share capital will increase by issuing an additional 43,817,278 shares if all unexercised stock options are exercised[173]

Financial Performance - Total revenue for 2021 was HKD 5,252,184,000, a decrease of 37.5% from HKD 8,329,747,000 in 2020[8]. - Commission and fee income increased to HKD 3,257,464,000 from HKD 2,864,575,000, representing a growth of 13.7%[8]. - Interest income decreased to HKD 1,741,000,000 from HKD 2,464,585,000, a decline of 29.3%[8]. - Net trading and investment income dropped significantly to HKD 253,720,000 from HKD 3,000,587,000, a decrease of 91.6%[8]. - Shareholders' profit attributable to the company was HKD 300,826,000, down 84.5% from HKD 1,932,877,000 in 2020[8]. - Haitong International achieved a total revenue of HKD 5.252 billion in 2021, with a net profit of HKD 301 million, marking a significant decline of approximately 84% in annual profit attributable to shareholders compared to the previous year[37]. - The total cost decreased by 28% to HKD 3.76 billion, reflecting effective cost control measures implemented by the company[90]. - The total cost-to-income ratio increased to 72% from 62% in the previous year, indicating a rise in operational costs relative to income[89]. Asset Management and Investment - The asset management scale of Haitong International reached approximately HKD 54 billion by the end of 2021, with both management fees and performance fees increasing[43]. - Haitong International's asset management team is exploring opportunities for ESG product issuance and management in the European and American markets[43]. - The asset management division's commission and fee income was HKD 384,380 thousand in 2021, a 4% increase from HKD 370,651 thousand in 2020[132]. - The total assets under management in the asset management division were HKD 54 billion as of December 2021, down from HKD 60.8 billion in December 2020[132]. - The investment division focused on improving the quality of its investment portfolio and exited several investment funds during the year[137]. Market Position and Achievements - The company ranked second in Hong Kong's equity financing project underwriting by issuance volume and completed 10 equity financing projects in the US and India, enhancing its project execution capability and brand influence[32]. - Haitong International's research team achieved first place in 15 categories during the 2021 Asia Money broker rankings, reflecting its strong performance in the industry[32]. - The company ranked second globally in the issuance of G3 high-yield corporate bonds, excluding Japan, based on the number of issuances[39]. - The company completed 39 IPO projects in the Hong Kong market in 2021, ranking second among all investment banks by issuance volume[40]. - The company was involved in six of the top ten IPOs in the Hong Kong market by capital size, including notable projects like JD Logistics and SenseTime[40]. Risk Management and Financial Stability - The company emphasized a diversified income source and risk management strategy, maintaining its industry-leading position amid market uncertainties[32]. - The company maintained a "prudent and conservative" risk appetite, with key risk, capital, and liquidity indicators at their best levels in recent years[46]. - In 2021, Haitong International proactively reduced its asset-liability scale and adjusted its risk asset structure to ensure stable business operations amid a challenging global economic environment[46]. - The company aims to enhance its risk management framework, maintaining key risk indicators at optimal levels to improve overall risk resilience[59]. Corporate Governance - The board is committed to high standards of corporate governance and has complied with the corporate governance code throughout the fiscal year[176]. - The company has established governance policies and procedures, including compliance with legal and regulatory requirements[194]. - The board consists of 12 members, including 5 executive directors and 4 independent non-executive directors, ensuring a diverse composition[182]. - The company has a procedure for directors to seek independent professional advice, with costs covered by the company[187]. - The company encourages directors to participate in continuous professional development, with training records maintained for each director[192]. Sustainability and ESG Initiatives - Haitong International aims to achieve its carbon neutrality goal by 2025, demonstrating its commitment to sustainable finance[47]. - The company achieved an MSCI ESG rating upgrade to A and was included in the FTSE4Good Index, reflecting its outstanding performance in ESG practices[46]. - The company is focusing on ESG investments as a new benchmark in the asset management industry, aligning with global trends and regulatory requirements[75]. - The company launched the world's first ESG-themed Asian high-yield dollar bond ETF in Europe, which quickly gained popularity among overseas investors, leading to rapid growth in asset scale[32]. Future Outlook - The global economic outlook for 2022 is highly uncertain, with potential inflation and supply chain disruptions posing risks to financial market stability[33]. - The outlook for 2022 indicates a challenging global environment with potential capital outflows from emerging markets due to tightening monetary policies[47]. - The company plans to explore new business models and diversify fee income in response to the anticipated negative impact on the primary market in 2022 due to global uncertainties[74]. - Haitong International plans to enhance its flagship asset management products and strengthen its leadership in ESG investments while seeking opportunities in Southeast Asia and overseas markets in 2022[78].

Financial Performance - Total revenue for the three months ended March 31, 2022, was HKD 380,647,000, a decrease of 58% compared to HKD 910,581,000 for the same period in 2021[2] - Net trading and investment income for the same period was HKD 392,433,000, down from HKD 583,293,000, reflecting a significant decline[2] - The company reported a loss attributable to shareholders of HKD 640,280,000 for the three months ended March 31, 2022, compared to a profit of HKD 557,595,000 in the prior year[3] - Basic loss per share was HKD (10.81) for the current period, compared to earnings of HKD 9.51 per share in the same quarter of the previous year[3] - The company recorded a net loss before tax of HKD 766,802,000 for the three months ended March 31, 2022, compared to a profit of HKD 663,645,000 in the same period last year[3] - The total expenses for the three months ended March 31, 2022, were HKD 1,867,931,000, an increase from HKD 1,160,119,000 in 2021[11] - The net loss of investment securities measured at fair value amounted to HKD 874,778,000, compared to a net gain of HKD 45,568,000 for the three months ended March 31, 2021[15] - The net loss from financial assets held for trading and market-making activities was HKD 82,572,000, down from a net gain of HKD 201,442,000 for the same period in 2021[15] Assets and Liabilities - Total assets as of March 31, 2022, were HKD 103,489,558,000, a decrease of 1% from HKD 104,991,595,000 as of December 31, 2021[2] - Total liabilities as of March 31, 2022, were HKD 76,574,260, compared to HKD 77,465,150 as of December 31, 2021, indicating a decrease of about 1.15%[5] - Shareholders' equity decreased to HKD 26,915,298,000, down 2% from HKD 27,526,445,000 at the end of 2021[2] - The net asset value per share as of March 31, 2022, was HKD 4.46, down from HKD 4.56 at the end of 2021[2] - The total current assets were HKD 19.95 billion as of March 31, 2022, compared to HKD 20.39 billion as of December 31, 2021, reflecting a decrease of approximately 2.2%[23] - The total non-current investments decreased slightly from HKD 28.09 billion as of December 31, 2021, to HKD 27.85 billion as of March 31, 2022, a decline of about 0.9%[23] Revenue Sources - Commission and fee income for the same period was HKD 150,903,000, down 42% from HKD 261,158,000 in 2021[13] - Interest income from margin financing was HKD 182,915,000, a decline of 24% from HKD 241,780,000 in the previous year[13] - The wealth management segment reported revenue of HKD 45,090,000 for the three months ended March 31, 2022, compared to HKD 176,549,000 in 2021[11] - The global markets segment's revenue for the same period was HKD 150,399,000, down from HKD 136,139,000 in 2021[11] - The company has no single customer contributing more than 10% of total revenue, indicating a diversified revenue base[9] Customer Financing and Investments - The company reported a significant increase in customer financing to HKD 13,015,122, up from HKD 12,087,797, which is an increase of approximately 7.7%[5] - The company's margin financing provided to clients amounted to HKD 96.38 billion as of March 31, 2022, up from HKD 91.60 billion on December 31, 2021, indicating an increase of about 8.5%[30] - The total amount of regular financing provided was HKD 3.38 billion as of March 31, 2022, compared to HKD 2.93 billion as of December 31, 2021, marking an increase of approximately 15.4%[32] - The total current portion of margin financing was HKD 12.57 billion as of March 31, 2022, compared to HKD 11.46 billion as of December 31, 2021, showing an increase of about 9.7%[29] - The total non-current portion of margin financing was HKD 13.02 billion as of March 31, 2022, up from HKD 12.09 billion as of December 31, 2021, representing an increase of approximately 7.6%[29] Impairment and Provisions - The impairment provision for margin financing increased to HKD 104,503,000 from HKD 52,044,000 year-on-year[16] - The company reported a provision for impairment of HKD 67 million related to certain margin clients due to a decline in the market value of pledged listed stocks[31] Strategic Initiatives - The company plans to enhance its market expansion strategies and product development in response to the current financial performance[10] - The company decided not to declare an interim dividend for the year ended December 31, 2021, and proposed a stock dividend subject to shareholder approval[21] Governance and Risk Management - The board of directors includes a mix of executive and independent non-executive members, ensuring diverse oversight[34] - The risk management department regularly reviews the status of term financing and the financial condition of borrowers to minimize credit risk[33]