年度報告 2023 2023 年度報告 （於開曼群島註冊成立的有限公司） 股份代號：1911 香港九龍柯士甸道西1號 環球貿易廣場8 1樓8107-08室 +852 2287 1600 info@chinarenaissance.com 環境、社會及管治報告 75 其他資料 124 目錄 | --- | --- | --- | |------------------|-------|--------------------------| | | | | | 公司簡介 | 2 | 獨立核數師報告 | | 公司資料 | 4 | 綜合損益及其他全面收益表 | | 業務回顧 | 6 | 綜合財務狀況表 | | 財務資料概要 | 8 | 綜合權益變動表 | | 管理層討論與分析 | 11 | 綜合現金流量表 | | 董事會報告 | 30 | 綜合財務報表附註 | | 董事及高級管理層 | 51 | 釋義 | | 企業管治報告 | 58 | | | --- | |---------| | | | 137 142 | | 144 | | | | 146 | | 148 | | 151 | | 280 | 2 公司簡介 | ...

Financial Performance - Total revenue for the first half of 2023 was RMB 584.4 million, a 14% increase compared to RMB 512.3 million in the same period of 2022[19]. - The company reported a total operating expense of RMB 552.0 million, down from RMB 585.6 million year-on-year[19]. - Operating profit for the first half of 2023 was RMB 32.4 million, a significant recovery from an operating loss of RMB 73.3 million in the same period of 2022[19]. - The net loss attributable to the company's owners for the first half of 2023 was RMB 180.1 million, compared to a loss of RMB 153.7 million in the same period of 2022[19]. - The total income and net investment income for the first half of 2023 was RMB 584.41 million, a 14.1% increase from RMB 512.29 million in the same period last year[27]. - The group reported a net loss of RMB 163,173,000 for the six months ended June 30, 2023, compared to a net loss of RMB 198,038,000 for the same period in 2022, indicating an improvement in performance[115]. - The company reported a pre-tax loss of RMB 112,193,000 for the period, with income tax expenses amounting to RMB 50,980,000[115]. - The company reported a basic and diluted loss per share of RMB 10 (0.36) for the six months ended June 30, 2023, compared to RMB 0.30 for the same period in 2022[116]. Revenue Breakdown - Investment banking revenue amounted to RMB 231,250,000, while investment management revenue was RMB 290,086,000 for the same period[131]. - Total revenue for the six months ended June 30, 2023, was RMB 536,575,000, with a breakdown of RMB 112,505,000 from investment banking, RMB 336,452,000 from investment management, RMB 47,346,000 from Huaxing Securities, and RMB 40,272,000 from other segments[129]. - Investment management contributed 52% to the total revenue, with assets under management reaching RMB 40.1 billion, and management fees remained stable despite market challenges[24]. - Revenue from private equity financing in the first half of 2023 was 49% from new energy, new materials, and advanced manufacturing sectors, up from 3% year-on-year[24]. Operating Expenses - Total operating expenses decreased by 5.7% from RMB 585.6 million for the six months ended June 30, 2022, to RMB 552.0 million for the six months ended June 30, 2023[54]. - Compensation and benefits expenses decreased by 15.6% from RMB 379.5 million to RMB 320.4 million during the same period, with share-based payment expenses dropping by 41.8% from RMB 70.9 million to RMB 41.3 million[54]. - Operating expenses for the investment banking segment decreased by 40.1% to RMB 140.4 million for the six months ended June 30, 2023, down from RMB 234.3 million for the same period in 2022, mainly due to a reduction in compensation and benefits expenses[32]. Investment Performance - The cumulative unrealized carried interest income as of June 30, 2023, was RMB 3.2 billion, while the cumulative unrealized net carried interest was RMB 900 million[21]. - The company achieved a significant turnaround in investment income, moving from a loss to profitability compared to the previous year[25]. - Realized carried interest income for the investment management segment was RMB 94.2 million for the six months ended June 30, 2023, a substantial increase of 187.7% from RMB 32.8 million for the same period in 2022[34]. - The internal rate of return for self-managed private equity funds and third-party private equity funds as of June 30, 2023, was 22.6% and 21.4%, respectively[35]. Employee and Operational Metrics - The company had 639 employees at the end of the reporting period, a decrease of approximately 15% compared to the end of 2022[23]. - Total employee compensation expenses, including share-based payment expenses, for the six months ended June 30, 2023, were RMB 320.4 million, a decrease of 15.6% compared to the same period in 2022[77]. - The company had no significant acquisitions or disposals of subsidiaries and associates during the six months ended June 30, 2023[74]. Cash Flow and Liquidity - Cash and cash equivalents totaled RMB 1,083.2 million as of June 30, 2023, with RMB 996.2 million excluding Huaxing Securities[65]. - The net cash generated from operating activities was RMB 887.3 million, adjusted from a pre-tax loss of RMB 112.2 million[66]. - The net cash generated from investing activities for the six months ended June 30, 2023, was RMB 743.3 million, mainly from the maturity of time deposits amounting to RMB 471.6 million[68]. - The company reported a significant increase in accounts payable to East Image Limited, rising to RMB 4,032 million from RMB 3,909 million year-over-year[197]. Shareholder Information - The total number of issued shares as of June 30, 2023, was 568,397,776, with Mr. Bao holding 40.53% of the shares[82]. - The company has a significant concentration of ownership, with the top five shareholders holding over 70% of the shares[88]. - The employee stock option plan has unexercised options totaling 17,630,780 shares, representing approximately 3.10% of the total issued share capital[93]. Corporate Governance and Compliance - The company has adhered to all applicable corporate governance code provisions during the reporting period[99]. - The audit committee reviewed the unaudited interim results for the six months ended June 30, 2023, ensuring compliance with financial reporting processes and internal controls[108]. - The company appointed Zhonghui Anda CPA as the new auditor effective December 13, 2023, following the resignation of Deloitte, with no disputes reported between the company and Deloitte[112].

Financial Performance - Total revenue and net investment income for 2022 was RMB 1.6 billion, a decrease of 37% year-on-year[9] - Total revenue for 2022 was RMB 1,585,380 thousand, a decrease of 9.1% compared to RMB 1,744,483 thousand in 2021[15] - Net loss attributable to the company's owners in 2022 was RMB 429,901 thousand, compared to a profit of RMB 1,624,362 thousand in 2021[15] - Total revenue and net investment income decreased by 36.6% to RMB 1,586,889 thousand in 2022 from RMB 2,504,011 thousand in 2021[19] - Operating loss in 2022 was RMB 103,866 thousand, compared to an operating profit of RMB 862,804 thousand in 2021[20] - The company's pre-tax loss for the year ended December 31, 2022, was RMB 383.0 million, compared to a pre-tax profit of RMB 1,855.9 million in the same period in 2021[53] - The company's net loss attributable to owners for the year ended December 31, 2022, was RMB 429.9 million, compared to a net profit of RMB 1,624.4 million in 2021[54] - The company's adjusted net loss attributable to owners (excluding unrealized net carried interest) for 2022 was RMB 234.4 million, compared to an adjusted net profit of RMB 842.9 million in 2021[55] - Total revenue for 2022 was RMB 1,585.38 million, a decrease from RMB 1,744.48 million in 2021[106] - The company reported a net loss of RMB 453.98 million in 2022, compared to a net profit of RMB 1,645.39 million in 2021[106] Investment Management Business - Investment management business contributed 53% of the group's total revenue and net investment income in 2022[10] - Asset management scale reached RMB 26.9 billion at the end of the reporting period, driven by new fundraising from USD Fund IV and Huaxing New Economy RMB Fund IV[10] - Total assets under management (AUM) for the investment management business reached RMB 42.9 billion by the end of the reporting period[10] - Investment management revenue decreased by 6.9% to RMB 847,531 thousand in 2022 from RMB 910,540 thousand in 2021[19] - Investment management operating profit decreased by 67.6% to RMB 174,897 thousand in 2022 from RMB 540,201 thousand in 2021[20] - Investment management fees increased by 21.3% to RMB 495.0 million in 2022 from RMB 408.0 million in 2021[26] - Assets under management generating management fees grew to RMB 26.9 billion in 2022 from RMB 23.8 billion in 2021[28] - Internal rate of return for self-managed private equity funds was 25.3% in 2022, while third-party private equity funds achieved 23.2%[27] - Total committed capital for investment management reached RMB 36.6 billion in 2022, up from RMB 32.7 billion in 2021[28] - The total committed capital increased by 11.7% from RMB 32.7 billion in 2021 to RMB 36.6 billion in 2022, driven by the completion of the initial fundraising for the Huaxing New Economy USD Fund IV in September 2021 and the Huaxing New Economy RMB Fund IV in April 2022[32] - Management fees for the investment management segment increased by 21.3% from RMB 408.0 million in 2021 to RMB 495.0 million in 2022[32] - The net investment loss for the investment management segment was RMB 70.3 million in 2022, compared to a net investment gain of RMB 473.7 million in 2021, primarily due to market volatility affecting mark-to-market valuations[32] - The investment management segment's operating expenses increased from RMB 370.3 million in 2021 to RMB 672.6 million in 2022, mainly due to higher impairment losses under the expected credit loss model and increased carried interest provisions[33] - The investment management segment's operating profit decreased from RMB 540.2 million in 2021 to RMB 174.9 million in 2022[34] Investment Banking Business - Huaxing Securities achieved a record high investment banking income of RMB 127 million in 2022[11] - Investment banking revenue decreased by 61.6% to RMB 422,824 thousand in 2022 from RMB 1,100,656 thousand in 2021[19] - Huaxing Securities revenue decreased by 50.0% to RMB 204,820 thousand in 2022 from RMB 409,633 thousand in 2021[19] - Huaxing Securities operating loss was RMB 147,526 thousand in 2022, compared to an operating profit of RMB 78,005 thousand in 2021[20] - Investment banking revenue and net investment income decreased by 61.6% to RMB 422.8 million in 2022 compared to 2021, primarily due to a significant decline in IPO issuance scale in the Hong Kong and US markets and reduced activity in the private financing market[23] - Investment banking advisory services revenue dropped by 50.0% to RMB 268.8 million in 2022 from RMB 537.9 million in 2021[21] - Equity underwriting revenue plummeted by 94.9% to RMB 17.9 million in 2022 from RMB 348.9 million in 2021[21] - Total transaction value for investment banking services decreased by 81.5% to RMB 4.14 billion in 2022 from RMB 22.35 billion in 2021[22] - Huaxing Securities' segment revenue increased by 16.6% from RMB 151.1 million in 2021 to RMB 176.2 million in 2022, driven by higher stock underwriting income from IPOs on the STAR Market and ChiNext[36] - Huaxing Securities' net investment income decreased by 88.9% from RMB 258.5 million in 2021 to RMB 28.6 million in 2022, primarily due to reduced investment income from proprietary investments and follow-on investments in STAR Market IPOs[36] - Huaxing Securities' operating expenses increased by 6.2% from RMB 331.6 million in 2021 to RMB 352.3 million in 2022, mainly due to higher compensation and benefits and other operating expenses[37] - Huaxing Securities' operating profit turned into a loss of RMB 147.5 million in 2022, compared to a profit of RMB 78.0 million in 2021[38] Wealth Management and Alternative Assets - The wealth management business increased its alternative asset scale to RMB 3.8 billion by the end of the reporting period[11] - The Duoduo Gold app, launched in November 2022, gained over 120,000 registered users and nearly 50,000 account-opening clients[11] Carried Interest and Fund Exits - Realized carried interest in 2022 totaled RMB 402 million (net carried interest of RMB 143 million), significantly higher than the same period in 2021[10] - The group completed RMB 6.7 billion in fund project exits during the reporting period[10] - Unrealized carried interest totaled RMB 3.7 billion (net unrealized carried interest of RMB 1.1 billion) at the end of the reporting period[10] - Realized carried interest income surged by 1,296.3% to RMB 402.4 million in 2022 from RMB 28.8 million in 2021[26] - Realized carried interest income increased significantly from RMB 28.8 million in 2021 to RMB 402.4 million in 2022, generated from three main funds and five special funds[32] - The total carried interest received by the general partners of the relevant investment funds for the year ended December 31, 2022, was RMB 151,051,098[83] - The company retained at least 25% of the distributable carried interest for each of the 22 relevant investment funds[82] - The general partner of Huaxing New Economy USD Fund I received RMB 9,334,948 in carried interest for the year ended December 31, 2022[84] - The general partner of Huaxing New Economy USD Fund II received RMB 29,801,131 in carried interest for the year ended December 31, 2022[84] - The general partner of the Project Fund received RMB 111,915,019 in carried interest for the year ended December 31, 2022[84] - RMB 2,345,343 of carried interest from Huaxing New Economy USD Fund I was distributed to the company, while RMB 2,623,081 was distributed to related investment team members[84] - RMB 8,205,019 of carried interest from Huaxing New Economy USD Fund II was distributed to the company, while RMB 3,211,030 was distributed to related investment team members[86] - RMB 53,118,226 of carried interest from the Project Fund was distributed to the company, with no distribution to related investment team members[87] - The carried interest distribution framework agreement is valid from the date of the agreement until December 31, 2030[81] - The independent non-executive directors confirmed that the carried interest distribution framework agreement was entered into under normal commercial terms and is fair and reasonable[89] Debt and Financial Management - The company actively repaid syndicated loans in Q1 2023 to further reduce debt levels and financial costs[13] - The company's debt-to-asset ratio decreased to 31.6% as of December 31, 2022, compared to 35.3% in 2021[62] - The company's cash and cash equivalents totaled RMB 1,537.7 million as of December 31, 2022, with RMB 1,442.3 million excluding Huaxing Securities[56] - The company's net cash used in operating activities for 2022 was RMB 738.0 million, primarily due to a pre-tax loss of RMB 383.0 million and adjustments for non-cash and non-operating items of RMB 699.2 million[57] - The company's net cash generated from operating activities in 2021 was RMB 1,697.8 million, driven by a pre-tax profit of RMB 1,855.9 million and adjustments for non-cash and non-operating items of RMB 1,469.1 million[58] - Net cash inflow from investing activities in 2022 was RMB 327.8 million, primarily due to proceeds from investments in associates (RMB 158.1 million), disposal of financial assets at fair value through profit or loss (RMB 566.2 million), and foreign exchange forward contracts (RMB 43.8 million), partially offset by net placement of term deposits (RMB 262.5 million) and pledged bank deposits (RMB 34.2 million)[59] - Net cash outflow from financing activities in 2022 was RMB 619.1 million, mainly due to dividend payments to shareholders (RMB 201.1 million), net repayment of bank borrowings (RMB 261.2 million), and interest payments (RMB 92.8 million), partially offset by net proceeds from income certificates (RMB 76.2 million)[60] Corporate Governance and Board Changes - Key management changes include the resignation of Mr. Fan Bao as Executive Director and Chairman effective February 2, 2024, and the appointment of Mr. Yijing Xie as Chairman and Mr. Jiachang Lin as Vice Chairman[72] - Significant board changes occurred on February 2, 2024, including the resignation of Mr. Bao Fan as Executive Director, Chairman, and CEO, and the appointment of Mr. Xie Yijing as Chairman and CEO, among other key appointments[133] - Non-executive directors Mr. Li Shimuo and Mr. Liu Xing, who resigned in July 2023, are associated with Chengwei Capital and Sequoia Capital China, respectively, which may have overlapping investments with the company's funds[134] - The company has a board of directors consisting of 9 members, including 4 executive directors, 2 non-executive directors, and 3 independent non-executive directors[140] - During the reporting period, the company held 5 board meetings, approving key resolutions such as the 2021 annual report, 2022 interim report, and the adoption of a new share incentive plan[142] - The company adheres to the Corporate Governance Code and has implemented internal control measures to enhance transparency and accountability to shareholders[136] - The company has a strategic planning process to identify opportunities and challenges, and develop action plans to create sustainable long-term value for shareholders[139] - The company has strengthened its corporate culture framework through various initiatives in 2022, focusing on integrity, entrepreneurial spirit, openness, and pursuit of excellence[138] - The company has adopted the Standard Code as its securities trading code to regulate transactions by directors and relevant employees[137] - The company has a policy to avoid conflicts of interest in investment decisions, with certain directors abstaining from voting in cases of potential conflicts[135] - The company's chairman and CEO roles are currently held by the same person, with the board believing this arrangement ensures consistent leadership and efficient decision-making[141] - The Audit Committee held 3 meetings in 2022, approving key resolutions including the 2021 annual report, 2022 interim report, and 2022 annual report audit plan[150] - The Remuneration Committee held 1 meeting in 2022, approving resolutions on 2021 and 2022 executive compensation, restricted share units, and internal promotions[151] - Senior management (excluding directors and top executives) had 1 member earning over HKD 6,000,001 and 5 members earning between HKD 0-6,000,000 in 2022[152] - Bao Fan resigned as executive director on February 2, 2024, while Du Yongbo and Lin Jiachang were appointed as executive directors on the same date[144] - Li Shimuo and Liu Xing resigned as non-executive directors on July 14, 2023, while Sun Qianhong was appointed as non-executive director on February 2, 2024[144] - Independent non-executive directors confirmed their independence and had their terms extended for 3 years starting June 30, 2021[146] - The Board of Directors is responsible for overseeing the company's business, strategic decisions, and performance[148] - The company has established 5 board committees: Audit, Remuneration, Nomination, Executive, and ESG Committees[149] - Non-executive director Lin Ning has a 3-year term starting August 24, 2021, while Sun Qianhong has a 3-year term starting February 2, 2024[145] - All directors must retire and be re-elected at the AGM, with one-third required to retire each year[147] - The Nomination Committee held one meeting in 2022, focusing on the re-election of retiring directors, the independence of independent non-executive directors, and the Board Diversity Policy[153] - The Executive Committee, consisting of four executive directors and three senior management members, held three meetings in 2022 to discuss major strategies and significant matters[154] - The Environmental, Social, and Governance (ESG) Committee held two meetings in 2022, reviewing the ESG report for 2021, summarizing ESG work for 2022, and planning for 2023[155] - The company's Board Diversity Policy aims to achieve diversity in gender, age, cultural and educational background, professional qualifications, and industry experience, with a goal to maintain at least the current proportion of female directors[156] - As of December 31, 2022, the company had 754 full-time employees, with a gender ratio of 53% female to 47% male, reflecting a basic achievement of gender diversity[157] - The company's dividend policy allows dividends to be paid only from legally distributable profits and reserves, with no fixed payout ratio, and the Board has absolute discretion on dividend payments[158] - The Nomination Policy ensures a balance of skills, experience, and diversity in the Board, with the Nomination Committee evaluating candidates based on reputation, professional skills, independence, and diversity[159] - The Nomination Committee reviewed the Nomination Policy in 2022 and will continue to propose revisions as needed to ensure its effectiveness[160] - The company's Board of Directors is primarily composed of non-executive and independent non-executive directors, ensuring independence from senior management[161] - Independent non-executive directors are subject to annual reviews of their time commitment and independence, with attendance records disclosed in the 2022 annual report[161] - The company's Audit Committee and Remuneration Committee are chaired by independent non-executive directors[161] - The company paid a total of RMB 8,542,000 for audit and non-audit services in 2022, with audit services accounting for RMB 8,460,000[165] - The company appointed Zhonghui Anda CPA Limited as the new auditor effective December 13, 2023, following the resignation of Deloitte[165] - The Board of Directors is responsible for the company's risk management and internal control systems, which are deemed effective and adequate[166] - The company established an Operational Committee in 2018 to enhance control over significant risks, chaired by the CEO[167] - The company has a three-line defense risk management framework, including front-line business units, dedicated legal and compliance departments, and an independent internal audit department[167] - Risk issues identified by front-line business units are escalated through a clear reporting procedure, with significant risks reported to the Operational Committee and Executive Committee[168] - The company's risk management and internal control systems have been effective and adequate throughout the year ending December 31, 2022, with no significant changes since the IPO[169] - The company has adopted an insider information disclosure policy and an information barrier policy to ensure the confidentiality of client information[169] - Shareholders holding at least one-tenth of the company's paid-up share capital with voting rights can request a special general meeting[170][171]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告內容概不負責，對其準確性或完整性 亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部分內容而產生或因依賴該等內容而引 致的任何損失承擔任何責任。 CHINA RENAISSANCE HOLDINGS LIMITED 華興資本控股有限公司 （於開曼群島註冊成立的有限公司） （股份代號：1911） 截至2024年6月30日止六個月的 未經審計中期業績 | --- | --- | |---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------- ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性或完整 性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部分內容而產生或因倚賴該等內容而 引致的任何損失承擔任何責任。 CHINA RENAISSANCE HOLDINGS LIMITED 華興資本控股有限公司 （於開曼群島註冊成立的有限公司） （股份代號：1911） 截至2023年12月31日止年度的 年度業績公告 茲提述華興資本控股有限公司（「本公司」，連同其子公司統稱「本集團」）日期為2024年3 月28日之公告，內容有關（其中包括）延遲刊發經審計2023年年度業績。 截至2023年12月31日止年度之年度業績 本公司董事會（「董事會」）謹此宣佈本集團截至2023年12月31日止年度（「報告期」）之經審 計綜合業績。 – 1 – 綜合損益及其他全面收益表概要 | --- | --- | --- | |--------------------------|-------------------------|--------------------| | | 截至 12 月 31 \n2023 年 | 日止年度 \n2 ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告內容概不負責，對其準確性或完整性 亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部分內容而產生或因依賴該等內容而引 致的任何損失承擔任何責任。 CHINA RENAISSANCE HOLDINGS LIMITED 華興資本控股有限公司 （於開曼群島註冊成立的有限公司） （股份代號：1911） 有關截至2023年6月30日止六個月的 未經審計中期業績 的補充公告 華興資本控股有限公司（「本公司」）提述其於2023年8月31日刊發的初步業績公告（「初步 中期業績公告」），內容有關（其中包括）本集團截至2023年6月30日止六個月的未經審計 綜合業績（「2023年中期業績」）。除另有說明者外，初步中期業績公告所界定詞彙與本公 告所用者具有相同涵義。 截至初步中期業績公告刊發日期，截至2022年12月31日止年度的年度業績（「2022年年度 業績」）的審計程序尚未完成。由於在完成審計後對2022年年度業績作出了後續調整，因 此對2023年中期業績亦作出相應調整，以反映相關變更及2023年中期業績期初結餘的變更。 2023年中期業績的經重列財務資料隨附於本 ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性或完整 性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部分內容而產生或因倚賴該等內容而 引致的任何損失承擔任何責任。 CHINA RENAISSANCE HOLDINGS LIMITED 華興資本控股有限公司 （於開曼群島註冊成立的有限公司） （股份代號：1911） 截至2022年12月31日止年度的 年度業績公告 茲提述華興資本控股有限公司（「本公司」，連同其子公司統稱「本集團」）日期為2023年3 月31日之公告，內容有關（其中包括）本集團截至2022年12月31日止年度之未經審計年度 業績（「未經審計年度業績公告」）。除非文義另有所指，否則本公告所用詞彙與未經審 計年度業績公告所界定者具有相同涵義。 截至2022年12月31日止年度之年度業績 董事會謹此宣佈本集團截至2022年12月31日止年度（「報告期」）之經審計綜合業績。 – 1 – 綜合損益及其他全面收益表概要 | --- | --- | --- | |-----------------------------------|---------------- ...

Financial Performance - Total revenue for the six months ended June 30, 2023, was RMB 563,301 thousand, a decrease of 6.7% from RMB 603,705 thousand in the same period of 2022[3]. - Total operating expenses decreased to RMB (547,707) thousand, down 6.5% from RMB (585,623) thousand year-over-year[3]. - Operating profit for the period was RMB 63,425 thousand, compared to an operating loss of RMB (73,336) thousand in the prior year[3]. - The loss attributable to owners of the company for the period was RMB (150,217) thousand, slightly improved from RMB (153,735) thousand in the same period last year[4]. - The company reported a pre-tax loss of RMB (81,215) thousand, an improvement from a pre-tax loss of RMB (113,959) thousand in the previous year[3]. - The adjusted net loss attributable to owners of the company was RMB (131,314) thousand, compared to RMB (171,034) thousand in the same period of 2022[4]. - The company recorded a significant improvement in operating profit, reaching RMB 63.43 million, compared to a loss of RMB 73.34 million in the same period last year[11]. - The company reported a net loss of RMB 133,258 thousand, an improvement from a net loss of RMB 198,038 thousand in the same period last year[59]. - The group reported a total loss for the period of RMB (133,258) thousand, reflecting challenges in various segments[67]. Revenue Breakdown - Total revenue and net investment income for the first half of 2023 reached RMB 611.13 million, a year-on-year increase of 19%[10]. - Investment management business contributed 54% to total revenue, with assets under management reaching RMB 40.1 billion, and management fees remaining stable despite market challenges[7]. - The investment banking segment experienced a significant decline, with revenue dropping by 51.5% to RMB 112.77 million due to a sluggish IPO market[10]. - The company reported a 77.1% increase in investment management revenue, amounting to RMB 333.19 million, compared to RMB 188.09 million in the same period last year[10]. - Revenue from private equity financing in new energy, new materials, and advanced manufacturing accounted for 49% of total private equity income, up from 3% year-on-year[7]. - The investment banking segment generated transaction and advisory fees of RMB 112,505 thousand, while the investment management segment reported management fees of RMB 227,544 thousand[67]. Operating Expenses - The company’s share-based payment expenses were RMB 41,280 thousand, down from RMB 70,923 thousand in the same period last year[4]. - Operating expenses for the investment banking segment decreased by 40.1% to RMB 140.4 million from RMB 234.3 million year-on-year, primarily due to a reduction in compensation and benefits expenses[15]. - Investment management segment operating expenses increased by 56.2% from RMB 112.7 million for the six months ended June 30, 2022, to RMB 176.0 million for the six months ended June 30, 2023[24]. - Employee compensation expenses for the six months ended June 30, 2023, amounted to RMB 320.4 million, a decrease of 15.6% compared to the same period in 2022[48]. - The company reported a decrease in salaries and other benefits payable to RMB 342,053,000 as of June 30, 2023, from RMB 459,404,000 at the end of 2022, a decline of 25.5%[99]. Investment Management - The company anticipates continued growth in investment management and plans to strengthen client relationships in technology and advanced manufacturing sectors[9]. - The internal rate of return for self-managed private equity funds was 22.6% as of June 30, 2023, while for third-party funds it was 21.4%[19]. - The total return multiple for the main fund as of June 30, 2023, was 1.9, with realized investments amounting to RMB 5,338 million and unrealized investments at RMB 18,455 million[21]. - The company has the right to collect performance fees due to exceeding the agreed return levels for two main funds and three special funds, with realized carried interest income increasing significantly to RMB 94.2 million from RMB 32.8 million year-on-year[23]. - The company’s total investment management assets under management decreased to RMB 40,077 million from RMB 42,896 million as of December 31, 2022[20]. Debt and Assets - The company's debt level decreased significantly, with outstanding bank borrowings at RMB 78.9 million as of June 30, 2023[44]. - The company's debt-to-asset ratio improved to 17.1% as of June 30, 2023, down from 32.4% as of December 31, 2022[45]. - Total assets decreased to RMB 10,094,313 thousand as of June 30, 2023, down from RMB 13,004,633 thousand at the end of 2022, reflecting a decline of 22.3%[60]. - The total liabilities as of June 30, 2023, were RMB 804,434,000, down from RMB 1,792,757,000 as of December 31, 2022, indicating a reduction of 55.2%[99]. - The company’s cash and cash equivalents stood at RMB 1,083,185 thousand, down from RMB 1,537,730 thousand, a decrease of 29.5%[60]. Employee and Operational Structure - As of June 30, 2023, the total number of full-time employees is 639, with over 85% being consultants and investment professionals[48]. - The employee distribution by function as of June 30, 2023, includes 164 in investment banking (26%), 65 in investment management (10%), and 287 in Huaxing Securities (45%)[48]. - The employee distribution by region shows 41% in Beijing, 35% in Shanghai, and 15% in Hong Kong as of June 30, 2023[49]. Regulatory and Compliance - The company continues to face challenges in achieving a clean audit opinion from its auditors, which may impact future financial reporting[1]. - The audit committee has reviewed the unaudited interim results for the six months ended June 30, 2023[56]. - The company is unable to publish its audited annual results for the year ending December 31, 2022, due to unresolved auditor inquiries regarding disclosures made on February 16 and 26, 2023[107]. - Trading of the company's shares has been suspended since April 3, 2023, until compliance with resumption guidance is met[108]. Other Financial Metrics - The company confirmed a loss of USD 16.7 million (approximately RMB 120.7 million) from the sale of certain non-listed investment funds, with realized investment gains of USD 10.7 million (approximately RMB 77.3 million) post-sale[57]. - The company received government subsidies amounting to RMB 19,596,000 for the six months ended June 30, 2023, compared to RMB 15,753,000 in the same period of 2022[74]. - The income tax expense for the six months ended June 30, 2023, was RMB 52,043,000, a decrease from RMB 84,079,000 in the same period of 2022[76].

Financial Performance - Total revenue for the year ended December 31, 2022, was RMB 1,585,380,000, a decrease of 9.1% from RMB 1,744,483,000 in 2021[5]. - Total income and net investment income for the same period was RMB 1,586,889,000, down 36.5% from RMB 2,504,011,000 in 2021[5]. - The company reported a net loss attributable to owners of RMB (563,792,000) for the year, compared to a profit of RMB 1,624,362,000 in 2021[6]. - The pre-tax loss for the year was RMB (598,428,000), a significant decline from a profit of RMB 1,855,904,000 in the previous year[5]. - The company reported a total loss for the year of RMB 587,750,000, with a pre-tax loss of RMB 598,428,000[76]. - The company reported a net loss of RMB 587,750,000 for the year, compared to a profit of RMB 1,645,385,000 in the previous year[67]. - The company incurred operating expenses of RMB 354,860,000 across various segments, with significant costs in salaries and benefits[76]. - The company reported an operating loss of RMB 319.3 million in 2022, down from an operating profit of RMB 862.8 million in 2021[38]. Investment Management - The investment management business contributed 53% to the total revenue, with assets under management increasing to RMB 26.9 billion, primarily from new fundraising in USD and RMB funds[9]. - The company recorded a significant increase in realized carried interest income, amounting to RMB 400 million, which accounted for 47% of the investment management segment's revenue during the reporting period[9]. - The net investment loss in the investment management segment was RMB 70.3 million, compared to a gain of RMB 473.7 million in 2021[19]. - The investment management segment experienced a net loss of RMB 227,618,000, while the investment banking segment reported a loss of RMB 76,152,000[76]. - The investment management segment's unrealized equity income was reported at a negative RMB 424,313,000, highlighting the volatility in the investment landscape[1]. Investment Banking - The investment banking segment generated RMB 422.8 million in revenue, a decline of 61.6% from RMB 1.1 billion in 2021[12]. - Investment banking revenue and net investment income for the year ended December 31, 2022, was RMB 422.8 million, a decrease of 61.6% compared to RMB 1,100.7 million in 2021[16]. - Total transaction value in investment banking decreased by 81.5% to RMB 41.4 million from RMB 223.5 million in 2021[15]. - The company reported a segment operating loss of RMB 76.2 million in investment banking for the year ended December 31, 2022, compared to a profit of RMB 309.3 million in 2021[18]. Operating Expenses - Operating expenses totaled RMB (1,906,176,000), an increase of 16.2% from RMB (1,641,207,000) in 2021[5]. - Operating expenses rose by 16.1% from RMB 1,641.2 million in 2021 to RMB 1,906.2 million in 2022[37]. - Total operating expenses for the year ended December 31, 2022, amounted to RMB 354,860,000, a decrease from RMB 371,659,000 in 2021, with professional service fees decreasing from RMB 98,274,000 to RMB 77,155,000[90]. Assets and Liabilities - Total assets under management decreased to RMB 42.9 billion from RMB 48.9 billion in the previous year[21]. - Total assets decreased to RMB 13,004,633 thousand from RMB 14,164,166 thousand in 2021[68]. - Current liabilities rose to RMB 3,954,055 thousand, compared to RMB 4,457,356 thousand in the previous year[69]. - The company's equity attributable to owners decreased to RMB 6,367,598 thousand from RMB 6,826,032 thousand in 2021[69]. - The group recognized an impairment loss provision of RMB 351,223,000 for receivables as of December 31, 2022, compared to RMB 898,000 in 2021[121]. Governance and Compliance - The company has complied with all applicable corporate governance codes as per the listing rules, except for the separation of the roles of Chairman and CEO, which are held by the same individual, Mr. Bao Fan[58]. - The company has established an audit committee consisting of three independent non-executive directors, with Ms. Yao Jue as the chairperson[60]. - The company has established several other committees, including the nomination committee, remuneration committee, executive committee, and environmental, social, and governance committee[61]. Dividends and Shareholder Returns - The company did not declare a final dividend for the year ended December 31, 2022, while the total dividend paid for the previous year was RMB 201.1 million[55][56]. - The company declared a final dividend of RMB 201,114 thousand for the year ended December 31, 2022, compared to RMB 197,319 thousand in 2021[102]. Employee and Compensation - Total employee compensation expenses, including share-based payments, were RMB 827.1 million for the year ended December 31, 2022[51]. - The company employed a total of 754 full-time employees as of December 31, 2022, with 42% based in Beijing and 33% in Shanghai[53]. - The group’s payable for salaries, bonuses, and other benefits was RMB 459,404,000, down from RMB 712,435,000 in 2021, reflecting a decrease of 35.4%[126]. Debt and Financing - As of December 31, 2022, the company's bank borrowings amounted to RMB 2,115.0 million, with total credit facilities of RMB 5,073.4 million[47]. - The company's debt-to-asset ratio was 32.4% as of December 31, 2022, down from 35.3% as of December 31, 2021[48]. - The company has initiated repayment of syndicated loans in Q1 2023 to further reduce debt levels and financial costs[11].