Major Events - JiuTai Rural Commercial Bank (06122) plans to sell 78.51% stake in HuanShan HuiMin Village Bank for 40.4 million yuan [1] - Vanke Enterprises (02202) intends to receive a loan of up to 3 billion yuan from its major shareholder, Shenzhen Metro Group [1] - China Gas Holdings (08246) signed a memorandum of understanding with the Lao Ministry of Industry and Commerce to explore cooperation in developing fuel and natural gas supply networks in Laos [1] - Miniso Group (09896) is conducting a preliminary assessment on the potential spin-off listing of its trendy toy business operated under the "TOP TOY" brand [1] - Baiyunshan Pharmaceutical (00874) subsidiary received approval from the National Medical Products Administration for the drug registration certificate of Tadalafil tablets (2.5mg, 5mg) [1] - Huaxing Capital Holdings (01911) portfolio company Circle successfully listed on the New York Stock Exchange, marking the first IPO milestone in the global stablecoin sector [1] - China National Nuclear Corporation (01763) plans to initiate its first irradiation station cooperation project in Peru [1] Operating Performance - Yuexiu Property (00123) reported a cumulative contract sales amount of approximately 50.7 billion yuan in the first five months, an increase of about 26.5% year-on-year [1] - China Overseas Land & Investment (00688) recorded a cumulative property sales amount of approximately 90.4 billion yuan in the first five months, a decrease of 11.1% year-on-year [1] - Shimao Group (00813) reported a cumulative contract sales total of 11.2 billion yuan in the first five months, a decrease of 18.71% year-on-year [1] - Zhongliang Holdings (02772) achieved a cumulative contract sales amount of approximately 5.37 billion yuan in the first five months, a decrease of 33.38% year-on-year [1] - GAC Group (02238) experienced a year-on-year decline in May's automobile production by 8.16% and a sales drop of 24.80% [1] - Poly Property Group (00119) achieved a contract sales amount of approximately 21.8 billion yuan in the first five months, an increase of 3.81% year-on-year [1] - New天绿色能源 (00956) completed a power generation volume of approximately 7.29 million megawatt-hours in the first five months, an increase of 10.86% year-on-year [1]

Group 1 - The stock of Huaxing Capital Holdings (01911.HK) experienced a decline after initially rising over 20% [1] - The fluctuation in stock price indicates volatility in investor sentiment towards the company [1] - The initial surge may have been driven by market speculation or positive news, but the subsequent drop suggests a correction [1] Group 2 - The performance of Huaxing Capital is reflective of broader trends in the Hong Kong stock market [1] - Investor reactions to the company's announcements or market conditions can significantly impact stock performance [1] - The situation highlights the importance of monitoring market dynamics and investor behavior in the financial sector [1]

Financial Performance - In 2024, Huaxing Capital achieved over 3 billion RMB in exits, significantly enhancing the DPI of various funds and providing substantial returns to LPs[16]. - In 2024, the total revenue and net investment income of the group reached RMB 840 million, a year-on-year increase of 5.2%[21]. - Total revenue for 2024 was RMB 777,104 thousand, a decrease of 27.7% from RMB 1,006,094 thousand in 2023[29]. - The total income and net investment gains or losses for 2024 were RMB 839,641 thousand, reflecting a 5.2% increase from RMB 797,944 thousand in 2023[34]. - The company reported a significant increase in stock underwriting revenue, which surged by 224.2% to RMB 42,348 thousand in 2024[37]. - The operating loss improved to RMB 41,640 thousand in 2024, a significant reduction of 78.9% compared to RMB 197,817 thousand in 2023[29]. - The adjusted net loss attributable to the company's owners for 2024 was RMB 300,837 thousand, down 49.3% from RMB 592,446 thousand in 2023[30]. - The net investment income for the year ended December 31, 2024, was RMB 62.5 million, a significant recovery from a net loss of RMB 208.2 million in 2023[68]. - The operating loss for the year ended December 31, 2024, was RMB 41.6 million, compared to an operating loss of RMB 197.8 million in 2023[72]. - The company reported a net asset value of RMB 7.05 billion as of December 31, 2024, slightly down from RMB 7.18 billion in 2023[155]. Investment Banking and Asset Management - The investment banking segment focused on artificial intelligence and merger transactions, solidifying its leading industry position and supporting numerous industry leaders[16]. - The investment banking business generated total revenue of RMB 220 million, reflecting a year-on-year growth of 16.8%[23]. - Investment banking revenue increased by 16.8% to RMB 224,453 thousand in 2024, compared to RMB 192,194 thousand in 2023[34]. - The investment management business contributed 38% to the total revenue, with total fund exit amounts reaching RMB 3.2 billion[22]. - The investment return ratio (DPI) for five out of eleven main funds exceeded 100%, with total unrealized carried interest amounting to RMB 2.1 billion[22]. - The investment management segment reported an operating profit of RMB 126.0 million for the year ended December 31, 2024, compared to an operating loss of RMB 12.3 million for the year ended December 31, 2023[54]. - The company’s investment management income primarily comes from management fees and carried interest from private equity funds[130]. Customer and Market Growth - The retail business saw a remarkable increase in new customer numbers and asset management scale, achieving over 200% and 100% growth, respectively, through the self-developed app "Duoduo Jin"[16]. - The registered user count for the Duoduo Jin app reached 390,000, a 95% increase from the end of 2023, with customer asset scale growing by 146%[24]. - Huaxing Capital has facilitated nearly 1.5 trillion RMB in transactions and participated in over 70% of the critical development stages of China's internet unicorns[18]. - The overall performance of the securities business stabilized and showed a trend of steady growth, particularly in the retail sector[16]. Operational Efficiency - The group reduced its workforce to 475 employees, a decrease of 16.1% year-on-year, leading to further reductions in non-labor costs[21]. - Total operating expenses decreased by 11.5% to RMB 881.3 million from RMB 995.8 million in 2023[70]. - The segment operating expenses for the securities division decreased by 1.7% to RMB 342.0 million from RMB 347.8 million in 2023[58]. - The company has taken measures to mitigate risks associated with contract arrangements by closely monitoring the regulatory environment in China[145]. Strategic Direction and Innovation - Huaxing Capital is committed to aligning with the national innovation-driven strategy and actively pursuing innovation amid complex global changes[14]. - The firm aims to fully leverage its entrepreneurial spirit in the "2.0 era" to become a leader and partner in frontier technologies[18]. - The group plans to deepen its layout in AGI and embodied intelligence fields while exploring Web3.0 and cryptocurrency assets[26]. - The company has established a carried interest distribution framework agreement to reward investment fund personnel, which is expected to retain at least 25% of distributable carried interest from 22 related investment funds[122]. Regulatory and Compliance Risks - The company faces significant risks including adverse impacts from the overall market and economic conditions in China and other jurisdictions where it operates[114]. - The company has established contractual arrangements that are subject to regulatory scrutiny under Chinese foreign investment laws, which may impact the feasibility of its current corporate structure and operations[135]. - There are significant uncertainties regarding the interpretation of regulations that could lead to severe penalties or loss of interests in certain business operations if deemed non-compliant by the Chinese government[135]. - The company relies on contractual arrangements with consolidated affiliated entities, which may not provide effective operational control or economic benefits compared to ownership of equity interests[137]. Corporate Governance - The board of directors consists of three executive directors, one non-executive director, and three independent non-executive directors[181]. - The compensation committee has been established to review the compensation policy and structure for all directors and senior management based on the group's operating performance and market practices[173]. - The auditor, Zhonghui Anda CPA Limited, has been appointed and will be reappointed at the upcoming annual general meeting for the year ending December 31, 2024[178]. - The company has no additional disclosure obligations under the listing rules[179].

Core Viewpoint - The global economic recovery has been weak, and financial institutions, including Huaxing Capital, are facing significant challenges. Despite performance losses and a shrinking scale, there are signs of marginal improvement in revenue growth and reduced losses in the latest financial report. The new management team is expected to bring changes to the business direction and operational model, which may be more significant than short-term performance data [1]. Group 1: Business Performance - Huaxing Capital's business is divided into investment banking, asset management, and Huaxing Securities. The investment banking sector, a core engine, has faced challenges, with 2024 Hong Kong IPOs totaling 70, raising HKD 87.6 billion, an 88% increase year-on-year, but still far from the highs of 2020 and 2021 [2]. - In the U.S. market, Chinese company IPOs in 2024 reached 62, raising USD 3 billion, both figures doubling year-on-year but still significantly lower than the peaks of 2020 and 2021 [4]. - Huaxing Capital's investment banking revenue was RMB 220 million in 2024, a 16.8% increase year-on-year, achieved by focusing on high-value sectors like AGI and advanced manufacturing [5]. - The total AUM for Huaxing Capital was RMB 32 billion, a 12.9% decrease year-on-year, reflecting pressure on the asset management business due to a narrowed exit path [5]. Group 2: Asset Management Insights - The investment management segment generated RMB 316 million in revenue, a 17.2% increase, contributing 38% to the group's total revenue [6]. - Huaxing Capital's fund exit amount reached RMB 3.2 billion in 2024, with five of the ten main funds achieving a DPI over 100%, indicating strong returns for LPs [7][8]. - The company is increasing its focus on sectors like technology, renewable energy, and healthcare to align with economic transformation trends [7]. Group 3: Huaxing Securities Performance - Huaxing Securities faced challenges in the A-share market, with IPO financing dropping to RMB 67.35 billion, an almost 80% decrease year-on-year, marking the first time below RMB 100 billion since 2015 [9]. - Despite the downturn, Huaxing Securities achieved significant growth in its wealth management business, with user registrations and new clients increasing by 95% and 208%, respectively [9]. Group 4: Future Development and Policy Environment - Huaxing Capital's future development will be influenced by policy guidance, industry cycles, and organizational changes [10]. - The China Securities Regulatory Commission's new policies encourage mergers and acquisitions, particularly in semiconductor and renewable energy sectors, aligning with Huaxing Capital's focus [12]. - Hong Kong's regulatory changes are enhancing its position as a preferred listing location for innovative tech companies, which complements Huaxing Capital's recent initiatives in digital asset services [13][14]. - The new management has shifted the focus towards "technology + industry," aiming to deepen investments in AGI and explore Web3.0 and cryptocurrency sectors [14][15]. Group 5: Resilience and Strategic Positioning - Huaxing Capital demonstrates resilience by actively restructuring rather than passively contracting during market downturns, focusing on the rise of Chinese technology [16]. - The company has sufficient cash reserves and has cleared its debts, providing a safety net to navigate industry fluctuations and seize opportunities during recovery [17].

Core Viewpoint - Huaxing Capital Holdings reported a total revenue and net investment income of approximately 840 million yuan for 2024, representing a year-on-year growth of 5.23% [1] - The company recorded a loss attributable to shareholders of approximately 179 million yuan, narrowing by 62.06% compared to the previous year [1] - Adjusted net loss was approximately 301 million yuan, a reduction of 49.22% year-on-year [1] Group Performance - The fourth quarter of 2024 saw significant improvements in revenue and operating profit compared to the first three quarters, with total revenue for the fourth quarter accounting for 46% of the annual revenue [1] - Excluding Huaxing Securities, total revenue and net investment income for 2024 were 590 million yuan, a year-on-year increase of 10%, with operating profit of 53 million yuan, reversing the previous year's loss [1] Huaxing Securities - Huaxing Securities achieved total revenue and net investment income of 250 million yuan, accounting for 30% of the group's total revenue and net investment income [2] - The "Duoduo Jin" app has significantly contributed to business development, with a 95% increase in registered users to 390,000 by the end of December 2024, and a 208% increase in new customers compared to the same period in 2023 [2] - Customer asset scale grew by 146% compared to the end of 2023, and Huaxing Securities completed several financing projects during the reporting period [2] Strategic Focus - The company will continue to focus on the "technology + industry" theme, deepening its layout in AGI and embodied intelligence, while expanding mergers and acquisitions and cross-border business [3] - Huaxing Capital aims to explore Web 3.0 and cryptocurrency asset fields to lead innovation in technology [3] - The company will strengthen post-investment management and risk control to enhance asset operation efficiency, aiming to create long-term value for shareholders [3]

Financial Performance - Total revenue for the year ended December 31, 2024, was RMB 777.1 million, a decrease of 22.7% from RMB 1,006.1 million in 2023[6]. - The adjusted net loss attributable to the company's owners for the year was RMB 300.8 million, a reduction of 49.3% compared to RMB 592.4 million in 2023[7]. - The company reported a pre-tax loss of RMB 162.6 million, down from RMB 340.7 million in 2023, showing improved financial performance[6]. - The total loss for the year attributable to the company's owners was RMB 179.0 million for the year ended December 31, 2024, compared to RMB 471.9 million for the year ended December 31, 2023, representing a reduction of 62.0%[62]. - The company reported a net loss of RMB 210,659,000 for 2024, a reduction of 54.4% from a loss of RMB 460,993,000 in 2023[97]. - Basic and diluted loss per share for 2024 was RMB (0.35), an improvement from RMB (0.94) in 2023[97]. - The income tax expense for the year ended December 31, 2024, was RMB 48.1 million, down from RMB 120.3 million for the year ended December 31, 2023[61]. - The net investment income for the year ending December 31, 2024, was RMB 62.5 million, compared to a net investment loss of RMB 208.2 million for the year ending December 31, 2023[49]. Revenue Breakdown - The investment management business contributed 38% to the total revenue, with total fund exit amounts reaching RMB 3.2 billion during the period[12]. - The investment banking business generated total revenue of RMB 220 million, reflecting a year-on-year growth of 16.8%[13]. - The total revenue and net investment income for Huaxing Securities reached RMB 250 million, accounting for 30% of the group's total revenue and net investment income[15]. - Revenue from mainland China was RMB 646,831,000, down 25% from RMB 862,258,000 in 2023[111]. - Customer contract revenue recognized at a point in time was RMB 434,891,000, a decrease of 6.4% from RMB 464,798,000 in 2023[112]. - Revenue from advisory and underwriting services dropped by 70.7% to RMB 25.0 million in 2024[39]. - Sales, trading, and brokerage revenue increased by 125.1% to RMB 80.7 million in 2024[39]. Operational Efficiency - The company reduced its workforce to 475 employees, a decrease of 16.1% compared to the previous year, leading to further reductions in non-labor costs[11]. - The operating loss for the investment banking segment decreased by 49.7% to RMB 34.8 million, reflecting improved operational efficiency[25]. - The total operating expenses for the company decreased by 11.5% from RMB 995.8 million for the year ending December 31, 2023, to RMB 881.3 million for the year ending December 31, 2024[50]. - The operating expenses for Huaxing Securities decreased by 1.7% from RMB 347.8 million for the year ending December 31, 2023, to RMB 342.0 million for the year ending December 31, 2024[40]. - The total employee compensation expense, including share-based payment expenses, was RMB 485.8 million for the year ended December 31, 2024[75]. Investment Performance - The cumulative unrealized carried interest as of December 31, 2024, was RMB 2.1 billion, with net carried interest at RMB 600 million[12]. - The internal rate of return for self-managed private equity funds was 17.4% and for third-party funds was 15.1% as of December 31, 2024[28]. - The total assets of Huaxing Securities amounted to RMB 3.7 billion, with net assets of RMB 2.4 billion and high liquidity assets totaling RMB 2.8 billion[15]. - The company's total investments measured at fair value amounted to approximately RMB 2,981.1 million as of December 31, 2024, an increase of 24.3% from RMB 2,397.4 million as of December 31, 2023[69]. - The fair value of financial assets measured at fair value through profit or loss increased to RMB 3,008,496,000 in 2024 from RMB 3,003,250,000 in 2023, showing a slight increase[139]. Future Outlook - The company plans to continue focusing on core business areas and optimizing assets to enhance operational performance in the future[11]. - The company plans to continue focusing on "technology + industry" and explore Web 3.0 and cryptocurrency asset fields[16]. - The company plans to focus on expanding its wealth management services for high-net-worth individuals and new economy entrepreneurs[106]. Governance and Compliance - The company has complied with all applicable provisions of the corporate governance code, except for the separation of the roles of Chairman and CEO until October 9, 2024[82]. - The audit committee has reviewed the audited financial statements for the year ending December 31, 2024, and discussed accounting policies and internal controls with senior management[86]. - The independent auditor's report indicates a reservation regarding the recoverability of restricted amounts totaling approximately RMB 78,768,000 as of December 31, 2024[93]. - The company has established various committees, including the nomination committee, remuneration committee, executive committee, and environmental, social, and governance committee[87]. - The company has adopted the standard code for securities transactions by directors and confirmed compliance during the reporting period[83][84]. Miscellaneous - The company did not declare or pay any dividends for the years ended December 31, 2024, and December 31, 2023[79]. - The company has not engaged in any significant litigation or arbitration during the reporting period[90]. - The company has not disclosed any significant post-reporting period events from December 31, 2024, to the announcement date[95].

作者｜Stone Jin 微信公众号｜ipozaozhidao 据IPO早知道消息，华兴资本控股有限公司（以下简称"华兴资本"或"公司"）于11月29日宣布，任 命公司联席总裁王力行为新任首席执行官。原首席执行官谢屹璟因个人及家庭原因，主动辞任首席执 行官及执行董事职务。任命后，王力行将继续担任公司执行董事。 华兴资本集团董事会主席许彦清 表示 ，"我们很欣慰看到王力行在与华兴资本同行的十七年中、在 以谢屹璟为核心的老一辈管理团队领导下，以正直善良为基准、持追求卓越之热诚，与公司风雨同 舟、携手共进，并逐渐成长为公司新一代的领路人。他的职业经历，也是更多'CR Baby'的真实写照 和突出代表。 弦歌不辍，薪火相传。感谢王力行在华兴成长道路的卓越贡献，董事会热烈欢迎王力行履新本公司首 席执行官。我们欣慰地看到，在不断变化的外部环境与挑战中，王力行在不仅传承了华兴资本的创业 精神，在真诚为客户创造价值之余，更以'分享开放'的行事风格，在公司的管理运营、人才梯队建设 以及团队管理等诸多方面做出贡献，赢得了客户、团队和行业的广泛认可，并逐渐成长为华兴资本新 一代中深孚众望的领军人物。日拱一卒无有尽，功不唐捐终入海。 ...

Financial Performance - Total revenue and net investment income for the first half of 2024 amounted to RMB 328.9 million, a decrease of 39% compared to RMB 536.6 million in the same period of 2023[10]. - The company recorded a net loss attributable to shareholders of RMB 73.8 million for the first half of 2024, compared to a net loss of RMB 180.1 million in the same period of 2023[10]. - Total revenue and net investment income for the first half of 2024 were RMB 359.5 million, a decrease of 38.5% compared to RMB 584.4 million in the same period of 2023[18]. - The company reported a pre-tax loss of RMB 73.6 million for the first half of 2024, an improvement from a pre-tax loss of RMB 112.2 million in the same period of 2023[10]. - The company’s adjusted net loss attributable to shareholders, which includes share-based payment expenses and changes in fair value of share options, was RMB 117.9 million for the first half of 2024[11]. - The company incurred a loss of RMB 87.7 million for the six months ended June 30, 2024, compared to a profit of RMB 32.4 million in the same period in 2023[109]. - The company reported a total revenue of RMB 359,527,000 for the six months ended June 30, 2024, a decrease of 38.4% compared to RMB 584,406,000 for the same period in 2023[109]. - The net investment income for the same period was RMB 30,606,000, down from RMB 47,831,000, reflecting a decline of 36.0%[109]. - The company reported a total comprehensive income for the period was a loss of RMB 72,544 thousand, compared to a loss of RMB 55,159 thousand in the previous year[116]. Operating Expenses - Total operating expenses decreased to RMB 447.3 million in the first half of 2024 from RMB 552.0 million in the same period of 2023[10]. - Total operating expenses for the investment management segment decreased by 49.0% from RMB 180.2 million to RMB 91.8 million for the same periods[35]. - Total operating expenses amounted to RMB 282,097,000, reflecting an increase from RMB 320,403,000 in the prior year[126][128]. - The operating loss for Huaxing Securities for the six months ended June 30, 2024, was RMB 42.5 million, compared to RMB 41.9 million for the same period in 2023, an increase of 1.4%[40]. - The investment banking segment reported operating losses of RMB 61.5 million and RMB 27.6 million for the six months ended June 30, 2024, and 2023, respectively[24]. Investment Management - In the first half of 2024, the group's investment management business accounted for 37% of total revenue, with fund exit amounts totaling RMB 893 million[15]. - The investment management segment's operating profit decreased by 68.7%, reflecting challenges in the market environment[19]. - The investment management segment reported revenue of RMB 164,811,000, compared to RMB 336,452,000 in the previous year[126][128]. - The company recognized realized carried interest income of RMB 10.1 million from one main fund, a decrease from RMB 94.2 million for the same period last year[34]. - The company reported a net loss of RMB 33,445,000 in the investment management segment, compared to a loss of RMB 29,984,000 in the previous year[126][128]. Market Environment - The market environment for the first half of 2024 remained sluggish, with a significant decline in the number and amount of IPOs for Chinese concept stocks overseas[14]. - The company’s total income and net investment income for the first half of 2024 reflected a challenging investment climate with low participation from market investors[14]. - The investment banking team is maintaining close communication with potential IPO clients to seize opportunities when the market recovers[15]. Workforce and Employee Compensation - The company adjusted its workforce, reducing the number of employees to 521 by the end of the reporting period, an 8% decrease from the end of 2023[14]. - Total compensation expenses, including share-based payments, for the six months ended June 30, 2024, amounted to RMB 282.1 million, a decrease of 12.0% compared to RMB 320.5 million for the same period in 2023[71]. - The employee retention strategy includes cash performance bonuses and other incentives, with 128 employees holding unexercised stock options as of June 30, 2024[71]. Cash Flow and Liquidity - Cash and cash equivalents totaled RMB 1,245.2 million as of June 30, 2024, with RMB 1,184.9 million excluding Huaxing Securities[58]. - For the six months ended June 30, 2024, the net cash generated from operating activities was RMB 198.5 million, adjusted for a pre-tax loss of RMB 73.6 million and positive changes in working capital of RMB 290.6 million[60]. - The company reported a net cash flow from operating activities of RMB 198,471 thousand for the six months ended June 30, 2024, compared to RMB 887,311 thousand for the same period in 2023, indicating a significant decrease[119]. - The company incurred a financing cash outflow of RMB 31,597 thousand for the six months ended June 30, 2024, compared to an outflow of RMB 2,210,887 thousand in the same period of 2023[121]. Corporate Governance - The company has adopted corporate governance principles to enhance internal control measures and accountability to shareholders[92]. - The company has complied with all applicable code provisions of the corporate governance code during the six months ended June 30, 2024[92]. - The company has established various committees, including the nomination committee, remuneration committee, executive committee, and environmental, social, and governance committee[100]. Shareholder Information - The total number of issued shares is 568,397,776[82]. - Mr. Bao holds approximately 40.53% of the shares through controlled entities, totaling 230,367,332 shares[82]. - The company did not declare an interim dividend for the six months ended June 30, 2024, consistent with the previous year[74]. - The board retains absolute discretion regarding dividend declarations, which are contingent on the company's financial health and regulatory constraints[74]. Related Party Transactions - The company provided fund management services to related parties, with receivables based on invoice dates and a general credit period of 180 days[186]. - The management fees prepaid for fund management services to related parties totaled RMB 64,241 thousand as of June 30, 2024, up from RMB 8,973 thousand at the end of 2023, marking an increase of about 616%[193]. - The income from related party investments for the six months ended June 30, 2024, was RMB 10,107 thousand, compared to RMB 94,218 thousand for the same period in 2023, indicating a decrease of approximately 89.3%[197].

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].