Financial Performance - The company reported a total of 1,200 million in revenue for the fiscal year 2018, representing a year-over-year growth of 15%[27]. - The company's operating revenue for 2018 was ¥2,545,233,363.80, a decrease of 4.73% compared to ¥2,671,626,421.94 in 2017[32]. - The net profit attributable to shareholders for 2018 was ¥845,132,348.07, down 17.07% from ¥1,019,124,805.62 in 2017[32]. - The net profit after deducting non-recurring gains and losses was ¥814,416,533.79, a decrease of 12.98% compared to ¥935,865,893.48 in 2017[32]. - The total assets at the end of 2018 were ¥46,780,894,327.20, a decrease of 7.40% from ¥50,516,760,277.07 at the end of 2017[34]. - The total liabilities at the end of 2018 were ¥28,380,760,544.32, down 24.71% from ¥37,696,793,181.59 at the end of 2017[34]. - The net profit for 2018 was CNY 781,579,143.29, reflecting a decline of 16.37% from the adjusted net profit of CNY 934,608,519.81 in 2017[35]. - The basic earnings per share for 2018 were ¥0.33, a decrease of 32.65% from ¥0.49 in 2017[34]. - The diluted earnings per share for 2018 were also ¥0.33, reflecting the same percentage decrease as basic earnings per share[34]. - The company reported a net profit margin of 18%, up from 15% in the previous year, indicating improved operational efficiency[27]. Capital and Shareholder Information - The board approved a profit distribution plan, proposing a cash dividend of CNY 0.76 per 10 shares (including tax) for all shareholders[2]. - The cash dividend distribution plan for 2018 is pending approval at the annual shareholders' meeting[149]. - The total distributable profit for the year is reported at 453,869,579 CNY, with the cash dividend accounting for 100% of the profit distribution[153]. - The company has a policy to distribute at least 20% of the distributable profit as cash dividends, with a minimum of 40% when there are no significant capital expenditures planned[144]. - The company plans to distribute a cash dividend of 0.76 CNY per 10 shares, totaling 199,500,000 CNY, which represents 43.96% of the distributable profit for the year[153]. Business Operations and Strategy - The company operates in the securities industry, providing services such as securities brokerage, investment consulting, and asset management[10]. - The company has maintained its main business operations since its listing, with no changes reported during the reporting period[10]. - The company has established multiple branches, including Shenzhen, Chengdu, and Shanghai, to enhance its market presence[21][22]. - The company plans to expand its market reach through the establishment of new branches and subsidiaries in key regions[21][23]. - The company is focused on enhancing its financial services and product offerings to meet market demands[22]. - The company has established a diverse leadership team across its departments, with contact information readily available for client inquiries[25]. - The company aims to optimize its operational efficiency by reengineering business processes and improving its management systems[127]. Risk Management - The company faces potential risks including market fluctuations, policy changes, and operational risks due to the cyclical nature of the securities market[2]. - The company emphasizes the importance of risk awareness for investors regarding future plans and market conditions[2]. - The company has established a risk management model focusing on VaR, sensitivity indicators, and stress testing to manage market risks[129]. - The company has implemented a credit risk management framework that includes limits on credit rating concentration and issuer concentration to mitigate credit risks[130]. - The company has established a daily monitoring system for credit trading activities to control credit risk effectively[131]. - The company achieved full coverage of risk management across all business lines, branches, and subsidiaries, with no major risk incidents reported during the year[136]. Compliance and Regulatory Matters - The company has received regulatory approval for its capital increase and IPO, ensuring compliance with financial regulations[17][19]. - The company has committed to strict compliance with information disclosure regulations and will enhance investor education efforts following its IPO[164]. - The company has received a commitment amount of CNY 20.22 million from the controlling shareholder, which has been fully performed[167]. - The company has not encountered any issues with the use and disclosure of raised funds, adhering strictly to legal regulations[113]. - The company has established measures to avoid competition with its subsidiaries, ensuring no direct or indirect competition in related business areas[157]. Market Presence and Expansion - The company has established over 100 branches nationwide, enhancing its strategic layout and operational network[54]. - The company has expanded its operations to include new departments in cities like Chongqing and Shenzhen, enhancing its market reach[26]. - The company’s market share in margin financing and securities lending increased by 20.44% year-on-year, reaching 1.09% by the end of 2018[48]. - The company is expanding its market presence in Southeast Asia, targeting a 30% increase in market share by 2020[27]. Financial Health and Assets - The total assets of the company increased to 3 billion, reflecting a strong financial position[27]. - The company's total assets ranked 33rd and net assets ranked 26th in the industry by the end of 2018[48]. - The company's cash and cash equivalents at year-end amounted to 11.347 billion yuan, accounting for 24.26% of total assets, with a year-on-year increase of 6.14%[50]. - The company's total liabilities decreased by 25.04% to CNY 26,895,749,084.89 at the end of 2018, down from CNY 35,881,695,250.56 in 2017[35]. Legal Matters - The company is involved in a property dispute regarding the Yulong Building, with a book value of CNY 15,288,646.67 as of December 31, 2018[176]. - The company is facing a lawsuit from Chengdu Dacheng Real Estate Co., Ltd. regarding a performance bond of CNY 10 million and compensation claims totaling CNY 152,933,934.25[177]. - The company confirmed a provision for expected liabilities of CNY 11.0971 million related to a settlement with Qi Dong, who claimed losses of approximately CNY 15.853 million[179]. - The company received a court ruling to pay Qi Dong CNY 11 million, concluding the dispute without further claims[180].

Financial Performance - Total assets at the end of the reporting period amounted to ¥48,402,751,642.91, a decrease of 4.18% compared to the previous year[7] - Net assets attributable to shareholders reached ¥18,303,085,883.76, reflecting a significant increase of 43.47% year-over-year[7] - Operating revenue for the reporting period was ¥656,210,960.39, down 1.74% from the same period last year[7] - Net profit attributable to shareholders was ¥265,323,707.65, a decrease of 2.67% compared to the previous year[7] - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥233,413,448.04, down 14.95% year-over-year[7] - Basic earnings per share decreased by 23.08% to ¥0.10 from ¥0.13 in the same period last year[7] - The weighted average return on equity was 1.45%, down 0.71 percentage points from the previous year[7] Cash Flow - Cash flow from operating activities showed a net outflow of ¥2,030,634,419.56, indicating a significant decline compared to the previous year[7] - The net cash flow from operating activities decreased by 885.44% to -CNY 3,537,764,966.02, indicating a substantial cash outflow compared to the previous year[20] Shareholder Information - The top three shareholders hold a combined 39.86% of the company's shares, with the largest shareholder owning 18.13%[14] - As of September 30, 2018, the company's total equity attributable to shareholders increased by 43.47% to CNY 18,303,085,883.76 compared to CNY 12,757,330,950.52 at the end of 2017[19] - The controlling shareholder, Laojiao Group, has committed to extend the lock-up period for its shares in Huaxi Securities by 6 months due to the stock price being below the issue price after 6 months of listing[35] Investments and Financial Assets - The company reported a total investment in stocks of CNY 536.24 million, with a fair value loss of CNY 37.03 million during the reporting period[40] - The total investment in bonds amounted to CNY 11.61 billion, with a fair value gain of CNY 157.77 million[40] - The company has a total of CNY 657.14 million in entrusted financial management, with bank financial products accounting for CNY 25.01 million[45] - The total amount of financial assets measured at fair value was CNY 15.40 billion, with a net loss of CNY 18.69 million during the reporting period[41] Liabilities and Equity - The company’s total liabilities decreased by 45.06% to CNY 7,599,510,000.00 from CNY 13,831,585,274.65, reflecting a reduction in the scale of repurchase business[19] - The company’s capital reserve increased by 114.85% to CNY 8,114,012,431.39 due to the issuance of new shares[19] Legal Matters - The company has ongoing litigation matters, with three cases having recent developments as of the report date[21] - The company is involved in ongoing litigation with Chengdu Dacheng Real Estate Co., Ltd., seeking the return of a performance bond of RMB 10 million and compensation for losses totaling approximately RMB 152.93 million[26] - The company has submitted a debt claim related to the bankruptcy proceedings of Sichuan Haoxin Financing Guarantee Co., Ltd., with discrepancies noted in the claimed amounts[24] Fundraising and Use of Proceeds - The company has issued bonds totaling RMB 1 billion with a coupon rate of 4.00% as part of its public offering approved by the China Securities Regulatory Commission[28] - The company raised a total of RMB 4.97 billion from its initial public offering, with a net amount of RMB 4.86 billion used by the end of the reporting period[30] - The company has utilized RMB 4.87 billion of the raised funds by the end of the reporting period, with a remaining balance of RMB 5.76 million in interest[30] Other Income and Gains - The company reported non-recurring gains of ¥36,763,147.81 for the year-to-date[11] - The company’s other income increased by 275.24% to CNY 17,555,613.99, driven by government subsidies and penalties received by its subsidiary[20] - The net income from asset management business increased by 234.77% to CNY 101,576,877.48 compared to CNY 30,341,849.72 in the same period last year[19] - The company reported a significant increase in fair value gains, with a rise of 858.77% to CNY 115,823,252.39 from CNY 12,080,452.57[19] Management and Operations - The company has undergone changes in its branch offices, now operating 10 branches and 89 securities business departments[33] - The company has received regulatory approval for the appointment of a new supervisor, who has officially assumed duties[32] - The company has not reported any unfulfilled commitments by actual controllers or shareholders during the reporting period[38] - There were no overdue guarantees or non-operating fund occupation by controlling shareholders during the reporting period[42][43] - The company has not made any forecasts for its 2018 annual operating performance[39]

Financial Performance - Total operating revenue for the first half of 2018 was CNY 1,360,875,759.35, representing a slight increase of 0.58% compared to the same period last year[18]. - Net profit attributable to shareholders decreased by 6.51% to CNY 574,083,075.00[18]. - Net cash flow from operating activities was CNY 628,871,960.29, a significant decline of 339.66% compared to the previous year[18]. - Basic earnings per share decreased by 22.22% to CNY 0.27[18]. - The company's net profit for the first half of 2018 was CNY 536,274,951.46, a decrease of 6.61% compared to the previous period[30]. - Total operating income increased slightly to CNY 1,360,875,759.35, reflecting a growth of 0.58% year-over-year[30]. - The company experienced a decrease in operating profit, totaling approximately 700 million yuan, down 5.09% year-on-year[83]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 50,516,760,277.07, reflecting a 4.67% decrease from the previous year-end[18]. - Total liabilities increased by 7.61% to CNY 37,696,793,181.59[18]. - Total assets increased by 5.17% to CNY 51,034,177,172.64 from CNY 48,523,882,165.85 at the end of the previous year[19]. - Total liabilities decreased by 7.61% to CNY 33,151,610,475.17 from CNY 35,881,695,250.56 at the end of the previous year[19]. - The company's total liabilities decreased by 7.61% to CNY 34,829,020,209.53 from CNY 37,696,793,181.59[29]. - The company's total equity increased by 41.45% to CNY 17,882,566,697.47 compared to the previous year[19]. Cash Flow - The net cash flow from operating activities was negative at CNY -1,507,130,546.46, a significant decline of 339.66% compared to the previous period[30]. - Cash flow from operating activities decreased by 339.66% to -¥1,507,130,546.46, mainly due to the net return of repurchased funds[94]. - Cash flow from investing activities decreased by 217.60% to -¥1,888,564,414.40, attributed to an increase in fixed-income securities scale[94]. - Cash flow from financing activities was ¥3,472,268,056.31, a significant improvement from -¥5,067,326,639.39 in the previous period, mainly due to funds raised from the IPO[94]. Business Segments - The brokerage and wealth management business revenue decreased by 13.72%, with a profit margin reduction of 7.59 percentage points due to a decline in trading volume and commission rates[64]. - The credit business revenue increased by 48.01%, with a profit margin increase of 7.59 percentage points, primarily driven by growth in stock pledge business income[64]. - The investment banking business revenue dropped by 71.92%, resulting in a loss, largely due to stricter regulatory policies and a decrease in equity financing market issuance[64]. - The asset management business revenue surged by 167.57%, although the profit margin decreased by 25.21 percentage points due to increased operational costs from talent acquisition[64]. - The investment business revenue grew by 17.37%, with a slight profit margin decrease of 3.55 percentage points, attributed to better market opportunities in bond investments[64]. Compliance and Governance - The company achieved a compliance management goal of "zero penalties" in the first half of 2018, with anti-money laundering efforts rated as the highest level A[131]. - The company has implemented a plan to enhance compliance management effectiveness, focusing on pre-compliance and compliance serving business needs[132]. - The company has revised management systems for fixed income, stock pledge repurchase, and investment banking businesses to align with regulatory requirements[132]. - The company actively performs self-inspections and compliance checks to identify and rectify issues in business operations and compliance management[132]. Social Responsibility - The company donated 10 million RMB for industrial poverty alleviation in Xuyong County, which is part of its broader social responsibility efforts[187]. - Over the past three years, the company has cumulatively donated 25.41 million RMB and provided over 200,000 in material assistance for poverty alleviation[187]. - The company has established a mutual loan fund of 600,000 RMB to support production development in Fengyang Village[189]. - The company has actively participated in poverty alleviation by sending dedicated personnel to assist in local villages, with a total of 6 dedicated poverty alleviation cadres dispatched[188]. Future Plans - The company plans to establish a wholly-owned subsidiary for asset management with an investment of up to 300 million CNY, aiming to engage in securities asset management and other approved activities[200]. - The company aims to deepen comprehensive financial services for enterprises in impoverished areas, facilitating access to various financing channels[194]. - The company plans to enhance its quantitative investment strategies and develop a proprietary quantitative trading platform to improve overall returns[76].

Financial Performance - Operating revenue for Q1 2018 was CNY 679,599,457.26, a decrease of 2.76% compared to CNY 698,926,723.41 in Q1 2017[11] - Net profit attributable to shareholders was CNY 287,343,120.14, down 17.72% from CNY 349,218,693.49 in the same period last year[11] - Basic earnings per share decreased by 29.46% to CNY 0.1173 from CNY 0.1663 in Q1 2017[11] - Total operating income for Q1 2018 was CNY 653,168,410.35, down from CNY 668,292,586.51 in Q1 2017, representing a decline of 2.0%[43] - Total profit for Q1 2018 was CNY 377,081,256.87, down from CNY 452,507,417.89 in Q1 2017, reflecting a decrease of 16.6%[42] - Total comprehensive income for Q1 2018 was CNY 270,050,689.36, a decrease of 16.0% from CNY 321,463,469.08 in Q1 2017[43] Cash Flow - Net cash flow from operating activities was CNY -1,863,148,265.71, an improvement of 36.29% compared to CNY -2,924,242,294.52 in Q1 2017[11] - The cash inflow from operating activities was CNY 1,080,460,672.59 in Q1 2018, slightly up from CNY 1,080,147,456.13 in Q1 2017[45] - The net cash flow from investment activities was -647,016,415.26 CNY, a significant decline from 1,463,699,403.94 CNY in Q1 2017[46] - The cash inflow from financing activities totaled 5,544,520,000.00 CNY, up from 840,389,110.57 CNY in Q1 2017[46] - The net cash flow from financing activities was 4,643,603,576.70 CNY, a turnaround from -1,796,725,466.53 CNY in the previous year[46] - The net increase in cash and cash equivalents for Q1 2018 was 2,132,581,882.90 CNY, contrasting with a decrease of -3,257,421,960.40 CNY in Q1 2017[46] Assets and Liabilities - Total assets as of March 31, 2018, were CNY 57,996,108,799.24, an increase of 14.81% from CNY 50,516,760,277.07 at the end of 2017[11] - The company's liabilities increased significantly, with borrowed funds rising by 525% to CNY 1,250,000,000.00 from CNY 200,000,000.00[21] - The total equity attributable to shareholders increased by 40.23% to CNY 17,889,741,878.67, driven by new share issuance[21] - The company's total liabilities reached ¥38,494,491,738.49, an increase from ¥35,881,695,250.56, indicating a rise of about 7%[40] Shareholder Information - The total number of shareholders at the end of the reporting period was 350,839[15] - The top three shareholders held a combined 39.86% of the company, with the largest being Luzhou Laojiao Group Co., Ltd. at 18.13%[15] - The company issued 52.5 million new shares, raising CNY 4.862 billion for capital expansion and business development[23] Income Sources - The company reported non-operating income of CNY 4,746,920.18, primarily from government subsidies received[14] - The net income from investment banking services decreased by 72.29% to CNY 25,650,220.94 in Q1 2018, down from CNY 92,570,553.72 in Q1 2017[21] - The net income from asset management services surged by 367.32% to CNY 16,265,392.79 in Q1 2018, compared to CNY 3,480,541.84 in Q1 2017[21] - The company reported a decrease in net interest income to CNY 98,709,072.50 in Q1 2018 from CNY 126,194,055.46 in Q1 2017, a decline of 21.8%[42] Expenses - The company experienced a 31.06% increase in business and management expenses, totaling CNY 308,874,405.44 due to business transformation and network expansion[22] - Operating expenses rose to CNY 309,148,334.55 in Q1 2018, an increase of 24.2% compared to CNY 248,768,674.73 in Q1 2017[42] Legal Matters - The company has ongoing litigation with Chengdu Dacheng Real Estate Co., Ltd., claiming damages of approximately CNY 1.53 billion due to contract disputes[25] - The company has initiated legal proceedings against an individual for a total of CNY 40 million in stock pledge financing, with the court accepting the case[27] Fair Value Changes - The company recorded a significant increase in fair value gains, which rose by 451.73% to CNY 60,833,722.56 in Q1 2018[21] - The company experienced a significant increase in fair value changes, reporting CNY 60,833,722.56 in Q1 2018 compared to CNY 11,025,951.85 in Q1 2017[42] - The company recorded a loss of CNY 19,408,065.75 in the fair value changes of its stock investments during the reporting period[31]

Financial Performance - Total revenue for 2017 was CNY 2,669,781,478.97, a decrease of 1.50% compared to 2016[39]. - Net profit attributable to shareholders decreased by 38.85% to CNY 1,019,124,805.62 in 2017[39]. - Basic earnings per share fell by 37.97% to CNY 0.49 in 2017[39]. - Total assets increased by 5.04% to CNY 50,516,760,277.07 at the end of 2017[44]. - Total liabilities rose by 4.42% to CNY 37,696,793,181.59 at the end of 2017[39]. - Cash flow from operating activities showed a significant decline, with a net amount of CNY -9,095,234,506.96[39]. - The weighted average return on equity decreased by 6.67 percentage points to 8.26% in 2017[39]. - The total comprehensive income for the year was 889,643,773.51, a decline of 12.34% from 1,014,876,950.73[49]. - The company's total operating income for 2017 was approximately CNY 2.67 billion, a decrease of 1.50% compared to 2016[121]. - The operating profit for 2017 was approximately CNY 1.32 billion, reflecting a decline of 31.81% from the previous year[123]. Capital Structure - The company reported a registered capital of CNY 2,100,000,000 and a net capital of CNY 11,572,272,362.45[14]. - The company raised a total of RMB 1,600,000,000 through a capital increase, with a new registered capital of RMB 1,413,113,700 after the increase[24]. - The company underwent a restructuring to become a joint-stock company, resulting in a registered capital of RMB 2,100,000,000 and a total of 2,100,000,000 shares[25]. - The company has established several subsidiaries, including Huaxi Futures with a registered capital of RMB 300 million, and Huaxi Jinzhihua with a registered capital of RMB 200 million[31]. - The company has a total of 37 shareholders after the capital increase, including 11 original shareholders and 4 new shareholders[24]. Risk Management - The company emphasizes the importance of risk factors in its operations, including credit and liquidity risks[5]. - The company has established a dynamic risk control indicator monitoring system in compliance with regulatory requirements, including risk identification, assessment, monitoring, control, and reporting[164]. - The company has implemented a credit risk management framework that includes limits on credit rating concentration and issuer concentration for fixed income investments[157]. - The company has developed a comprehensive risk management model that includes VaR, sensitivity indicators, and stress testing to manage market risks[156]. - The company has strengthened compliance and risk control measures across all business areas, ensuring that major risk indicators meet regulatory standards[86]. Business Operations - The company operates in the financial industry, facing risks such as market fluctuations, policy risks, and operational risks[5]. - The company’s main business includes securities brokerage, investment consulting, and asset management, with no changes since its listing[17]. - The company has expanded its business scope to include futures brokerage and investment consulting through Huaxi Futures, which also holds a securities business license[18]. - The company has been actively involved in the interbank lending market and bond market since October 2001[18]. - The company has been actively developing its margin financing and securities lending business, which serves as a new profit growth driver and enhances the resilience of its brokerage business against market fluctuations[72]. Shareholder and Dividend Policy - The profit distribution plan approved by the board is to distribute a cash dividend of CNY 0.38 per 10 shares, based on a total of 2,625,000,000 shares[6]. - The company has a stable profit distribution policy, prioritizing cash dividends, with a minimum of 20% of distributable profits allocated as cash dividends annually[171]. - The proposed cash dividend for 2017 is CNY 0.38 per 10 shares, totaling CNY 99,750,000.00, which represents 100% of the profit distribution[176]. - The company has maintained a consistent cash dividend policy over the past three years, with 2015 and 2017 showing cash dividends of CNY 200,000,000.00 and CNY 204,750,000.00 respectively[178]. Market Expansion - The company has established a nationwide operational network, strategically positioning itself in economically developed cities such as Beijing, Shanghai, and Shenzhen, to leverage regional advantages for further expansion[70]. - The company has established 8 new branches in cities such as Changchun and Ningbo to enhance its brokerage business expansion[107]. - The report mentions the market expansion strategy, indicating the company's focus on the national market[34]. Compliance and Governance - The company has set up a compliance management system to ensure "zero violations" across its business operations[162]. - The company's risk control indicators were monitored dynamically, ensuring compliance with regulatory requirements, with a specific focus on net capital[165]. - The company has committed to ensuring that any unacquired property rights will be compensated in cash equivalent to the net asset value of the properties within three years if not obtained[192]. - The company will strictly adhere to information disclosure regulations and enhance investor education regarding risks associated with its business operations[193]. Future Outlook - The company plans to focus on retail wealth management services and comprehensive financial services for enterprises as part of its dual-core development strategy, aiming to enhance its operational service system and expand its business scope[68]. - The company will accelerate its transformation speed in 2018, promoting multi-point rapid development and enhancing management and information construction[152]. - The company will accelerate the preparation of asset management subsidiaries, developing actively managed star products and ABS business[153].