Revenue Performance - Net revenues for Q3 2024 were RMB683.7 million (US$97.4 million), an 8.8% decrease from Q3 2023, primarily due to a 33.0% decrease in revenues from mainland China, partially offset by a 28.9% increase from overseas[4] - Net revenues from mainland China were RMB306.8 million (US$43.7 million), a 33.0% decrease, driven by an 89.9% drop in domestic insurance product distribution revenue and a 17.3% decrease in recurring service fees from RMB private equity products[5] - Net revenues from overseas increased to RMB376.9 million (US$53.7 million), a 28.9% increase, mainly due to a 42.5% rise in offshore investment product revenue and a 42.4% increase in insurance product revenue[6] - Total revenues decreased by 8.8% year-over-year to RMB 688,702,000 for the three months ended September 30, 2024[74] - Net revenues from one-time commissions decreased by 11.8% to RMB175.1 million (US$25.0 million) due to lower distribution of domestic insurance products[31] - Net revenues from recurring service fees fell by 10.3% to RMB251.0 million (US$35.8 million), primarily due to a decrease in assets under management in mainland China[32] - Revenues from the Wealth Management Business decreased from RMB 550,822 million to RMB 466,898 million, a decline of 15.2%[85] Income and Profitability - Income from operations for Q3 2024 was RMB240.8 million (US$34.3 million), a 3.2% decrease year-over-year, but a 79.7% increase sequentially[7] - Net income attributable to shareholders for Q3 2024 was RMB134.4 million (US$19.2 million), a 42.4% decrease from Q3 2023, impacted by unrealized foreign exchange losses and increased income tax expenses[9] - Net income for Q3 2024 was RMB137.8 million (US$19.6 million), a 40.6% decrease from Q3 2023[46] - Non-GAAP net income attributable to shareholders for Q3 2024 was RMB150.5 million (US$21.4 million), a 35.2% decrease from Q3 2023[49] - The net margin attributable to Noah shareholders decreased from 31.1% to 19.7%[96] Client Metrics - Total number of registered clients as of September 30, 2024, was 460,380, a 1.8% increase year-over-year, with overseas registered clients increasing by 20.9%[12] - The number of registered clients reached 460,380 as of September 30, 2024[63] - The number of overseas registered clients grew by 20.9%, from 14,296 to 17,287[93] - The number of active clients decreased by 17.2%, from 9,489 to 7,857 during the same period[80] Assets and Management - Total assets under management as of September 30, 2024, were RMB150.1 billion (US$21.4 billion), a 2.5% decrease from June 30, 2024, and a 3.1% decrease from September 30, 2023[22] - Overseas assets under management increased to RMB39.5 billion (US$5.6 billion), up from RMB35.4 billion a year ago[23] - Cash and cash equivalents as of September 30, 2024, were RMB3,435.8 million (US$489.6 million), down from RMB4,604.9 million as of June 30, 2024[52] - Total current assets decreased to RMB 6,093,338,000, a decline from RMB 7,204,728,000[70] - The company’s total assets were reported at RMB 11,521,125,000, down from RMB 12,467,005,000[70] Operational Efficiency - Operating margin improved to 35.2% in Q3 2024, compared to 33.2% in Q3 2023[41] - Operating costs and expenses decreased by 11.6% to RMB 442,872,000, primarily due to a reduction in compensation and benefits[74] Strategic Initiatives - The company opened a new office in Japan to attract local Mandarin-speaking clients and is exploring opportunities in Canada, Australia, Southeast Asia, and Europe[29] - The company plans to focus on expanding its overseas business and enhancing its product offerings in the coming year[93] Investment Product Distribution - The aggregate value of investment products distributed in Q3 2024 was RMB14.3 billion (US$2.0 billion), a 36.1% decrease from Q3 2023, primarily due to a 42.1% decrease in mutual fund product distribution[14] - Total transaction value dropped by 36.1%, from RMB 22,316 million to RMB 14,258 million[80] - The transaction value of overseas investment products increased by 11.4%, from RMB 7.0 billion to RMB 7.8 billion[93] - One-time commissions from funds managed by Gopher increased significantly by 18,693.8% to RMB 6,014,000[74] - Recurring service fees from funds managed by Gopher decreased by 20.0% to RMB 236,638,000[74]

Core Viewpoint - Noah Holdings Limited reported a decline in net revenues for Q3 2024, primarily driven by a significant decrease in revenues from mainland China, although overseas revenues showed growth, indicating a shift in market dynamics and client demand for global asset allocation services [2][21][20]. Financial Performance - Net revenues for Q3 2024 were RMB683.7 million (US$97.4 million), an 8.8% decrease from Q3 2023 [2][21]. - Revenues from mainland China decreased by 33.0% to RMB306.8 million (US$43.7 million), while overseas revenues increased by 28.9% to RMB376.9 million (US$53.7 million) [3][4]. - Income from operations was RMB240.8 million (US$34.3 million), a 3.2% decrease year-over-year, but a 79.7% increase sequentially [7][20]. - Net income attributable to Noah shareholders was RMB134.4 million (US$19.2 million), a 42.4% decrease from Q3 2023 [8][33]. Revenue Breakdown - Wealth management revenues decreased by 15.3% to RMB465.0 million (US$66.2 million) [5]. - Asset management revenues increased by 9.2% to RMB208.9 million (US$29.7 million) [5]. - Other businesses remained flat at RMB9.8 million (US$1.4 million) [5]. Client Metrics - Total registered clients as of September 30, 2024, reached 460,380, a 1.8% increase year-over-year [10]. - The number of overseas registered clients increased by 20.9% to 17,287 [10]. - Active clients decreased by 17.2% to 7,857 compared to Q3 2023 [10]. Investment Products - The aggregate value of investment products distributed in Q3 2024 was RMB14.3 billion (US$2.0 billion), a 36.1% decrease from Q3 2023 [10][11]. - Distribution of overseas investment products increased by 11.4% to RMB7.8 billion (US$1.1 billion) [10]. Assets Under Management - Total assets under management as of September 30, 2024, were RMB150.1 billion (US$21.4 billion), a 2.5% decrease from June 30, 2024 [15][43]. - Mainland China assets under management were RMB110.6 billion (US$15.8 billion), while overseas assets were RMB39.5 billion (US$5.6 billion) [16]. Operational Updates - The company expanded its team of relationship managers to 146, a 89.6% increase year-over-year [20]. - A new office was opened in Japan to attract local Mandarin-speaking clients, with plans to explore other markets such as Canada and Europe [20].

Group 1 - Noah Holdings Ltd (NOAH) shares increased by 6.49% on October 2, reaching an intraday high of $14.07 before closing at $13.30, up from $12.49 [1] - The stock is currently 13.86% below its 52-week high of $15.44 and 86.27% above its 52-week low of $7.14 [1] - Trading volume was 566,960 shares, which is 247.3% of the average daily volume of 229,236 [1] Group 2 - The average one-year price target for Noah Holdings Ltd is $11.88, indicating a downside of 10.66% from the current price of $13.30 [2] - The average brokerage recommendation for Noah Holdings Ltd is 2.0, suggesting an "Outperform" status [2] - GuruFocus estimates the GF Value for Noah Holdings Ltd in one year to be $11.68, implying a downside of 12.18% from the current price [2]

Core Viewpoint - Noah Holdings Limited's Q2 2024 results were disappointing, missing consensus estimates, but the company has announced a new share buyback program that could enhance shareholder yield to a mid-teens percentage range [1][7]. Financial Performance - Noah Holdings reported Q2 2024 revenue of RMB 615.8 million and a net profit of RMB 99.8 million, which were -4% and -17% below consensus estimates of RMB 642.0 million and RMB 120.0 million, respectively [3]. - Year-over-year, the company's revenue and net income fell by -35% and -68%, respectively [3]. - Revenue from Mainland China and international operations dropped by -39% YoY and -29% YoY, amounting to RMB 337.2 million and RMB 278.6 million, respectively [3]. Business Challenges - The company has temporarily suspended the distribution of domestic insurance products due to concerns over the underlying asset quality of insurance firms in Mainland China [3]. - The slowdown in revenue from global insurance products is attributed to a competitive market environment [3]. - Management indicated that both domestic and international businesses are facing challenges from a shift away from riskier insurance offerings and increased competition [3]. Cost Management - Noah Holdings implemented cost control measures, including streamlining its branch network, resulting in a -19% decline in total operating expenses [4]. - Despite these measures, the decline in revenue led to a contraction in operating profit margin and net margin by -15.3 percentage points and -16.4 percentage points YoY, respectively [4]. Share Buyback Program - The company announced a two-year $50 million share buyback plan, which is expected to enhance return on equity (ROE) and capital allocation efficiency [5][6]. - Noah Holdings is currently trading at a low trailing price-to-book (P/B) multiple of 0.35 times, with a recent ROE of 10.3%, lower than its historical average of 14.2% [6]. - The potential annualized buyback yield could reach 5%, and adjusted forward dividend yields for FY 2024 and FY 2025 are estimated to be in the range of 9.0%-9.5% [6]. Conclusion - While Noah Holdings' Q2 2024 results were below expectations and a quick turnaround seems unlikely, the new share buyback program could provide an attractive shareholder yield in the mid-teens percentage range [7].

Financial Data and Key Metrics Changes - Total revenues for Q2 2024 were RMB 621 million, a decrease of 34.3% year-on-year and 5.1% sequentially, primarily due to a strategic decision to reduce the distribution of various products domestically [10][25][29] - For the first half of 2024, total revenues were RMB 1.3 billion, a decrease of 27.5% year-on-year, attributed to challenges from the ongoing transformation [25][28] - Operating profits for Q2 increased by 10.3% sequentially to RMB 134 million, with an operating margin of 21.8% [34] Business Line Data and Key Metrics Changes - Domestic public security segment generated RMB 118 million in revenue, a decrease of 20.8% year-on-year [11] - Domestic asset management segment generated total revenue of RMB 198 million, a decrease of 5.4% year-on-year [12] - Domestic insurance brokerage segment revenue was RMB 12 million, a 93.1% year-on-year decrease due to concerns over underlying asset quality [14] - International wealth management business saw revenues from online services increase by 221.9% year-on-year, reaching RMB 7 million [18] Market Data and Key Metrics Changes - Overseas AUA reached US$8.5 billion, a 7.4% year-on-year increase [16] - The number of overseas registered clients exceeded 16,700, an increase of 23% year-on-year [17] - Transaction value for US dollar private equity products reached US$152 million, a significant increase of 46.2% year-on-year [20] Company Strategy and Development Direction - The company is focusing on a clear separation between domestic and international business, optimizing its operating model and organizational structure [5][6] - New brands such as ARK Wealth Management and Olive Asset Management have been launched to enhance service offerings and expand market reach [7][8] - The strategic direction includes enhancing product competitiveness and expanding the global market, particularly targeting Mandarin-speaking high-net-worth clients [15][16] Management's Comments on Operating Environment and Future Outlook - Management acknowledges a challenging investment and regulatory environment but remains confident in the demand for RMB asset allocation from high-net-worth clients [9][10] - The company expects a slowdown in performance in the next few quarters due to external challenges and internal transformation, viewing this as a necessary phase for future growth [22][36] - Management emphasizes a commitment to client asset protection and compliance, prioritizing long-term sustainability [10][23] Other Important Information - The board has authorized a US$50 million share repurchase program, reflecting confidence in the company's valuation and commitment to shareholder returns [24][37] - The company maintains a healthy liquidity position with a current ratio of 3.0 times and zero interest-bearing debt [35] Q&A Session Summary Question: What is the driver behind the RMB 50 million loss from equity affiliates recorded in Q2? - The loss is related to co-investments in funds where valuation adjustments of underlying funds impacted equity pickups [39][40] Question: What is the expected duration of the transition period and the drivers for growth in overseas AUA? - Management expects the transition period to take time due to internal adjustments and market conditions, but sees strong growth potential in the high-net-worth individual market [39][41] Question: How is the company addressing challenges in the domestic insurance market? - The company has repositioned its insurance focus towards healthcare and retirement products, with early marketing efforts showing promising interest [42][43]

Financial Performance - Net revenues for Q1 2024 were RMB649.5 million (US$90.0 million), a 19.2% decrease year-over-year, primarily due to declines in performance-based income from USD private equity products and recurring service fees from RMB private equity products[2]. - Income from operations for Q1 2024 was RMB121.5 million (US$16.8 million), a 56.4% decrease from the same period in 2023, driven by a 19.2% drop in net revenues and a 55.6% increase in general and administrative expenses[5]. - Net income attributable to Noah shareholders for Q1 2024 was RMB131.5 million (US$18.2 million), a 46.2% decrease year-over-year, mainly due to the significant decline in income from operations[7]. - Non-GAAP net income attributable to Noah shareholders for Q1 2024 was RMB161.2 million (US$22.3 million), a 32.7% decrease from the same period in 2023[8]. - Net income for Q1 2024 was RMB131.9 million (US$18.3 million), a 45.8% decrease from the same period in 2023, with a net margin of 20.3% compared to 30.3% in Q1 2023[35]. - Comprehensive income attributable to Noah shareholders decreased by 18.3% from RMB 227,427,000 to RMB 185,755,000[57]. - The company reported a diluted earnings per ADS of RMB 1.88 for the three months ended March 31, 2024, down 46.4% from RMB 3.51 for the same period in 2023[68]. Client Metrics - Total number of registered clients as of March 31, 2024, was 457,705, reflecting a 3.9% increase from the previous year, with overseas registered clients increasing by 17.1%[9]. - The number of registered clients reached 457,705 as of March 31, 2024, reflecting the company's growing client base[47]. - The number of active clients decreased by 7.5% from 11,236 to 10,391 during the same period[59]. Revenue Sources - Net revenues from mainland China in Q1 2024 were RMB342.8 million (US$47.5 million), a 28.8% decrease year-over-year, primarily due to declines in recurring service fees[3]. - Net revenues from one-time commissions increased by 7.4% year-over-year to RMB186.4 million (US$25.8 million), driven by a 4.6% rise in insurance product distribution revenues[26]. - Revenues from the Wealth Management Business decreased from RMB 588,653 thousand to RMB 464,210 thousand, a decline of 21.2%[63]. - Net revenues for the three months ended March 31, 2024, were RMB 649,535 thousand, compared to RMB 803,473 thousand for the same period in 2023, reflecting a decrease of 19.1%[61]. - The aggregate value of investment products distributed in Q1 2024 was RMB18.9 billion (US$2.6 billion), a 12.4% increase from Q1 2023, largely due to a 26.4% rise in mutual fund product distribution[10]. - Revenue from mutual fund products increased by 26.4% from RMB 9,975 million to RMB 12,610 million[59]. Operational Changes - The company streamlined its coverage network in mainland China to 18 cities as of March 31, 2024, down from 68 cities a year earlier[15]. - The number of relationship managers decreased by 16.4% year-over-year to 1,109 as of March 31, 2024, indicating a strategic focus on central hub cities[16]. - Total operating costs and expenses for the three months ended March 31, 2024, were RMB 528,049 thousand, compared to RMB 524,590 thousand for the same period in 2023, showing a slight increase of 0.9%[63]. - Operating costs and expenses for Q1 2024 were RMB528.0 million (US$73.1 million), a 0.7% increase from Q1 2023[31]. - The operating margin for Q1 2024 was 18.7%, down from 34.7% in the same period last year[33]. Asset Management - Total assets under management as of March 31, 2024, were RMB153.3 billion (US$21.2 billion), remaining stable compared to RMB154.6 billion as of December 31, 2023[18]. - The company managed assets totaling RMB153.3 billion (US$21.2 billion) through Gopher Asset Management as of March 31, 2024[47]. Foreign Currency and Interest Income - The company reported a foreign currency translation adjustment of RMB 53,400,000 in Q1 2024, compared to a loss of RMB 16,834,000 in Q1 2023[57]. - Interest income increased by 34.3% from RMB 34,388,000 to RMB 46,185,000[55].

SHANGHAI, Aug. 28, 2024 /PRNewswire/ -- Noah Holdings Limited ("Noah" or the "Company") (NYSE: NOAH and HKEX: 6686), a leading and pioneer wealth management service provider offering comprehensive one-stop advisory services on global investment and asset allocation primarily for Mandarin-speaking high-net-worth investors, today announced its unaudited financial results for the second quarter of 2024.SECOND QUARTER 2024 FINANCIAL HIGHLIGHTS                                                                      ...

SHANGHAI, Aug. 28, 2024 /PRNewswire/ -- Noah Holdings Limited ("Noah" or the "Company") (NYSE: NOAH and HKEX: 6686), a leading and pioneer wealth management service provider offering comprehensive one-stop advisory services on global investment and asset allocation primarily for Mandarin-speaking high-net-worth investors, today announced that as part of its commitment to enhancing shareholder returns, the board of directors of the Company (the "Board") authorized a share repurchase program under which the C ...

SHANGHAI, Aug. 6, 2024 /PRNewswire/ -- Noah Holdings Limited ("Noah" or the "Company") (NYSE: NOAH and HKEX: 6686), a leading and pioneer wealth management service provider offering comprehensive one-stop advisory services on global investment and asset allocation primarily for Mandarin-speaking high-net-worth investors, rewarded shareholders with a record RMB1,018 million (approximately USD 140.1 million) dividend payout under its new capital management and shareholder return policy. The dividend payout wa ...

SHANGHAI, July 1, 2024 /PRNewswire/ -- Noah Holdings Limited ("Noah" or the "Company") (NYSE: NOAH and HKEX: 6686), a leading and pioneer wealth management service provider offering comprehensive one-stop advisory services on global investment and asset allocation primarily for Mandarin-speaking high-net-worth investors, today announced changes to its Board of Directors (the "Board").Noah has appointed Mr. David Zhang as an Independent Director (non-executive Director according to the Rules Governing the Li ...