Financial Performance - Total revenue for the first half of 2021 reached RMB 16,471 million, a 26.61% increase compared to RMB 13,009 million in the same period of 2020[36]. - Operating profit decreased by 3.60% to RMB 5,657 million from RMB 5,868 million year-on-year[36]. - Net profit attributable to shareholders was RMB 4,529 million, down 1.08% from RMB 4,578 million in the previous year[36]. - Total assets increased by 8.83% to RMB 404,024 million compared to RMB 371,228 million at the end of 2020[37]. - Total liabilities rose by 8.77% to RMB 329,751 million from RMB 303,157 million year-on-year[37]. - Basic and diluted earnings per share were both RMB 0.55, reflecting a decrease of 5.17% from RMB 0.58 in the same period last year[38]. - The weighted average return on equity decreased by 1.89 percentage points to 7.23% from 9.12% year-on-year[38]. - The net profit attributable to shareholders was RMB 4.53 billion, a decrease of 1.08% year-on-year[43]. - The company reported a total comprehensive income of RMB 4,511,444 thousand for the first half of 2021, slightly up from RMB 4,489,901 thousand in the same period of 2020[161]. - Net profit attributable to shareholders for the six months ended June 30, 2021, was RMB 4,529,126 thousand, a slight decrease from RMB 4,578,457 thousand in the same period of 2020, representing a decline of approximately 1.1%[195]. Capital Structure - The registered capital of the company increased to RMB 7,756,694,797 as of June 30, 2021, compared to RMB 7,646,385,238 at the end of the previous year[32]. - The net capital decreased to RMB 63,291,843,355.75 from RMB 65,034,974,819.98 year-over-year[32]. - The total number of shares outstanding is 7,756,694,797, including 6,495,671,035 A-shares and 1,261,023,762 H-shares[32]. - The company completed 39 equity financing projects with a total underwriting amount of RMB 400.07 billion, ranking second in the industry[41]. - The company reported a total of RMB 6,732,692,549.05 raised from H-share fundraising, with RMB 660,844.83 million utilized by June 30, 2021[99]. - The A-share initial public offering raised RMB 2,068,697,180.29, which was fully utilized by December 31, 2019[96]. - The non-public A-share issuance raised RMB 3,847,763,754.55, with a remaining balance of RMB 36,167.1 million as of June 30, 2021[97]. - The company issued a total of RMB 16 billion in subordinated bonds and RMB 50 billion in perpetual subordinated bonds in the first half of 2021, all aimed at supplementing working capital and repaying maturing debts[107]. Risk Management - The company has established a comprehensive risk management system, emphasizing "risk control first" and ensuring that business risks are measurable and controllable[108]. - The risk management committee under the board of directors oversees the overall risk management strategy and ensures risks are maintained within acceptable limits[109]. - The company has set up specialized departments for risk management, legal compliance, and internal auditing to independently perform risk control functions[110]. - The company has established a risk management mechanism that identifies key risks in business and management activities, continuously updating the risk catalog and control lists based on business changes and monitoring results[111]. - The company has implemented a risk monitoring process with indicators for brokerage, proprietary trading, securities finance, and asset management businesses, monitored through a control system[112]. - The company has developed a comprehensive risk assessment process, regularly evaluating risk control situations and incorporating results into performance assessments[112]. - The company has identified strategic, credit, liquidity, market, operational, IT, legal, compliance, and reputational risks, implementing policies and procedures to manage these risks effectively[113]. Shareholder Information - As of June 30, 2021, the total number of shareholders was 201,162, with 201,098 A-share shareholders and 64 H-share registered shareholders[134]. - Beijing Jinkong Group holds 2,684,309,017 A-shares, accounting for 34.61% of the total shares[136]. - Central Huijin holds 2,386,052,459 A-shares, representing 30.76% of the total shares[136]. - The total number of shares held by the top three shareholders (Beijing Jinkong Group, Central Huijin, and CITIC Securities) is 5,453,458,744, which is approximately 70.31% of the total shares[136]. - The company has a significant concentration of ownership, with the top two shareholders holding over 65% of the total shares[136]. Employee and Workforce - As of the reporting period, the total number of employees in the group is 10,273, with 9,256 in the parent company[150]. - The brokerage business accounts for 58.53% of the total workforce in the group, while investment banking represents 13.29%[151]. - The company emphasizes the importance of a skilled workforce for sustainable development and invests significantly in human resource management[151]. - The company provided over 1,000 internship positions for students and recruited 305 fresh graduates during the reporting period[155]. - The company maintained good relations with employees, with no significant labor disputes or strikes reported during the period[156]. Regulatory Compliance - The company has been rated A-class AA for twelve consecutive years in the classification evaluation by the China Securities Regulatory Commission, the highest rating awarded[130]. - The company adheres to the Hong Kong Listing Rules regarding securities transactions by directors and supervisors[147]. - The company continues to comply with the tax policies as per the regulations set by the State Administration of Taxation[92]. - The applicable corporate income tax rate for the company is 25%, while specific subsidiaries have rates of 15% and 16.5%[92]. Investment and Growth Strategy - The company plans to invest no more than RMB 2.5 billion to establish a wholly-owned asset management subsidiary[42]. - The company aims to enhance its service capabilities for banks, listed companies, and industrial clients, focusing on innovative debt financing tools and green bonds in the second half of 2021[53]. - The company plans to strengthen its M&A advisory services and cross-border M&A business in the second half of 2021, aiming to diversify its service capabilities[55]. - The company aims to deepen its investment layout and enhance asset portfolio balance to withstand market cycles and volatility[77]. - The company is focusing on collaboration with national-level mother funds and government platforms to enhance investment in sectors like AI and new energy vehicles[83].
中信建投证券(06066) - 2021 - 中期财报