PACIFIC SECURITIES(SH:601099)2019-04-26 16:00Financial Performance - The net profit attributable to the parent company for 2018 was -1,322,256,826.72 RMB, indicating a loss compared to the previous year[4]. - The company plans not to distribute cash dividends or issue bonus shares for 2018 due to negative distributable profits of -266,793,586.94 RMB[4]. - Total revenue for 2018 was CNY 392.52 million, a decrease of 69.96% compared to CNY 1.31 billion in 2017[33]. - Net profit attributable to shareholders of the parent company was a loss of CNY 1.32 billion, compared to a profit of CNY 116.28 million in 2017[33]. - The basic earnings per share (EPS) for 2018 was -0.194 CNY, a decrease from 0.017 CNY in 2017, representing a significant decline[35]. - The company reported a significant increase in revenue, reaching $1.5 billion, representing a 20% year-over-year growth[28]. - The company reported a significant increase in revenue, achieving a total of $1.5 billion, representing a 20% year-over-year growth[29]. - The company provided an optimistic outlook for the next quarter, projecting revenue growth of 15% to $1.725 billion[28]. - The company reported a significant loss in credit business due to a large reduction in stock pledge repurchase business[48]. - The company reported a net profit of CNY 1,680.89 million attributable to the parent company from Taizheng Capital[104]. Capital and Assets - The company's net capital at the end of the reporting period was 10,339,901,084.01 RMB, down from 13,864,191,955.08 RMB at the end of the previous year, reflecting a decrease of approximately 25%[12]. - Total assets decreased by 9.88% to CNY 42.40 billion from CNY 47.04 billion in 2017[34]. - The company's net assets decreased from 11.70 billion CNY at the end of 2017 to 10.27 billion CNY at the end of 2018, reflecting overall financial deterioration[36]. - The company's total assets amounted to RMB 42.397 billion, a decrease of 9.88% compared to the end of 2017[57]. - The company's financial assets measured at fair value increased by 30.54% to RMB 19.83 billion[58]. - The company's long-term equity investments increased by 150.29% to RMB 1.01 billion[59]. - The company's interest income rose by 47.72% to RMB 632.91 million[59]. - The company's total liabilities decreased by 9.06% to CNY 31.79 billion from CNY 34.96 billion in 2017[34]. Risk Management - The company faced significant risks related to macroeconomic conditions and capital market fluctuations, which could impact future performance[6]. - The company has outlined various risk factors, including credit risk, market risk, and operational risk, that could adversely affect its strategic goals[7]. - The risk coverage ratio dropped from 278.04% in the previous year to 186.54% in 2018, indicating a decline in risk management capacity[36]. - The liquidity coverage ratio decreased from 448.82% to 309.11%, indicating reduced liquidity resilience[36]. - The company has established a comprehensive risk management system involving the board of directors, management, and all employees to address various risks including liquidity, market, credit, and operational risks[131]. - The company emphasizes a prudent risk culture and regularly evaluates its risk management system to align with its strategic goals[137]. Business Operations - The company operates 88 securities business departments, with 33 located within Yunnan Province, making it the company with the most business outlets in that province[27]. - The company has expanded its business presence outside Yunnan, with 55 branches located in various provinces including Beijing, Shanghai, and Guangdong[27]. - The company is involved in securities brokerage, trading agency, underwriting, and financial advisory services[25]. - The company has established a governance structure that includes a shareholders' meeting, a board of directors, and a supervisory board[20]. - The company adjusted its internal organization in February 2019, merging the International Business Department and the Strategic Development Department[21]. Shareholder Information - The total number of ordinary shareholders as of the end of the reporting period was 363,612, down from 441,459 the previous month[193]. - Beijing Jiayu Investment Co., Ltd. holds 880,306,275 shares, accounting for 12.91% of the total share capital, making it the largest shareholder[199]. - The company has no controlling shareholder or actual controller, ensuring independence in operations and decision-making[199]. - The report indicates no changes in controlling shareholders during the reporting period[200]. Social Responsibility and Community Engagement - The company has been actively involved in social responsibility initiatives, including targeted poverty alleviation programs since 2007[176]. - The company has established a leadership group for poverty alleviation, ensuring the continuity of its efforts in this area[175]. - The company has invested CNY 800,000 to support rural teachers and impoverished high school students in Gongshan County, benefiting 50 teachers and 84 students[178]. - The company has implemented a "One Company, One County" pairing assistance program, investing CNY 104,800 in New Hua County and Sheqi County for various poverty alleviation activities[180]. - The company has been recognized with multiple awards for its poverty alleviation efforts, including the "Best Service to Impoverished Areas Green Bond Project Award" and "Best Precision Poverty Alleviation Project Award" at the 2018 China Securities and Futures Industry Poverty Alleviation Work Exchange Conference[185].