Founder Securities(SH:601901)2017-08-24 16:00Capital and Financial Position - The registered capital of Founder Securities remains at CNY 8,232,101,395.00 as of June 30, 2017, unchanged from the previous year[15]. - The net capital increased to CNY 22,548,558,759.14, up from CNY 21,859,254,511.38 at the end of 2016, representing a growth of approximately 3.15%[15]. - Total assets as of June 30, 2017, were CNY 150,098,521,343.21, a decline of 1.47% from CNY 152,338,730,246.04 at the end of 2016[31]. - The total liabilities decreased by 2.79% to CNY 112,904,118,433.08 from CNY 116,141,885,796.65 at the end of 2016[31]. - The company's equity increased by 2.41% to CNY 35,644,642,390.40 from CNY 34,806,331,252.79[35]. - The liquidity coverage ratio was 291.08%, down from 319.77% at the end of 2016[29]. - The company's net capital was 22.55 billion RMB, with a net capital to liability ratio of 39.48%[82]. Revenue and Profitability - Revenue for the first half of 2017 was CNY 2,968,175,041.05, a decrease of 33.86% compared to CNY 4,487,622,273.03 in the same period last year[27]. - Net profit attributable to shareholders was CNY 824,194,520.23, down 61.71% from CNY 2,152,250,085.97 year-on-year[27]. - Basic earnings per share decreased by 61.54% to CNY 0.10 from CNY 0.26 in the previous year[28]. - The net profit for the first half of 2017 was CNY 653,639,337.13, a decrease of 64.22% compared to CNY 1,826,994,191.20 in the same period of 2016[36]. - Total revenue for the first half of 2017 was CNY 1,902,361,563.37, down 39.55% from CNY 3,147,244,052.63 in the first half of 2016[35]. - Operating profit decreased by 60.39% to CNY 821,626,686.85 from CNY 2,074,033,962.33 year-on-year[36]. - The company's net profit margin was significantly impacted by a 48.55% decline in investment income, which fell to CNY 1,149,731,934.26 from CNY 2,234,482,001.47 year-on-year[31]. Business Operations and Strategy - The company holds various business qualifications, including securities brokerage and asset management, enhancing its operational capabilities[18]. - Founder Securities is a member of both the Shanghai and Shenzhen Stock Exchanges, which supports its trading activities[20]. - The company is focused on expanding its comprehensive financial services, including securities brokerage, asset management, and investment banking[40]. - The company has established 10 regional branches and 296 securities business departments across 28 provinces and cities in China[40]. - The company plans to enhance its wealth management services and diversify income sources through a comprehensive service model[45]. Risk Management and Compliance - The company emphasizes the importance of risk awareness regarding forward-looking statements due to inherent uncertainties[6]. - The company has maintained its compliance with regulatory requirements, ensuring no violations in decision-making processes for external guarantees[7]. - The company is classified as a C-level entity by the China Securities Regulatory Commission, indicating a need for improvement in regulatory compliance[196]. - The company has established a comprehensive liquidity risk management system to ensure sufficient funds to meet obligations[95]. - The company has established a risk limit system, including scale limits and stop-loss limits, to manage market risks effectively[96]. Legal and Regulatory Issues - The company is involved in multiple significant lawsuits, including a contract dispute with Dongying Zhongtuo Investment Co., amounting to 13,016,711.05 RMB[110]. - The company has a debt claim of 80,000,000 RMB against Sichuan Shengda Group Co., Ltd. related to a contract dispute[111]. - The company has a debt claim of 140,717,612 RMB against Agricultural Bank of China, Liaoning Branch, also related to a contract dispute[111]. - The company was fined 600,000 CNY by the China Securities Regulatory Commission for failing to disclose related party transactions[121]. - The company is currently involved in multiple legal disputes, including a case with Liu Dongcheng regarding forced liquidation of assets valued at 6,491,073 CNY[119]. Social Responsibility and Community Engagement - The company has signed poverty alleviation cooperation agreements with 11 national-level poverty-stricken counties across 9 provinces, enhancing its commitment to financial poverty alleviation[131]. - The company has committed to training local officials and business managers in capital market knowledge and financial securities[129]. - The company has engaged in a "insurance + futures" poverty alleviation project in Yunnan Province, which has been selected as a pilot project by the Shanghai Futures Exchange[131]. - The company has raised 328,000 RMB for educational assistance, supporting 164 underprivileged students[135]. - The company has helped 19,000 registered poor individuals to escape poverty through various initiatives[138]. Shareholder and Corporate Governance - The company’s total number of shareholders reached 208,477 by the end of the reporting period[154]. - The company is in the process of selecting new directors and independent directors due to resignations, including independent director Hu Tinghua and director Che Lili[164][165]. - The company is preparing for a shareholders' meeting to elect new directors and supervisors following the resignation of several board members[167][168]. - The company has not reported any major accounting errors that require retrospective restatement during the reporting period[144]. - The company has not experienced any overdue debt issues during the reporting period[186].