海通恒信(01905) - 2025 - 中期业绩

Company Profile Company Overview and Strategy Haitong UniTrust is a steadily developing large Chinese financial leasing company, a controlled subsidiary of Guotai Haitong Securities, committed to providing comprehensive financial services - The company is a large Chinese financial leasing company, a controlled subsidiary of Guotai Haitong Securities, listed on the Hong Kong Stock Exchange on June 3, 2019, and is China's first brokerage-backed financial leasing company[6][7] - Its operational philosophy is "cross-industry thinking, innovation-driven, internal skill optimization, external trend seizing," with a "large and small" client development strategy and long-term goals of "specialization, conglomeration, internationalization, and digitalization"[6] - Business covers advanced manufacturing, engineering construction, energy conservation and environmental protection, urban utilities, transportation and logistics, culture and tourism, and healthcare, with eight business departments at headquarters, 21 branches nationwide, and several subsidiaries in Hong Kong, Tianjin, and Shanghai[6][7] Company Information Board of Directors and Supervisory Committee Members The report lists the members of the company's Board of Directors (including executive, non-executive, and independent non-executive directors) and Supervisory Committee, noting Ms. Zhou Jianli's interim role as Chairperson - Ms. Zhou Jianli serves as an Executive Director and acts as Chairperson, a member of the Board's Risk Management Committee, Chairperson of the Board's Environmental, Social and Governance Committee, and legal representative[8] - The Board has Audit, Nomination, Remuneration and Appraisal, Risk Management, and Environmental, Social and Governance Committees[8] - Mr. Wu Xiangyang is the Chairman of the Supervisory Committee[8] Professional Advisors and Registration Information Discloses basic company information including legal advisors (Davis Polk & Wardwell, Jia Yuan Law Offices), auditor (Deloitte Touche Tohmatsu), H-share registrar, registered address, headquarters and principal place of business, company website, stock code, and listing date - Hong Kong legal advisor is Davis Polk & Wardwell, and Chinese legal advisor is Jia Yuan Law Offices[9] - The auditor is Deloitte Touche Tohmatsu[9] - The company's stock code is 1905, listed on June 3, 2019[9] Financial Summary Overview of Core Financial Data Outlines key financial indicators for the six months ended June 30, 2025, and as of June 30, 2025, including revenue, profit for the period, total assets, total equity, earnings per share, net assets per share, average yield on interest-earning assets, weighted average return on net assets, asset-liability ratio, non-performing asset ratio, net interest margin, and net interest yield Core Financial Data for the Six Months Ended and as of June 30, 2025 | Indicator | Six Months Ended June 30, 2025 (RMB million) | Six Months Ended June 30, 2024 (RMB million) | As of June 30, 2025 (RMB million) | As of December 31, 2024 (RMB million) | Change (YoY/HoH) | | :--- | :--- | :--- | :--- | :--- | :--- | | Total revenue and other income, gains | 3,520.8 | 4,028.5 | - | - | (12.6%) YoY | | Profit for the period | 784.9 | 812.2 | - | - | (3.4%) YoY | | Total assets | - | - | 111,131.4 | 111,296.8 | (0.1%) HoH | | Total equity | - | - | 20,372.9 | 19,983.0 | 2.0% HoH | | Basic earnings per share (RMB/share) | 0.09 | 0.09 | - | - | 0% YoY | | Net assets per share (RMB/share) | - | - | 2.17 | 2.12 | - | | Average yield on interest-earning assets | 5.96% | 6.69% | - | - | (0.73) ppts YoY | | Weighted average return on net assets | 8.15% | 8.55% | - | - | (0.40) ppts YoY | | Asset-liability ratio | - | - | 81.67% | 82.05% | (0.38) ppts HoH | | Non-performing asset ratio | - | - | 1.16% | 1.17% | (0.01) ppts HoH | | Net interest margin | 3.02% | 3.16% | - | - | (0.14) ppts YoY | | Net interest yield | 3.44% | 3.62% | - | - | (0.18) ppts YoY | Interim Condensed Consolidated Income Statement Details income, expenses, profit, and profitability indicators for the six months ended June 30, 2025, showing a 12.6% year-on-year decrease in total revenue and other income, and a 3.4% year-on-year decrease in profit for the period Key Data from Interim Condensed Consolidated Income Statement (Six Months Ended June 30) | Indicator | 2025 (RMB million) | 2024 (RMB million) | Change | | :--- | :--- | :--- | :--- | | Total revenue | 3,304.1 | 3,725.4 | (11.3%) | | Total revenue and other income, gains | 3,520.8 | 4,028.5 | (12.6%) | | Interest expense | (1,278.0) | (1,633.5) | (21.8%) | | Total expenses | (2,471.3) | (2,939.7) | (15.9%) | | Profit before income tax | 1,049.5 | 1,088.8 | (3.6%) | | Profit for the period | 784.9 | 812.2 | (3.4%) | | Return on average assets | 1.41% | 1.37% | - | | Weighted average return on net assets | 8.15% | 8.55% | - | | Cost-to-income ratio | 16.85% | 15.21% | - | | Net interest margin | 3.02% | 3.16% | - | | Net interest yield | 3.44% | 3.62% | - | Interim Condensed Consolidated Statement of Financial Position Provides an overview of assets, liabilities, and equity as of June 30, 2025, showing a slight 0.1% decrease in total assets, a 2.0% increase in total equity, and a 0.6% decrease in total liabilities Key Data from Interim Condensed Consolidated Statement of Financial Position (As of June 30, 2025) | Indicator | As of June 30, 2025 (RMB million) | As of December 31, 2024 (RMB million) | Change | | :--- | :--- | :--- | :--- | | Non-current assets | 58,601.6 | 58,109.9 | 0.8% | | Current assets | 52,529.8 | 53,186.9 | (1.2%) | | Total assets | 111,131.4 | 111,296.8 | (0.1%) | | Current liabilities | 51,269.7 | 53,133.4 | (3.5%) | | Non-current liabilities | 39,488.8 | 38,180.4 | 3.4% | | Total equity | 20,372.9 | 19,983.0 | 2.0% | | Net assets per share (RMB/share) | 2.17 | 2.12 | - | | Asset-liability ratio | 81.67% | 82.05% | - | | Non-performing asset ratio | 1.16% | 1.17% | - | | Non-performing asset provision coverage ratio | 310.49% | 316.17% | - | Explanation of Financial Indicators Details the calculation methods for various financial indicators used in the report, including return on average assets, weighted average return on net assets, cost-to-income ratio, net interest margin, net interest yield, asset-liability ratio, non-performing asset ratio, and non-performing asset provision coverage ratio - Explains the calculation methods for return on average assets, weighted average return on net assets, cost-to-income ratio, pre-provision profit margin, and net profit margin[16] - Clarifies the calculation methods for average yield on interest-earning assets, average interest rate on interest-bearing liabilities, net interest margin, and net interest yield[16] - Defines the calculation formulas for asset-liability ratio, debt-to-equity ratio, non-performing asset ratio, and non-performing asset provision coverage ratio[16] Chairman's Statement Macroeconomic Environment and Company Performance During the reporting period, the global economy faced challenges, while China's economy maintained steady growth and progressed towards high-quality development - Global geopolitical conflicts, trade protectionism, and financial market volatility intensified, while China's economy maintained steady growth and moved towards high-quality development[19] Company's Key Financial Performance in H1 2025 | Indicator | Amount (RMB million) | | :--- | :--- | | Total revenue and other income, gains | 3,520.8 | | Profit for the period | 784.9 | | Total assets | 111,131.4 | | Total equity | 20,372.9 | | Non-performing asset ratio | 1.16% | | Non-performing asset provision coverage ratio | 310.49% | - The company was awarded the Shanghai "2024 Huangpu Economic High-Quality Development Top 100 Award" and the "Green Efficiency Outstanding Action Institution Award"[21] Strategic Synergy and Business Transformation The company strengthened synergy with Guotai Haitong Securities, enhanced industrial research capabilities, deeply revitalized client resources, and deepened strategic collaboration between securities and leasing - Strengthened synergy with Guotai Haitong Securities, leveraging its "investment banking-investment-research" system to enhance industrial research and deeply revitalize client resources[21] - Actively participated in industry exchanges such as the Yangtze River Delta G60 Sci-Tech Innovation Corridor ESG Development Alliance and Lujiazui Forum, launched "Sci-Tech Lease" products, and signed cooperation agreements with Chinese and foreign banks[21] - Awarded the "Green Efficiency Outstanding Action Institution Award" and multiple "Green Efficiency Contribution Awards" by the Shanghai Green Finance Service Platform[21] Financing and Risk Management The company continuously expanded diversified financing channels, optimized debt structure, reduced financing costs, and successfully implemented multiple innovative financing projects - Expanded diversified financing channels, optimized debt structure, with an average interest rate on interest-bearing liabilities of 2.94%, a 0.59 percentage point decrease year-on-year[22] - Successfully launched the industry's first "ESG + Two Heavies and Two News" syndicated loan, signed environmental special syndicated loans with the New Development Bank and Bank of China, and issued green asset-backed plans and digital economy sci-tech bonds[22] - Received four "Golden Spring Awards" from the Leasing Industry Association, including the "Annual Best Innovative Financing Project Award"[22] - Continuously increased investment in financial technology, promoting intelligent pre-lease approval and AI-powered post-lease monitoring to enhance comprehensive management efficiency[22] - Proposed to distribute an interim dividend of RMB 0.42 per 10 shares for 2025, sharing development achievements with shareholders[23] Management Discussion and Analysis Operating Environment In the first half of 2025, global economic growth slowed, while China's economy maintained steady recovery amidst a complex external environment, with proactive macroeconomic policies - In H1 2025, global economic growth momentum slowed, China's GDP grew by 5.3% year-on-year, with industrial production and high-tech manufacturing growing by 6.4% and 9.5% respectively[25][26] - Macroeconomic policy maintained a "moderately loose" stance, with the over-5-year LPR lowered by 10 basis points to 3.5%, and the weighted average interest rate for new corporate loans from January to June was approximately 3.3%, a historical low[27] - The regulatory environment remained generally strict, with the National Financial Regulatory Administration issuing the "Measures for Compliance Management of Financial Institutions" and other regulations, focusing on business standardization and consumer rights protection[29] - The total number of financial leasing companies was approximately 7,020, a 4.5% decrease from the end of last year; contract balance was approximately RMB 5.424 trillion, a slight 0.7% decrease[30][32] Strategic emerging industries (new energy, new generation information technology, high-end equipment manufacturing, green environmental protection) brought new development opportunities[32] Development Review During the reporting period, the company adhered to Party building leadership, optimized asset structure, focused on national strategy and the real economy, and deepened its layout in industry sub-segments Party Building Leadership and Asset Structure Optimization The company adhered to Party building leadership, focused on serving national strategy and the real economy, deeply cultivated industry sub-segments around the "Five Key Financial Initiatives," actively adjusted business deployment, and optimized asset structure, particularly increasing investment in strategic emerging areas such as advanced manufacturing, green leasing, digital economy, and sci-tech leasing - In H1 2025, total revenue and other income, gains reached RMB 3,520.8 million, with profit for the period at RMB 784.9 million[34] - As of June 30, 2025, total assets were RMB 111,131.4 million, and total equity was RMB 20,372.9 million, a 2.0% increase from the end of last year[34] - Focused on the "Five Key Financial Initiatives," deepened the layout of strategic emerging and future industries, achieving further breakthroughs in cutting-edge scenarios such as hydrogen heavy trucks, hydrogen buses, and new energy mining trucks[35] H1 2025 Strategic Emerging Sector Business Deployment and Balance | Business Sector | New Deployment (RMB billion) | Year-on-Year Growth | Interest-Earning Asset Balance as of June 30, 2025 (RMB billion) | | :--- | :--- | :--- | :--- | | Advanced Manufacturing | 7.203 | 37.2% | 20.250 | | Green Leasing | 3.404 | - | 18.974 | | Digital Economy | 0.550 | - | 4.717 | | Sci-Tech Leasing | 2.606 | - | 6.808 | Resource Integration and Strategic Synergy After the change of indirect controlling shareholder to Guotai Haitong Securities, the company actively aligned with the new governance system, strengthened synergistic linkage with the parent company, and explored "investment banking + financial leasing" and "investment + financial leasing" collaboration schemes - Indirect controlling shareholder changed to Guotai Haitong Securities, actively aligning with its governance system and operational management requirements, strengthening the "investment banking-investment-research" system synergy[38] - Explored feasible "investment banking + financial leasing" and "investment + financial leasing" synergy schemes, forming a combined force in client resource sharing, joint marketing, and investment-financing integration[40] - Participated in the Yangtze River Delta G60 Sci-Tech Innovation Corridor ESG Development Alliance and was elected as a Vice Chairman unit, invited to the 2025 Lujiazui Forum, and launched "Sci-Tech Lease" products[41] - Awarded the "Green Efficiency Outstanding Action Institution Award" and multiple "Green Efficiency Contribution Awards" by the Shanghai Green Finance Service Platform[41] Financing Cost Optimization and Innovation The company continuously expanded diversified financing channels, optimized debt structure, and significantly reduced financing costs - As of June 30, 2025, established credit relationships with 64 financial institutions, cumulatively obtaining credit lines of approximately RMB 112.7 billion, of which unused credit lines were approximately RMB 58.6 billion[42] - In H1 2025, the average interest rate on interest-bearing liabilities was 2.94%, a 0.59 percentage point decrease from the same period last year, further reducing financing costs[43] - Successfully launched the industry's first "ESG + Two Heavies and Two News" syndicated loan, and signed environmental special syndicated loan agreements with the New Development Bank and Bank of China[44] - Successfully issued "Haitong UniTrust No. 30 Green Asset-Backed Special Plan" and "Haitong UniTrust Sci-Tech Innovation Corporate Bond (Digital Economy)"[44] - Received four "Golden Spring Awards" from the Leasing Industry Association, including "Annual Best Financial Leasing Industry Bond Originator Award" and "Annual Best Innovative Financing Project Award"[44] Comprehensive Risk Management and Compliance Governance The company adheres to a prudent and proactive risk management philosophy, continuously improving its comprehensive risk management system and enhancing full-process risk control capabilities - Adhered to a prudent, proactive, full-cycle, and full-process risk management philosophy, continuously promoting the improvement of the comprehensive risk management system[45] - As of June 30, 2025, the non-performing asset ratio was 1.16%, a 0.01 percentage point decrease from the end of last year, with a non-performing asset provision coverage ratio of 310.49%, maintaining stable asset quality[47] - Upholding the compliance philosophy of "all-staff compliance, compliance starts from management, compliance creates value, and compliance is the foundation of the company's survival," compliance management was strengthened through measures such as sound institutional systems, compliance reviews, assessments, and training[48] Financial Technology and ESG Management The company focuses on enhancing the digitalization and intelligence of its entire business process, building a unified client management system and business middle platform, and deploying large AI models to achieve intelligent pre-lease approval and AI-powered post-lease monitoring - Built a unified client management system, created business, financial, and operational middle platforms, deployed large AI models, and promoted intelligent pre-lease approval and AI-powered post-lease monitoring[49][50] - Actively fulfilled corporate social responsibility, organized public welfare activities such as "Youth Relay, Love Transmission," further enhancing the "Heng Chuxin" public welfare brand[51] - Operating its ESG management system stably under the sustainable development philosophy of "Enduring Mutual Trust, Converging for the Future," achieving a Wind ESG 2024 annual rating of A, positioning it at an industry-leading level[51] Business Outlook Looking ahead to the second half of 2025, the global economy still faces challenges, but emerging industries present development opportunities Promoting Industrial Transformation and Asset Structure Optimization The company will firmly adhere to the essence of leasing, implement the "large and small" client development strategy, focus on its core business and the "Five Key Financial Initiatives" - Firmly rooted in the essence of leasing, implementing the "large and small" client development strategy, focusing on core business, and continuously excelling in the "Five Key Financial Initiatives"[55] - Emphasizing the "financing of goods" attribute, increasing investment in vendor leasing, raising the proportion of direct leasing business, and assisting real enterprises in equipment renewal and revitalizing existing assets[55] - Seizing national opportunities for large-scale equipment renewal, further exploring the financial leasing demands of high-quality enterprises in advanced manufacturing, green energy, digital economy, and ecological environmental protection[56] Deepening Marketing Network Layout and Strategic Synergy The company will continue to deepen its "one body, two wings" marketing network layout, cultivate regional characteristic industries, and accelerate localized industrial deployment - Continued to uphold the principle of "serving local economy, serving real enterprises, serving regional characteristics," deepening the "one body, two wings" marketing network layout, and accelerating localized industrial deployment[57] - Business headquarters and divisions will continue to focus on their respective core industries, deeply grasp industry policies and market dynamics, and promote the batch replication of innovative businesses[57] - Small and micro subsidiaries will deeply cultivate industrial equipment, engineering equipment, healthcare, and consumer sectors, continuously iterating inclusive leasing products and expanding the national inclusive business network[59] - Hengyun subsidiary will deeply cultivate the transportation and logistics sector, seizing opportunities in the new energy vehicle track, deepening green energy layout around solar, storage, charging, and swapping scenarios, and perfecting the green travel industry ecosystem[59] Risk Control and Compliance Management The company will continuously optimize its comprehensive risk management system, enhancing its capabilities in risk identification, assessment, monitoring, and response - Continuously optimized risk management policies and processes, constantly enhancing the ability to accurately identify, prudently assess, dynamically monitor, and timely respond to risks[61] - Continuously enhanced risk prevention and mitigation capabilities by strengthening asset inspection and follow-up, and empowering asset management with technology[61] - Actively monitored changes in the regulatory environment, strictly implemented industry regulatory policies, continuously optimized the compliance management system, and enhanced the granularity of group-wide compliance control[61] Expansion of Financing Channels and Liquidity Management The company will continuously broaden financing channels, promote innovation in financing tools and models, and optimize credit conditions to effectively control financing costs - Continuously broadened financing channels, promoted innovation in financing tools and models, optimized credit conditions, enriched financing varieties, and achieved effective control of financing costs[62] - Strengthened proactive liquidity risk management capabilities, maintaining dynamic balance in asset-liability structure through stress tests, sensitivity analysis, and other tools, upholding the bottom line of no liquidity risk incidents[62] Financial Technology and Intelligent Development The company will maintain strategic investment in financial technology, accelerate the modularization of system construction, and deepen AI empowerment in business - Maintained strategic investment in financial technology construction, continuously accelerating system modularization and deepening AI empowerment in business, fully supporting high-quality business development through technology architecture upgrades and intelligent application implementation[63] - Continuously promoted modular construction of the business middle platform to support diversified business development; upgraded financial middle platform capabilities to deepen business-finance integration[63][64] - Further expanded AI application scenarios, focusing on building an "AI+" intelligent marketing system for institutional businesses, constructing an AI pre-approval system, and creating AI intelligent agents for automated asset monitoring, inspection, and early warning[64] Iteration of Talent Development System The company will continuously iterate its talent development system, building a high-quality, diversified talent team through a combination of recruitment and cultivation, innovation-driven approaches, systematic empowerment, and digital transformation - Adhered to a dual approach of recruitment and cultivation, building a high-quality, diversified talent pool through social recruitment and independent training, focusing on precise talent supply for key positions[65] - Maintained an innovation-driven approach, fostering a positive atmosphere for innovation and efficiency, establishing innovation collaboration mechanisms through "Innovation Talent Competitions"[65] - Accelerated digital transformation of human resources, promoting the deployment and construction of digital HR systems to provide strong support for strategic decision-making[66] - Continuously enhanced the competitive advantage of its compensation and benefits system and employee incentive system, attracting, retaining, and motivating top industry talent, and building reasonable and smooth career development channels[66] Analysis of Interim Condensed Consolidated Income Statement Provides a detailed analysis of the company's key financial indicators for the first half of 2025, including revenue, expenses, profit for the period, and net interest yield Income Statement Overview In the first half of 2025, the company's total revenue and other income, gains were RMB 3,520.8 million, and profit for the period was RMB 784.9 million H1 2025 Interim Condensed Consolidated Income Statement Overview | Indicator | 2025 (RMB million) | 2024 (RMB million) | Change | | :--- | :--- | :--- | :--- | | Total revenue | 3,304.1 | 3,725.4 | (11.3%) | | Total revenue and other income, gains | 3,520.8 | 4,028.5 | (12.6%) | | Interest expense | (1,278.0) | (1,633.5) | (21.8%) | | Total expenses | (2,471.3) | (2,939.7) | (15.9%) | | Profit for the period | 784.9 | 812.2 | (3.4%) | Total Revenue and Other Income, Gains In the first half of 2025, the company's total revenue and other income, gains were RMB 3,520.8 million, a 12.6% year-on-year decrease - In H1 2025, total revenue and other income, gains reached RMB 3,520.8 million, a 12.6% decrease from the same period last year[68] Composition and Change of Total Revenue (Six Months Ended June 30) | Business Type | 2025 (RMB million) | % of Total Revenue | 2024 (RMB million) | % of Total Revenue | Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Financial leasing business income | 2,811.3 | 85.1% | 3,294.1 | 88.5% | (14.7%) | | Operating lease income | 316.3 | 9.6% | 302.3 | 8.1% | 4.6% | | Service fee income | 176.5 | 5.3% | 127.6 | 3.4% | 38.3% | | Other interest income | 0.0 | 0.0% | 1.4 | 0.0% | (100.0%) | - The average yield in H1 2025 was 5.96%, a 0.73 percentage point decrease from 6.69% in the same period last year, mainly due to the moderately loose national macroeconomic policy, declining average market interest rates, and the company's optimized industrial layout, upgraded client tiers, and concessions to the real economy[82] - Operating lease income increased by 4.6% to RMB 316.3 million, primarily due to the continued recovery of the global aviation industry[86] - Service fee income increased by 38.3% to RMB 176.5 million, mainly from advanced manufacturing, engineering construction, energy conservation and environmental protection, transportation and logistics, culture and tourism, urban utilities, and healthcare sectors[88] Expense Analysis In the first half of 2025, the company's total expenses were RMB 2,471.3 million, a 15.9% year-on-year decrease, primarily benefiting from reduced interest expenses and expected credit losses Expense Details (Six Months Ended June 30) | Indicator | 2025 (RMB million) | 2024 (RMB million) | Change | | :--- | :--- | :--- | :--- | | Depreciation and amortization | 195.2 | 194.4 | 0.4% | | Staff costs | 382.1 | 400.2 | (4.5%) | | Interest expense | 1,278.0 | 1,633.5 | (21.8%) | | Other operating expenses | 158.7 | 154.4 | 2.8% | | Expected credit losses | 451.0 | 548.2 | (17.7%) | | Other impairment losses | 6.3 | 9.0 | (30.0%) | | Total expenses | 2,471.3 | 2,939.7 | (15.9%) | - Interest expense was RMB 1,278.0 million, a 21.8% decrease from the same period last year, mainly due to a slight reduction in the average scale of interest-bearing liabilities and lower new financing costs[94] - Expected credit losses were RMB 451.0 million, a 17.7% decrease from the same period last year, reflecting stable asset quality[96] Profit for the Period In the first half of 2025, the company's profit for the period was RMB 784.9 million, a 3.4% year-on-year decrease - Profit for the period in H1 2025 was RMB 784.9 million, a 3.4% decrease from RMB 812.2 million in the same period last year[97] - The decline in profit was mainly due to a decrease in total revenue and other income, gains, resulting from a reduction in the average balance of financial leasing receivables and average yield, but partially offset by cost reduction and efficiency improvement, optimized debt structure, lower financing costs, and expense control[97] Net Interest Yield and Net Interest Margin on Interest-Earning Assets In the first half of 2025, the company's net interest margin and net interest yield were 3.02% and 3.44% respectively, decreasing by 0.14 and 0.18 percentage points year-on-year Net Interest Margin and Net Interest Yield (Six Months Ended June 30) | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Net interest margin | 3.02% | 3.16% | | Net interest yield | 3.44% | 3.62% | - The decline in net interest margin and net interest yield was mainly due to the overall downward trend in market interest rates, intense competition for high-quality assets, the company's continuous optimization of asset allocation, upgrading of client tiers, and concessions to the real economy, resulting in a slight decrease in profitability[102] Analysis of Interim Condensed Consolidated Statement of Financial Position Provides a detailed analysis of the company's asset, liability, and equity composition and changes as of June 30, 2025 Statement of Financial Position Overview As of June 30, 2025, the company's total assets were RMB 111,131.4 million, largely stable compared to the end of last year H1 2025 Interim Condensed Consolidated Statement of Financial Position Overview | Indicator | As of June 30, 2025 (RMB million) | As of December 31, 2024 (RMB million) | Change | | :--- | :--- | :--- | :--- | | Total non-current assets | 58,601.6 | 58,109.9 | 0.8% | | Total current assets | 52,529.8 | 53,186.9 | (1.2%) | | Total assets | 111,131.4 | 111,296.8 | (0.1%) | | Total current liabilities | 51,269.7 | 53,133.4 | (3.5%) | | Total non-current liabilities | 39,488.8 | 38,180.4 | 3.4% | | Total equity | 20,372.9 | 19,983.0 | 2.0% | Asset Analysis As of June 30, 2025, the company's total assets remained stable - As of June 30, 2025, total assets were RMB 111,131.4 million, largely stable compared to the end of last year, indicating a robust asset scale[107] - The book value of financial leasing receivables was RMB 91,004.7 million, a slight increase from RMB 90,692.7 million at the end of last year[108] Interest-Earning Asset Balance by Industry (As of June 30, 2025) | Industry | Balance (RMB million) | % of Total | Change from Year-End | | :--- | :--- | :--- | :--- | | Advanced Manufacturing | 20,250.2 | 21.5% | 2.0% Growth | | Engineering Construction | 19,736.4 | 20.9% | 1.8% Growth | | Energy & Environmental Protection | 17,803.4 | 18.9% | 4.4% Growth | | Urban Utilities | 11,741.8 | 12.4% | (1.5%) Decline | | Transportation & Logistics | 11,050.6 | 11.7% | 1.5% Growth | | Culture & Tourism | 7,626.8 | 8.1% | (1.1%) Decline | | Healthcare | 5,247.8 | 5.6% | (17.0%) Decline | - The balance of financial leasing receivables from large and medium-sized clients increased from the end of last year, accounting for 91.0%, as the company continuously optimized asset allocation and upgraded client tiers[126] - The book value of property and equipment was RMB 6,727.0 million, a 2.8% decrease from the end of last year, primarily due to depreciation and amortization of property and equipment recognized during the period[129] - The book value of cash and bank balances was RMB 7,332.0 million, a 2.0% decrease from the end of last year, mainly due to dynamic adjustments made by the Group in consideration of future operational needs and liquidity safety assurance[133] Liability Analysis As of June 30, 2025, the company's total liabilities were RMB 90,758.5 million, a slight 0.6% decrease from the end of last year - As of June 30, 2025, total liabilities were RMB 90,758.5 million, a slight 0.6% decrease from RMB 91,313.8 million at the end of last year[134] - Loan balance was RMB 40,472.9 million, largely stable compared to the end of last year, with current loans accounting for 56.1% of total loans, indicating a stable financing strategy and reasonable debt structure[136][137] - Bond payable balance was RMB 40,549.2 million, largely stable compared to the end of last year, with current bonds payable accounting for 58.3%[138][139] - Other liabilities totaled RMB 9,287.6 million, a 4.4% decrease from the end of last year, mainly due to a reduction in client deposits and notes payable[140] Equity Analysis As of June 30, 2025, the company's total equity was RMB 20,372.9 million, a 2.0% increase from the end of last year, primarily benefiting from the increase in profit for the period, partially offset by dividend distribution - As of June 30, 2025, total equity was RMB 20,372.9 million, a 2.0% increase from RMB 19,983.0 million at the end of last year[141] - The increase in equity was mainly due to the Group's profit for the period in H1 2025 increasing total equity, partially offset by dividend distribution reducing total equity[141] Analysis of Interim Condensed Consolidated Cash Flow Statement In the first half of 2025, the company reported a net cash inflow from operating activities of RMB 999.7 million, a net cash outflow from investing activities of RMB 47.8 million, and a net cash outflow from financing activities of RMB 1,025.9 million Cash Flow Overview (Six Months Ended June 30) | Activity Type | 2025 (RMB million) | 2024 (RMB million) | | :--- | :--- | :--- | | Net cash generated from/(used in) operating activities | 999.7 | 10,525.3 | | Net cash generated from/(used in) investing activities | (47.8) | 735.0 | | Net cash generated from/(used in) financing activities | (1,025.9) | (11,796.3) | | Net decrease in cash and cash equivalents | (74.0) | (536.0) | - Net cash inflow from operating activities was RMB 999.7 million, primarily due to the gradual recovery of lease payments from earlier business deployments, where recovered lease payments exceeded cash outflows for business deployments[143] - Net cash outflow from investing activities was RMB 47.8 million, mainly reflecting the acquisition of financial assets, property, and equipment, partially offset by proceeds from the disposal of financial assets[144] - Net cash outflow from financing activities was RMB 1,025.9 million, mainly reflecting the repayment of loans, bonds, and interest, partially offset by proceeds from new loans and bond issuances[144] Capital Management The company manages capital by optimizing its debt and shareholder equity structure to ensure continuous operation and maximize shareholder returns - The company manages capital by optimizing its debt and shareholder equity structure to ensure the Group's subsidiaries can continue operations and maximize shareholder returns[145] - As of June 30, 2025, the ratio of the Group's total risk assets to net assets did not violate the provisions of relevant laws and regulations[145] Capital Expenditure In the first half of 2025, the company's capital expenditure was RMB 7.6 million, primarily for the acquisition of property and equipment, and intangible assets - In H1 2025, the Group's capital expenditure was RMB 7.6 million, mainly due to the acquisition of property and equipment, intangible assets, and other items[146] Risk Management The company adheres to a prudent risk management philosophy, establishing a comprehensive risk management system covering credit risk, compliance risk, liquidity risk, interest rate risk, exchange rate risk, operational risk, and reputational risk Credit Risk Credit risk is the primary risk faced by the company - Credit risk is the most significant risk type faced by the Group in its business operations, and asset structure optimization is promoted by focusing on key industries, key clients, and key regions for reasonable asset allocation[149][150][151] - Optimized the credit review guidance system, adhering to a "industry + client + leased asset" three-dimensional evaluation system, strengthened the introduction of direct leasing business, and designed product guidelines for new types of business[152] - Continuously strengthened post-lease management through IoT device monitoring, public opinion monitoring, and post-lease inspections, enhancing proactive risk management capabilities for "early identification, early warning, early exposure, and early disposal"[154] Five-Tier Classification Details of Interest-Earning Assets (As of June 30, 2025) | Classification | Amount (RMB million) | % of Total | | :--- | :--- | :--- | | Normal | 91,113.9 | 96.52% | | Watch | 2,193.0 | 2.32% | | Substandard | 442.8 | 0.47% | | Doubtful | 641.9 | 0.68% | | Loss | 8.8 | 0.01% | | Total | 94,400.4 | 100.00% | - As of June 30, 2025, the non-performing asset ratio was 1.16%, a 0.01 percentage point decrease from the end of 2024, achieving a dual decline in both non-performing asset balance and ratio[163][164] The non-performing asset provision coverage ratio was 310.49%[164] - As of June 30, 2025, the balance of technology finance assets was RMB 6.808 billion, green finance assets RMB 18.974 billion, inclusive finance assets RMB 10.996 billion, and digital finance assets RMB 4.717 billion[166] - As of June 30, 2025, the top three interest-earning asset segments by scale were advanced manufacturing, engineering construction, and energy conservation and environmental protection, collectively accounting for 61.3%, an increase of 1.5 percentage points from the end of last year[167] Compliance Risk Compliance risk refers to the risk of potential losses due to failure to comply with laws, regulations, and regulatory requirements - In H1 2025, the Group continuously optimized its compliance management system, revising and issuing the "Compliance Manual," "Measures for the Management of Non-Performing Asset Liability Determination," and "Measures for the Management of Integrity in Practice"[173] - Organized the construction of compliance management systems for subsidiaries and completed the appointment of the first batch of part-time compliance personnel in key units, contributing to the deeper implementation of the three lines of defense for compliance management[173] Liquidity Risk Liquidity risk refers to the risk of being unable to obtain sufficient funds in a timely manner - For medium-to-long-term liquidity risk, implemented asset-liability structure management, liability maturity structure management, and credit line management, while emphasizing cooperation with various financial institutions to maintain multi-market, multi-channel financing reserves[178] - For intraday liquidity risk, implemented daily monitoring of fund outflows and inflows, prudently managed internal liquidity reserves, and established a liquidity risk control indicator system and emergency plans[178][179] - In H1 2025, the Group's liquidity situation was good, and its liquidity risk management capabilities continuously improved[179] Interest Rate Risk Interest rate risk refers to the risk of impaired earnings due to unfavorable changes in interest rates - Calculated interest rate sensitivity gaps using interest rate sensitivity analysis and managed asset-liability structure in a coordinated manner to reasonably control interest rate sensitivity gaps[180] - The Group's business contracts with clients and loan agreements with borrowing banks are primarily denominated in RMB and use LPR as the floating interest rate benchmark, making overall interest rate repricing risk controllable[180] - The Group uses interest rate swaps to hedge interest rate risk; as of June 30, 2025, the notional amount of interest rate swaps was RMB 1,172.7 million[180] Exchange Rate Risk Exchange rate risk primarily arises from currency mismatches in assets and liabilities - The primary source of exchange rate risk is currency mismatches in assets and liabilities, mainly affected by fluctuations in the RMB exchange rate against the USD, HKD, or JPY[181] - Adhered to the principle of risk neutrality, identifying and measuring the impact of exchange rate changes on operations through exchange rate sensitivity analysis, matching assets and liabilities denominated in different currencies, and locking in exchange rate risk through foreign exchange derivatives[181] - As of June 30, 2025, the notional amount of the Group's forward foreign exchange contracts was RMB 128.5 million[183] Operational Risk Operational risk refers to the risk of losses due to inadequate or failed internal processes, personnel, and systems, or external events - Optimized departmental operational risk identification, assessment, measurement, monitoring, response, and reporting procedures by reviewing and systematically enhancing various policies and processes[184] - Continuously improved relevant information systems to enhance overall operational risk management; strengthened training and assessment for operational risk management to raise all employees' proactive management awareness and risk responsibility[184] - In H1 2025, the Group's operational risk situation was good, with no major operational risk incidents[184] Reputational Risk Reputational risk refers to the risk of negative public perception from stakeholders due to the company's operations, management, other actions, or external events - Formulated relevant management policies, clarifying the identification, monitoring, assessment, reporting, and handling mechanisms for major reputational risk incidents[185] - Assigned dedicated personnel responsible for managing media-related affairs and utilized big data and public opinion monitoring systems to closely monitor and properly handle reputational incidents[185] - In H1 2025, the Group's overall public opinion environment was healthy, with no major reputational risk incidents[185] Human Resources As of June 30, 2025, the company had 1,476 full-time employees, with 93.6% holding a bachelor's degree or higher - As of June 30, 2025, the Group had 1,476 full-time employees, with approximately 93.6% holding a bachelor's degree or higher[186] - Established a three-in-one training management system covering training policies, resources, and operations, conducting 138 training programs with 14,170 employee participations[187] - During the reporting period, the Group's staff costs were RMB 382.1 million, a 4.5% decrease from the same period last year[188] - Committed to establishing a competitive and fair compensation and benefits system, and complying with China's statutory social insurance and housing provident fund responsibilities[188] Asset Pledges As of June 30, 2025, certain financial leasing receivables, receivables from sale-and-leaseback arrangements, and property and equipment were pledged or mortgaged by the company to secure borrowings Asset Pledges as of June 30, 2025 | Type of Pledged Asset | Book Value (RMB million) | Purpose | | :--- | :--- | :--- | | Financial leasing receivables | 284.3 | To obtain borrowings | | Receivables from sale-and-leaseback arrangements | 35.6 | To obtain borrowings | | Property and equipment | 5,590.8 | To obtain bank borrowings | | Equity of certain subsidiaries | - | To obtain bank borrowings | Contingent Liabilities As of June 30, 2025, the company had no contingent liabilities - As of June 30, 2025, the Group had no contingent liabilities[190] Events After the Reporting Period Prior to the report's disclosure, Mr. Zhao Jianxiang resigned as Chairman and was detained by supervisory authorities, but the Board believes this matter has no material adverse impact on the Group's financial position, business, or operations - Mr. Zhao Jianxiang resigned from his positions as Executive Director, Chairman, member of the Board's Risk Management Committee, and member and chairman of the Board's Environmental, Social and Governance Committee on August 20, 2025, and was subsequently detained by supervisory authorities[191] - The Board believes that Mr. Zhao's resignation and the aforementioned matters have no material adverse impact on the Group's current financial position, business, or operations[191] Other Information Corporate Governance Practices The company is committed to maintaining high standards of corporate governance, has adopted a corporate governance code, complied with all its provisions during the reporting period, and will continue to improve - The company is committed to maintaining high standards of corporate governance and has adopted a corporate governance code as its own corporate governance practice[194] - During the reporting period, the company has consistently complied with all code provisions contained in the corporate governance code and will continue to improve its corporate governance practices in accordance with business activities and growth needs[195] Standard Code for Securities Transactions by Directors and Supervisors The company has adopted a code of conduct no less stringent than the standard set out in Appendix C3 of the Hong Kong Listing Rules, and all directors and supervisors confirmed compliance with this code during the reporting period - The company has adopted a code of conduct for securities transactions by directors and supervisors that is no less stringent than the standard stipulated in Appendix C3 of the Hong Kong Listing Rules, "Model Code for Securities Transactions by Directors of Listed Issuers"[196] - Following specific inquiries made to all directors and supervisors, the company's directors and supervisors have confirmed compliance with the aforementioned code during the reporting period[196] Interim Dividend The Board approved the 2025 interim profit distribution plan, proposing to distribute an interim cash dividend of RMB 0.42 per 10 shares (tax inclusive) to all ordinary shareholders, totaling RMB 345.88 million - Proposed to distribute an interim cash dividend for the six months ended June 30, 2025, to all ordinary shareholders, based on 8.2353 billion shares, at RMB 0.42 per 10 shares (tax inclusive), with a total dividend payout of RMB 345.88 million (tax inclusive)[197] - H-share shareholders have the right to choose to receive all dividends in RMB; otherwise, their H-share dividends will be paid in HKD[197] - To determine shareholders' entitlement to the 2025 interim dividend, the company will suspend share transfer registration from September 13, 2025, to September 18, 2025[198] - Foreign individual H-share shareholders are temporarily exempt from Chinese individual income tax; Chinese resident enterprises distributing dividends to overseas H-share non-resident enterprise shareholders will uniformly withhold and pay enterprise income tax at a 10% rate[199] - For Shenzhen-Hong Kong Stock Connect mainland individual investors receiving dividends from H-shares, H-share companies should withhold individual income tax at a 20% rate; mainland resident enterprises holding H-shares continuously for 12 months or more are legally exempt from enterprise income tax on dividend income[200][203] Audit Committee The Audit Committee comprises three directors, with Mr. Zeng Qingsheng as Chairman, and has adopted terms of reference consistent with the Corporate Governance Code - The Audit Committee consists of three directors, including two independent non-executive directors, Mr. Zeng Qingsheng and Mr. Yan Lixin, and one non-executive director, Mr. Zhang Shaohua, with Mr. Zeng Qingsheng serving as Chairman[204] - The Audit Committee has reviewed and approved the Group's interim results and interim report for the six months ended June 30, 2025[204] Changes in Information of Directors, Supervisors, and Senior Management The report discloses changes in the positions of some non-executive directors and senior management in April and July 2025, as well as the resignation of former Chairman Mr. Zhao Jianxiang in August - In April 2025, the positions of Mr. Zhang Xinjun, Mr. Wu Shukuan, Mr. Zhang Shaohua, and Mr. Wu Xiangyang changed, primarily involving internal position adjustments within Guotai Haitong Securities[205][206][207] - In July 2025, Mr. Yao Jun was appointed as the company's Chief Audit Officer (Assistant General Manager level)[208] - In August 2025, Mr. Zhao Jianxiang ceased to serve as the company's Executive Director, Chairman, member of the Board's Risk Management Committee, and member and chairman of the Board's Environmental, Social and Governance Committee[208] Purchase, Sale, or Redemption of Listed Securities During the reporting period, neither the company nor its subsidiaries purchased, sold, or redeemed any of the company's listed securities, nor did they hold any treasury shares - During the reporting period, neither the company nor its subsidiaries purchased, sold, or redeemed any of the company's listed securities[209] - As of June 30, 2025, the company did not hold any treasury shares[209] Share Schemes As of the date of this interim report, the company has not adopted any share schemes under Chapter 17 of the Listing Rules - As of the date of this interim report, the company has not adopted any share schemes under Chapter 17 of the Listing Rules[210] Interests and Short Positions of Directors, Supervisors, and Chief Executive in Shares, Underlying Shares, and Debentures As of June 30, 2025, no director, supervisor, or chief executive of the company held any interests or short positions in the shares, underlying shares, or debentures of the company or its associated corporations that are required to be disclosed under Divisions 7 and 8 of Part XV of the Securities and Futures Ordinance - As of June 30, 2025, no director, supervisor, or chief executive of the company held any interests or short positions in the shares, underlying shares, or debentures of the company or its associated corporations that are required to be disclosed to the company and the Hong Kong Stock Exchange under Divisions 7 and 8 of Part XV of the Securities and Futures Ordinance[211] Interests and Short Positions of Substantial Shareholders in Shares and Underlying Shares As of June 30, 2025, Guotai Haitong Securities, as the indirect controlling shareholder, held a majority interest in the company's H-shares and domestic shares, totaling 85.00% of the total issued shares Substantial Shareholder Shareholding (As of June 30, 2025) | Shareholder Name | Share Class | Capacity/Nature of Interest | Total Number of Shares Held | % of Total Issued Shares of the Company | | :--- | :--- | :--- | :--- | :--- | | Guotai Haitong Securities | H-shares | Interest in controlled corporation | 4,559,153,176 | 55.36% | | Guotai Haitong Securities | Domestic shares | Interest in controlled corporation | 2,440,846,824 | 29.64% | | Haitong UniTrust Financial | H-shares | Beneficial owner | 4,559,153,176 | 55.36% | | Haitong Innovation Securities Investment Co., Ltd. | Domestic shares | Beneficial owner | 2,440,846,824 | 29.64% | - As of June 30, 2025, the company had no controlling shareholder share pledge matters requiring disclosure under Rule 13.21 of the Hong Kong Listing Rules[215] Loan Agreements During the reporting period, the company signed loan agreements with specific banks totaling RMB 239 million, which included a clause requiring the Group to ensure that Guotai Haitong Securities maintains its controlling shareholder status in the Group - During the reporting period, the company signed loan agreements with specific banks, of which loans totaling RMB 239 million included a clause requiring the Group to ensure that Guotai Haitong Securities maintains its controlling shareholder status in the Group[217] Material Legal, Litigation, and Arbitration Matters During the reporting period, the company had no material outstanding litigation or arbitration cases that would constitute a significant impact on the Group's operations - During the reporting period, there were no material outstanding litigation or arbitration cases that would constitute a significant impact on the Group's operations[218] Material Investments Held, Material Acquisitions, Disposals, and Mergers During the reporting period, neither the company nor its subsidiaries held any material investments, material acquisitions, or disposals - During the reporting period, neither the company nor its subsidiaries held any material investments, material acquisitions, or disposals[219] Future Material Investments or Acquisitions of Capital Assets As of the date of this report, neither the company nor its subsidiaries have any plans for future material investments or acquisitions of capital assets - Except as disclosed in this report, as of the date of this report, neither the company nor its subsidiaries have any plans for future material investments or acquisitions of capital assets[220] Miscellaneous As of June 30, 2025, the company had no loan matters requiring disclosure under Rule 13.20 of the Hong Kong Listing Rules, nor any matters concerning financial assistance or guarantees to affiliated companies requiring disclosure under Rule 13.22 - As of June 30, 2025, the company had no loan matters requiring disclosure under Rule 13.20 of the Hong Kong Listing Rules[221] - As of June 30, 2025, the company had no matters concerning financial assistance or guarantees to affiliated companies requiring disclosure under Rule 13.22 of the Hong Kong Listing Rules[222] Definitions Definitions of Key Terms Provides definitions for key terms and abbreviations used in the report, including company names, committee names, share types, regulatory bodies, currency units, and information related to the merger and reorganization of Guotai Haitong Securities - Provides definitions for corporate governance-related terms such as "Audit Committee," "Board of Directors," "Controlling Shareholder," and "Corporate Governance Code"[223] - Explains share and currency types such as "Domestic Shares," "H-shares," "RMB," "HKD," and "USD"[223][224][225] - Describes the background of Guotai Haitong Securities' merger and reorganization and its status as the company's indirect controlling shareholder[223] Technical Glossary Definitions of Technical Terms Provides definitions for technical terms used in the report, including "14th Five-Year Plan," "AI+," "Dual Carbon," "Five Key Initiatives," "LPR," "Made in China 2025," "Specialized, Refined, Unique, and New," "Non-Performing Assets," and "Two Heavies and Two News" - Defines macroeconomic policy and technical terms such as "14th Five-Year Plan," "AI+," "Data Center," and "Dual Carbon"[226] - Explains the connotations of the "Five Key Initiatives" (Technology Finance, Green Finance, Inclusive Finance, Elderly Care Finance, and Digital Finance)[226] - Clarifies economic and industry-related terms such as "LPR," "Made in China 2025," "Specialized, Refined, Unique, and New," "Non-Performing Assets," and "Two Heavies and Two News"[226][228] Review Report on Interim Condensed Consolidated Financial Statements Review Conclusion Deloitte Touche Tohmatsu reviewed Haitong UniTrust's interim condensed consolidated financial statements for the six months ended June 30, 2025, concluding that the financial statements were prepared in all material respects in accordance with International Accounting Standard 34, with no material matters identified - Deloitte Touche Tohmatsu has reviewed the interim condensed consolidated financial statements of Haitong UniTrust and its subsidiaries for the six months ended June 30, 2025[229] - The scope of the review is substantially less than that of an audit conducted in accordance with International Standards on Auditing, and therefore no audit opinion is expressed[230] - Based on the review, nothing has come to the reviewer's attention that causes them to believe the interim condensed consolidated financial statements are not prepared in all material respects in accordance with International Accounting Standard 34[231]