Zheshang Securities(SH:601878)2019-03-17 16:00Financial Performance - The company reported a total revenue of 1.5 billion RMB for the fiscal year 2018, representing a year-over-year growth of 12%[51]. - The company reported a net profit attributable to shareholders of RMB 736,957,357.88 for 2018[170]. - The company's operating revenue for 2018 was CNY 4,610,873,972.96, a decrease of 19.87% compared to 2017[57]. - The net profit attributable to shareholders for 2018 was CNY 1,063,507,778.68, reflecting a decline of 30.71% year-over-year[57]. - The basic earnings per share for 2018 was CNY 0.22, down 35.29% from CNY 0.34 in 2017[59]. - The total comprehensive income for 2018 included a loss of CNY 253,348,215.92, a decrease of 297.80% compared to the previous year[57]. - The company's total revenue for 2018 was CNY 3.695 billion, a decrease of 19.87% compared to 2017[118]. - The company's net profit attributable to shareholders was CNY 737 million, down 30.71% year-on-year[118]. Capital and Dividends - The company plans to distribute a cash dividend of 0.70 CNY per 10 shares, totaling 233,333,338.00 CNY based on a total share capital of 3,333,333,400 shares for the 2018 fiscal year[4]. - The cash dividend for 2018 was lower than the previous year's distribution, reflecting a strategic decision in profit allocation[170]. - The company has implemented a cash dividend policy, ensuring that at least 15% of the distributable profits from the previous fiscal year are distributed as cash dividends if conditions are met[166]. - The company aims for a minimum cash dividend proportion of 80% for mature stages without significant capital expenditure, and 40% if there are major expenditures planned[167]. Business Strategy and Development - The company aims to transition from a "high-speed" to a "high-quality" development phase, with a strategic goal of entering the top tier of national securities firms[10]. - The company plans to enhance its capital strength through capital operations, including capital increases and mergers and acquisitions[10]. - The company is focusing on building a comprehensive compliance and risk control system to ensure risks are measurable, controllable, and bearable[10]. - The company intends to leverage Hong Kong as a pilot area for overseas investment and financing services, marking 2019 as the year of internationalization[10]. - The company has plans to enhance its service offerings and improve user engagement through new technology initiatives and product development[50]. - The company aims to enhance its service capabilities for listed companies and their major shareholders through comprehensive financing solutions in 2019[93]. - The company plans to leverage its "Internet+" strategy to provide diversified financial services to millions of clients in 2019[89]. Risk Management - The company has established a comprehensive risk management system to ensure sustainable business development within manageable risk levels[157]. - The company has established a comprehensive risk management organizational structure consisting of six levels, ensuring a robust risk management framework[158]. - A multi-dimensional limit indicator system has been implemented, aligning risk tolerance and limits with the company's risk appetite, ensuring orderly business operations within acceptable risk levels[158]. - The company has optimized liquidity risk management measures, including adjusting the liability maturity structure and enhancing liquidity management protocols to mitigate liquidity management pressure[160]. - The company has reinforced its risk management talent pool, enhancing the capabilities of compliance and risk control teams across branches and headquarters[159]. Market Presence and Expansion - The company expanded its branch network to 120 locations nationwide, enhancing its operational footprint[8]. - The establishment of new branches in cities like Jiaxing and Shaoxing indicates a strategic move towards market expansion and increased customer accessibility[50]. - The company operates multiple branches across Zhejiang province, with a total of 30 securities business offices established between 2002 and 2018[49][50]. - The company has a diverse range of branch locations, including major cities like Shanghai, Beijing, and Shenzhen, enhancing its accessibility to clients[53]. - The company aims to expand its market presence by opening 10 new branches across Zhejiang province in the upcoming year[51]. Compliance and Governance - The company has maintained its qualifications for various securities-related businesses, ensuring compliance with strict market access regulations[16]. - The company emphasizes the importance of compliance and risk control in its performance evaluation metrics across different business lines[164]. - The company is committed to maintaining high standards of governance and oversight through its appointed auditors and sponsor representatives[56]. - The company has established a mechanism for public investors to participate in the formulation or modification of profit distribution policies[169]. Legal Matters - The company is involved in multiple legal disputes regarding stock rights and has a total claim amount of RMB 276,060,713.6 plus interest against the defendant Li Xin[188]. - The company filed lawsuits against Beijing Cybernaut Green Science Investment Management Co., Ltd. for a total of CNY 69,370,720.55 in claims related to guarantee contracts[184][185]. - The company successfully executed a court ruling to recover CNY 15 million in principal and CNY 698,794.52 in interest from a debtor in a judicial settlement[183].