NSC(SH:601990)2021-08-26 16:00Capital Structure and Financial Position - The registered capital of Nanjing Securities is CNY 3,686,361,034, remaining unchanged from the previous year[10]. - The net capital increased to CNY 15,633,189,166.91, up from CNY 14,640,877,075.80, representing a growth of approximately 6.8%[10]. - The total assets at the end of the reporting period amounted to CNY 51,426,124,272.79, which is a 15.38% increase from the end of the previous year[28]. - The total liabilities increased by 23.02% to CNY 35,264,164,057.55 compared to the previous year[28]. - The company's equity attributable to shareholders was 16.043 billion CNY, an increase of 1.63% compared to the end of the previous year[37]. - The company's total liabilities at the end of the reporting period were approximately CNY 51.5 billion, with bonds payable amounting to CNY 8.81 billion, a 15.04% increase from the previous year[47]. - The company's total equity at the end of the reporting period was CNY 51.5 billion, with retained earnings increasing by 9.83% to CNY 2.15 billion[47]. - The asset-liability ratio increased to 60.54%, up 12.63% from 53.75% at the end of the previous year[103]. - The total owner's equity at the end of the reporting period is RMB 11,066,396,399.67, an increase from RMB 10,926,619,156.63 at the end of the previous period[125]. Profitability and Revenue - The company's operating revenue for the first half of 2021 was CNY 1,479,290,689.54, representing a 12.09% increase compared to the same period last year[28]. - The net profit attributable to shareholders of the parent company reached CNY 674,668,749.15, marking a 28.57% increase year-on-year[28]. - The company's net profit for the reporting period was CNY 34.08 billion, a decline of 91.15% primarily due to a decrease in cash received from bond issuance[45]. - The company achieved a net income from the sale of financial products of RMB 2.54 billion, a year-on-year increase of 4.81%[40]. - The investment banking segment saw a net income of RMB 267.81 billion, up 21.13% year-on-year, with 245 companies completing IPOs raising RMB 210.95 billion[41]. - The total operating income for the first half of 2021 was CNY 1,479,290,689.54, an increase of 12.1% compared to CNY 1,319,724,830.83 in the same period of 2020[110]. - The net profit for the first half of 2021 was CNY 677,305,011.41, an increase of 28.2% from CNY 528,293,328.51 in the same period of 2020[110]. Risk Management and Compliance - The report includes a detailed description of potential risks faced by the company and corresponding countermeasures[5]. - The company has maintained compliance with all regulatory requirements and has no violations in decision-making procedures for external guarantees[4]. - The company has established a comprehensive risk management system that includes a five-tier organizational structure for risk management, ensuring effective operation of the risk management framework[54]. - The company faces various risks including policy risk, credit risk, liquidity risk, market risk, operational risk, and information technology risk, with specific measures in place to mitigate each[54]. - The company emphasizes compliance and risk management by strengthening its governance structure and enhancing the professional capabilities of its risk management team[56]. - The company actively manages liquidity risk through daily cash flow monitoring and has implemented a net capital management system for dynamic risk control[57]. Business Operations and Expansion - The company continues to expand its business scope, including securities brokerage, investment consulting, and asset management services[11]. - The company has received multiple qualifications from regulatory bodies to conduct various financial services, enhancing its operational capabilities[11]. - The company established a wholly-owned subsidiary with an investment of RMB 200 million to engage in direct investment business, approved on February 28, 2012[15]. - The company was granted the qualification to conduct margin financing and securities lending business on May 3, 2012[15]. - The company was approved to participate in stock index futures trading for its asset management business on September 25, 2012[15]. - The company was approved to conduct stock option trading and brokerage business on January 20, 2015[19]. - The company was granted permission to conduct private fund comprehensive custody business on October 19, 2015[19]. - The company was approved to participate in the transfer of securities lending business for the Sci-Tech Innovation Board on October 11, 2019[20]. - The company received approval to participate in the transfer of securities lending business for the ChiNext Board on August 19, 2020[20]. Shareholder and Corporate Governance - The company has made changes in its board and supervisory personnel, with new appointments made during the annual shareholders' meeting[65]. - The company has not disclosed any employee stock ownership plans or other incentive measures[67]. - The total share capital of the company is 3,686,361,034 shares, with 100% ownership structure[86]. - The largest shareholder, Nanjing Zijin Investment Group, holds 921,952,751 shares, representing 25.01% of total shares[92]. - The top ten shareholders include several state-owned enterprises, reflecting a concentrated ownership structure[92]. - The company has no pledged, marked, or frozen shares among its major shareholders[92]. Community Engagement and Social Responsibility - The company actively participated in poverty alleviation efforts, donating 500,000 yuan to the Nanjing Fire Rescue Public Welfare Fund and organizing employee donations totaling 433,700 yuan to the Nanjing Charity Federation[71]. - The company established a modern efficient agricultural greenhouse in Ningxia, which is gradually being put into use to help local residents develop specialty agriculture[71]. - The company’s work team in Ningxia was awarded the title of "Advanced Collective in Poverty Alleviation" by the Ningxia Hui Autonomous Region[71]. - The company received the "Outstanding Contribution Award for Capital Market Services in Guizhou Poverty Alleviation" for its efforts in supporting poverty alleviation initiatives[71]. Financial Instruments and Accounting Policies - The company recognizes expected credit losses for receivables and contract assets, with specific methods detailed in the financial instruments section[154][156]. - Financial assets are classified into three categories: measured at amortized cost, measured at fair value with changes recognized in other comprehensive income, and measured at fair value with changes recognized in profit or loss[147]. - The company uses the balance sheet liability method for income tax accounting, with current tax expenses calculated based on the taxable income for the year[192]. - The company recognizes right-of-use assets and lease liabilities at the start of the lease term, measuring the right-of-use asset at cost[195]. - The company assesses expected credit losses for financing business using an expected credit loss model[198]. - The company applies consistent accounting policies for segment reporting as used in the preparation of its financial statements[199].