交银国际(03329) - 2023 - 中期业绩

Financial Highlights Condensed Consolidated Income Statement In H1 2023, the Group's total revenue and other income turned positive to HKD 482 million from a negative HKD 692 million in the prior period, primarily due to a shift from significant trading losses to profit, resulting in a narrowed loss for the period from HKD 1.68 billion to HKD 373 million Key Financial Data for H1 2023 | Metric (HKD Thousand) | Six Months Ended June 30, 2023 | Six Months Ended June 30, 2022 | | :--- | :--- | :--- | | Total Revenue and Other Income | 481,665 | (691,730) | | Interest Income | 275,298 | 384,960 | | Commission and Fee Income | 75,132 | 109,902 | | Proprietary Trading Income | 39,979 | (1,264,610) | | Other Income | 91,256 | 78,018 | | Total Expenses | (855,422) | (982,590) | | Finance Costs | (352,165) | (142,087) | | Changes in Impairment Provisions | (159,241) | (426,379) | | Loss Before Tax | (368,664) | (1,676,607) | | Loss for the Period | (373,225) | (1,677,922) | | Loss Per Share (HKD) | (0.14) | (0.61) | Condensed Consolidated Balance Sheet As of June 30, 2023, total assets decreased to HKD 23.04 billion from HKD 24.66 billion at year-end 2022, with total liabilities falling to HKD 20.75 billion from HKD 21.99 billion, and net current assets significantly increasing to HKD 3.49 billion from HKD 600 million, indicating improved liquidity Balance Sheet Summary | Metric (HKD Thousand) | June 30, 2023 | December 31, 2022 | | :--- | :--- | :--- | | Total Assets | 23,039,006 | 24,661,853 | | Non-current Assets | 8,402,134 | 9,348,613 | | Current Assets | 14,636,872 | 15,313,240 | | Total Liabilities | 20,751,484 | 21,985,260 | | Non-current Liabilities | 9,608,317 | 7,272,166 | | Current Liabilities | 11,143,167 | 14,713,094 | | Total Equity | 2,287,522 | 2,676,593 | | Net Current Assets | 3,493,705 | 600,146 | Management Discussion and Analysis Business Review In H1 2023, the Group's loss significantly narrowed to HKD 373 million from HKD 1.68 billion in the prior period amidst global monetary tightening and subdued market sentiment, with varied segment performance including reduced income in brokerage and corporate finance, a turnaround in asset management proprietary trading, and narrowed losses in investment and lending - In H1 2023, the Group recorded a loss of HKD 373 million, a significant narrowing from HKD 1.68 billion in H1 2022, impacted by global monetary tightening and subdued market sentiment[79][91] Securities Brokerage and Margin Financing Securities brokerage commission and fee income decreased by 25.1% to HKD 47.9 million due to subdued global capital market sentiment, while margin financing interest income slightly declined by 2.3% to HKD 56.8 million despite a slight increase in client accounts - Securities brokerage commission and fee income was HKD 47.9 million, a 25.1% year-on-year decrease, due to subdued global capital market sentiment and low investor willingness[80][65] Securities Brokerage Commission Income (by Product) | Product Category | H1 2023 (HKD Million) | Proportion (%) | | :--- | :--- | :--- | | Hong Kong Stocks | 34.6 | 72.2% | | Non-Hong Kong Stocks | 5.9 | 12.3% | | Bonds | 4.4 | 9.2% | | Others | 3.0 | 6.3% | | Total | 47.9 | 100.0% | - Margin financing interest income was HKD 56.8 million, a 2.3% year-on-year decrease, while the number of margin client accounts increased to 9,677, and the total loan balance slightly rose[68][93] Corporate Finance and Underwriting In H1 2023, corporate finance and underwriting commission and fee income significantly dropped by 79.3% to HKD 5.1 million, despite the company completing 7 IPOs as bookrunner and 44 bond issuance projects, raising USD 7.91 billion for clients amidst a general market decline in IPO fundraising - Corporate finance and underwriting service commission and fee income was HKD 5.1 million, a significant 79.3% decrease from HKD 24.6 million in the prior period[84] - During the reporting period, the company completed 7 IPO projects as bookrunner and 44 bond issuance projects, assisting enterprises in raising a total of USD 7.91 billion[96] Asset Management and Advisory As of June 30, 2023, Assets Under Management (AUM) totaled approximately HKD 20.99 billion, a 13.2% decrease from the beginning of the year, while asset management and advisory service fees slightly increased by 3.8% to HKD 22.2 million, and proprietary trading generated a significant profit of HKD 45.8 million compared to a loss of HKD 388 million in the prior period - Total Assets Under Management (AUM) amounted to HKD 20.99 billion, a 13.2% decrease from HKD 24.18 billion at the end of 2022[99] - Asset management and advisory service fee income was HKD 22.2 million, a 3.8% year-on-year increase, with proprietary trading generating HKD 45.8 million in profit compared to a HKD 388 million loss in the prior period[99] - The Group continues to strategically invest in technology and innovation equity, establishing various funds in multiple locations to focus on AI, biomedicine, and new energy sectors, while also providing cross-border asset management services through QFLP and QDIE funds[85] Investment and Lending Interest income from investment and lending business was HKD 218.5 million, a 33.1% year-on-year decrease, with proprietary trading losses significantly narrowing to HKD 5.8 million, and loan clients primarily concentrated in real estate, state-owned enterprises, and technology sectors, with the top five clients accounting for 69.5% of total loans - Interest income from loans and advances was HKD 218.5 million, a 33.1% year-on-year decrease, while proprietary trading losses significantly reduced to HKD 5.8 million compared to the prior period[88] - Loan clients are primarily corporate clients in real estate, state-owned enterprises, and technology sectors, with loans to the top five clients accounting for 69.5% of the total loan amount as of June 30, 2023[87] Investment Portfolio Balance (by Asset Class) | Asset Class | June 30, 2023 (HKD Million) | Proportion (%) | | :--- | :--- | :--- | | Fixed Income Securities | 11,254.9 | 77.6% | | Equity Investments | 92.8 | 0.6% | | Funds | 3,156.0 | 21.8% | Financial Review The Group's financial position improved in H1 2023 with enhanced liquidity, as the current ratio increased from 1.0x to 1.3x, total borrowings decreased to HKD 17.66 billion, and the leverage ratio (total borrowings/total equity) rose from 684.3% to 772.1% - Net current assets significantly increased to HKD 3.49 billion, and the current ratio improved from 1.0x at the end of 2022 to 1.3x[92] - The Group's total borrowings amounted to HKD 17.66 billion, a decrease from HKD 18.32 billion at the end of 2022[130] - The leverage ratio (total borrowings/total equity) increased from 684.3% at the end of 2022 to 772.1%[109] Outlook and Strategy For H2 2023, the Group anticipates continued global economic challenges with high interest rates but expects China's economy to sustain its recovery, focusing on steady progress, core business, and seizing opportunities from China's new development paradigm, with strategic priorities including enhancing risk management, resolving existing risks, transforming licensed businesses, leveraging 'tech-innovation + green' features, strengthening group synergy, and talent development - Facing global economic challenges and opportunities from China's economic recovery, the Group will adhere to steady progress, focus on its core business, and promote high-quality development[111][137][138] - Future strategy will focus on six key areas: enhancing risk management, resolving existing risks, business transformation, leveraging 'tech-innovation + green' features, strengthening synergy, and talent team building[111] Notes to the Financial Statements Segment Information In H1 2023, the Investment and Lending segment was the largest contributor to loss with a pre-tax loss of HKD 313 million, while Asset Management and Advisory was the primary profit source with a pre-tax profit of HKD 17.34 million, and geographically, revenue from Hong Kong was HKD 386 million and Mainland China HKD 96.12 million Pre-tax (Loss)/Profit by Business Segment (HKD Thousand) | Business Segment | H1 2023 | H1 2022 | | :--- | :--- | :--- | | Brokerage | (28,635) | (8,574) | | Corporate Finance and Underwriting | (42,980) | (22,413) | | Asset Management and Advisory | 17,344 | (425,023) | | Margin Financing | (14,597) | 6,569 | | Investment and Lending | (312,915) | (1,237,972) | | Others | 13,119 | 10,806 | Revenue and Other Income Total revenue in H1 2023 was HKD 390 million, a significant turnaround from a negative HKD 770 million in the prior period, driven by proprietary trading income shifting from a HKD 1.27 billion loss to a HKD 40 million profit, despite decreases in commission and fee income to HKD 75.13 million and interest income to HKD 275 million Revenue Details (HKD Thousand) | Revenue Category | H1 2023 | H1 2022 | | :--- | :--- | :--- | | Commission and Fee Income | 75,132 | 109,902 | | Interest Income | 275,298 | 384,960 | | Proprietary Trading Income | 39,979 | (1,264,610) | | Total Revenue | 390,409 | (769,748) | Dividends The Board of Directors did not declare or pay any interim dividends for the six months ended June 30, 2023, consistent with the prior corresponding period - The Company did not declare or pay any dividends for the six months ended June 30, 2023 (six months ended June 30, 2022: nil)[53][117]