SINOLINK SECURITIES(SH:600109)2024-04-24 13:26Financial Performance - In 2023, the company's operating revenue reached ¥6,729,872,238.04, representing a 17.39% increase compared to ¥5,733,079,420.05 in 2022[39]. - The net profit attributable to shareholders of the parent company for 2023 was ¥1,718,438,757.07, a 43.41% increase from ¥1,198,294,039.81 in 2022[39]. - The total assets at the end of 2023 amounted to ¥117,032,405,038.93, reflecting a 14.53% increase from ¥102,180,479,055.02 at the end of 2022[40]. - The total liabilities increased by 18.90% to ¥84,235,864,466.92 in 2023 from ¥70,848,106,566.40 in 2022[40]. - The basic earnings per share for 2023 was ¥0.462, up 34.69% from ¥0.343 in 2022[41]. - The net cash flow from operating activities for 2023 was negative at -¥5,625,133,467.43, a significant decrease from ¥6,663,406,167.48 in 2022, marking a 184.42% decline[40]. - The company's core net capital at the end of 2023 was ¥24,522,809,558.11, an increase from ¥23,656,951,187.49 at the end of the previous year[42]. - The risk coverage ratio improved to 371.99% in 2023 from 328.14% in 2022[42]. Business Operations - The company has a diversified business structure, including subsidiaries in asset management, futures, and investment services[3]. - The company has established a comprehensive internal control management system to ensure operational integrity[3]. - The company has been approved for stock pledge repurchase business and various trading permissions on multiple exchanges, indicating a broad market presence[17]. - The company holds various business qualifications, including securities brokerage, investment consulting, and asset management, enhancing its operational capabilities[18]. - The company has expanded its business scope to include internet securities and over-the-counter options, reflecting adaptation to market trends[17]. - The company maintains a strong presence in the securities market with qualifications for both domestic and international investment management[18]. Governance and Compliance - The company has a robust governance structure and has adhered to compliance and prudent management since its establishment in 1990[3]. - The company has a strong commitment to legal compliance and has maintained a sound corporate governance framework[3]. - The company emphasizes strong regulatory compliance and risk management to safeguard its operations and investor interests[175]. - The company has established a clear governance structure and a stable management team to ensure efficient decision-making and stable operations[128]. - The company has implemented a systematic monitoring approach for risk management, enhancing liquidity risk management and market risk monitoring capabilities[182]. Risk Management - The company is subject to risks from macroeconomic conditions, regulatory policy changes, and market volatility, which are detailed in the management discussion section[9]. - The company recognizes various operational risks, including liquidity, market, credit, operational, money laundering, and reputational risks[175]. - The company has developed a comprehensive risk management system, including liquidity risk management guidelines and various risk control measures, ensuring compliance with regulatory requirements[182]. - The company has strengthened its anti-money laundering (AML) measures, enhancing the customer due diligence system and digital AML monitoring system to improve technical capabilities in AML[181]. - The company has established a risk indicator system that includes risk tolerance and limits, which is approved by the board and cascaded down to departments and subsidiaries[182]. Future Plans and Strategic Developments - The company aims to enhance its financial services efficiency and reliability, aspiring to become a significant financial service institution in China[3]. - The company will focus on mergers and acquisitions in encouraged policy sectors, particularly in high-end manufacturing, ICT, new materials, new energy, and healthcare in 2024[64]. - The company plans to strengthen its bond business in 2024, particularly in areas such as industrial bonds, "Belt and Road" bonds, rural revitalization bonds, and green and low-carbon transition bonds[64]. - The company aims to enhance its wealth management business by integrating digital technology and customer experience, focusing on a "buyer advisory" model to create differentiated advantages[66]. - The company will continue to develop its product matrix to improve competitiveness in financial products, focusing on asset allocation and value investment[69]. Market Position and Competitiveness - The company ranked 9th in the market for IPO and North Exchange main underwriting cases, and 11th for refinancing main underwriting cases in 2023[61]. - The company will enhance its service capabilities and maintain a competitive edge in the domestic securities industry[173]. - The company aims to enhance the coverage and depth of its quantitative strategy indices, maintaining its professional advantage and brand influence in the market index sector[126]. - The company is focused on expanding its market-making business scale and maintaining a leading position in the Beijing Stock Exchange market-making rankings[99]. Technology and Innovation - The company has significantly advanced in new technology applications, with widespread use of AI office assistants and cloud computing technologies[190]. - The company aims to enhance its technology innovation and accelerate comprehensive digital transformation in the future[190]. - The company has established a new five-year technology strategy focusing on "integrating business, platform empowerment, and building a first-class securities technology organization"[189]. - The company invested over 10% of its average net profit and over 7% of its average revenue from the last three fiscal years in information technology, enhancing its digital capabilities[188]. Wealth Management - The wealth management business generated operating revenue of 2.65 billion RMB, with a gross margin of 43.30%, reflecting a slight increase of 0.46% year-on-year[138]. - The number of clients in the wealth management business increased by 17% compared to the end of 2022, with total client assets growing by 13%[71]. - The company plans to enhance its wealth management brand strategy by improving customer experience and creating differentiated consulting services in 2024[79]. - The company will strengthen its digital transformation efforts in wealth management products and services, aiming for a comprehensive lifecycle wealth experience[79]. Asset Management - As of December 31, 2023, Guojin Fund's total asset management scale reached 68.188 billion RMB, with a year-on-year increase of 21.832 billion RMB[106]. - The asset management business of Guojin Securities issued 26 asset-backed securities in 2023, totaling 16.889 billion RMB, a year-on-year increase of 10.77%[104]. - The company has established three new securities business offices in 2023, with operations commencing in March, June, and October[166]. - The company has completed 549 stock filings for the STAR Market, covering 214 stocks, which represents 38% of the total STAR Market stocks, enhancing market liquidity[95].