Core Viewpoint - CICC has raised the profit forecast for Wisdom Group (00806) for 2025 from HKD 120 million to HKD 390 million, and introduced a profit forecast of HKD 320 million for 2026, based on the recovery of AUM and significant increase in investment income [1] Group 1: Financial Performance - Wisdom Group reported 1H25 results: total revenue decreased by 6% YoY and 4% QoQ to HKD 220 million, while net income increased by 3% YoY and 8% QoQ to HKD 170 million; net profit attributable to shareholders was HKD 250 million compared to HKD 37.37 million in 1H24, aligning with previous earnings guidance [2] - Management fees for 1H25 decreased by 8% YoY and 6% QoQ to HKD 190 million, with AUM down by 2% YoY but up by 4% QoQ to USD 5.29 billion; net outflow during the reporting period was USD 280 million [3] Group 2: Investment Performance - Investment income for 1H25 increased by 68% YoY and 155% QoQ to HKD 180 million, primarily due to realized net investment gains of HKD 120 million from holding a gold ETF; share of profits from joint ventures was HKD 65.51 million compared to a loss of HKD 45.97 million in 1H24 [4] Group 3: Product Development and Market Strategy - The company is actively developing new products to meet emerging investor demands, including those focused on tokenization and virtual assets; existing products have performed well, with returns of 14.5%, 13.6%, 13.6%, and 21.2% for various funds year-to-date [5] - The company is expanding distribution channels through participation in cross-border initiatives and optimizing the mutual recognition of funds (MRF) to attract mainland investors; ongoing efforts in Southeast Asia aim to broaden market coverage [5]
中金：维持惠理集团(00806)跑赢行业评级 升目标价至3.0港元