CITIC Securities Co., Ltd.(600030) 长江证券·2025-03-27 15:18Investment Rating - The investment rating for the company is maintained as "Buy" [7] Core Views - The report highlights that since Q3 2024, the favorable market trend, combined with the company's wealth management and proprietary trading, has further emphasized its leading comprehensive advantages. The company is expected to benefit from ongoing supply-side reforms in the industry and gradually increasing contributions from international business, enhancing its profitability and competitive edge [2][5]. Summary by Sections Financial Performance - In 2024, the company achieved operating revenue and net profit attributable to shareholders of 63.79 billion and 21.70 billion yuan, respectively, representing year-on-year increases of 6.2% and 10.1%. The weighted average return on equity (ROE) increased by 0.28 percentage points to 8.09%. The operating leverage, excluding customer funds, rose by 5.8% from the beginning of the year to 4.51 times [5][10]. Business Segments - The report details that in Q4, the company recorded operating revenue and net profit attributable to shareholders of 17.65 billion and 4.90 billion yuan, showing year-on-year increases of 23.7% and 48.3%, respectively. The revenue from brokerage, investment banking, asset management, interest, and proprietary trading was 10.71 billion, 4.16 billion, 10.51 billion, 1.08 billion, and 26.46 billion yuan, with year-on-year changes of +4.8%, -33.9%, +6.7%, -73.1%, and +17.7% respectively [10]. Wealth Management and Market Position - The brokerage business rebounded with the market's recovery, achieving a year-on-year increase of 4.8% to 10.71 billion yuan. The company’s wealth management efforts have led to a cumulative client base exceeding 15.80 million, a 12% increase from the previous year, and the total assets under custody surpassed 12 trillion yuan, up 18% year-on-year [10]. International Development - The report notes that despite a contraction in the equity financing market, the company maintained its leading position with market shares of 19.4% for IPOs and 22.5% for equity refinancing, both ranking first in the industry. The company is also advancing its international business, with its ranking in Hong Kong equity financing rising to second place and first in offshore debt business [10]. Future Outlook - The company is expected to benefit from regulatory policies favoring strong performers while gradually increasing contributions from international business. The projected net profits attributable to shareholders for 2025 and 2026 are 23.14 billion and 24.28 billion yuan, corresponding to price-to-earnings (PE) ratios of 17.3 and 16.5 times, and price-to-book (PB) ratios of 1.40 and 1.29 times, respectively [10].