EASTMONEY(SZ:300059) Changjiang Securities·2025-08-17 12:43Investment Rating - The investment rating for the company is "Buy" and is maintained [9] Core Views - The report highlights that the company, as a benchmark in the internet brokerage sector, has significant competitive advantages in customer acquisition and cost control. The impact of public fund fee reductions is nearing completion, and the market share in securities business continues to rise, with commission rates bottoming out ahead of the industry. In the context of a market recovery, the long-term growth potential of its securities business is viewed positively [2][6] Summary by Sections Financial Performance - In the first half of 2025, the company achieved total operating revenue of 6.86 billion yuan, a year-on-year increase of 38.7%, and a net profit attributable to shareholders of 5.57 billion yuan, up 37.3%. The weighted average return on equity (ROE) improved by 1.17 percentage points to 6.7% [6][12] Business Segments - The main drivers of growth in the first half of 2025 were securities brokerage and margin financing. The company reported a total operating revenue (including investment income) of 8.25 billion yuan, a year-on-year increase of 25.4%, and a net profit of 5.57 billion yuan, up 37.3%. The ROE was 6.7%, an increase of 1.17 percentage points year-on-year. Revenue from e-commerce, net interest income, net commission income, and investment income were 1.58 billion, 1.43 billion, 3.85 billion, and 1.40 billion yuan, respectively, with year-on-year changes of +3.6%, +39.4%, +60.6%, and -14.7% [12] Market Share and Commission Rates - The company's market share in securities brokerage continues to rise, with a trading volume of 1.603 trillion yuan in the first half of 2025, a year-on-year increase of 74.0%, resulting in a market share of 8.35%, up 0.14 percentage points from the beginning of the year. The estimated net commission rate remained stable at 0.010% [12] Fund Distribution and Fee Impact - Fund distribution has shown signs of recovery, with the company's fund distribution scale reaching 3.838 trillion yuan and 6.753 trillion yuan for equity and non-monetary funds, respectively, with year-to-date increases of 0.4% and 10.5%. The estimated market shares were 4.6% and 3.3%, with slight changes from the beginning of the year [12] Proprietary Trading and Profitability - The company accelerated its balance sheet expansion in a challenging market, with trading financial assets reaching 107.16 billion yuan, a 45.7% increase from the beginning of the year. The static investment yield was estimated at 3.09%, down 1.24 percentage points year-on-year, indicating stable performance in proprietary trading [12] Cost Management - The company effectively managed sales and R&D costs, leading to a significant improvement in profitability. Sales, management, and R&D expenses were 140 million, 1.22 billion, and 500 million yuan, respectively, with year-on-year changes of -7.2%, +5.8%, and -10.3% [12]