CMS·2025-08-29 08:05Investment Rating - The report maintains a "Strong Buy" rating for the company [6][11]. Core Insights - The company achieved a revenue of 10.7 billion yuan in H1 2025, representing a year-on-year increase of 20%, and a net profit attributable to shareholders of 4.5 billion yuan, up 58% year-on-year [1]. - The annualized ROE stands at 10.2%, an increase of 1.98 percentage points compared to 2024, with a leverage ratio of 4.32 times [1]. - The revenue composition includes 45% from proprietary trading, 33% from brokerage, 11% from investment banking, 6% from asset management, and 2% from credit [1]. Summary by Sections Brokerage and Wealth Management - Brokerage income reached 3.34 billion yuan, up 33% year-on-year, with 830,000 new accounts opened, a 13% increase [2]. - The company’s total client base exceeded 16 million, and the scale of financial products held surpassed 280 billion yuan, with customized buy-side business growing by 162% year-on-year [2]. Investment Banking - Investment banking revenue increased by 12% to 1.12 billion yuan, with the company ranking fourth in the number of IPOs and first in the amount underwritten [3]. - The company completed 11 equity refinancing projects, totaling 59.06 billion yuan, ranking second in the industry [3]. Asset Management - Asset management revenue was stable at 660 million yuan, a 3% increase year-on-year, with total AUM at 485.2 billion yuan, down 7% year-on-year [4]. Proprietary Trading and FICC - Proprietary trading income grew by 30% to 4.6 billion yuan, with an annualized investment return rate of 4.5% [10]. - The company is expanding its FICC offerings, with a 57% increase in nominal principal of currency derivatives [10]. Financial Projections - The company expects net profits of 11.3 billion yuan, 12.8 billion yuan, and 13.9 billion yuan for 2025, 2026, and 2027, respectively, reflecting year-on-year growth of 56%, 14%, and 9% [11].