2024-03-28 16:00Investment Rating - The report maintains a "Buy" rating for Huatai Securities [6][8] Core Views - Huatai Securities reported a revenue of 36.58 billion yuan in 2023, a year-on-year increase of 14%, and a net profit attributable to shareholders of 12.75 billion yuan, up 15% year-on-year [6][8] - Investment income is the main driver of performance, with asset management showing double-digit growth despite market conditions [6][8] - The company has a strong market position in wealth management and continues to benefit from technological empowerment [7][8] Summary by Sections Market Data - Closing price: 13.82 yuan - One-year high/low: 18.54/12.72 yuan - Price-to-book ratio: 0.7 - Circulating A-share market value: 100,624 million yuan [3] Financial Performance - 2023 revenue: 36.58 billion yuan, up 14% year-on-year - 2023 net profit: 12.75 billion yuan, up 15% year-on-year - Q4 2023 revenue: 9.35 billion yuan, up 11% year-on-year and 6% quarter-on-quarter - Q4 2023 net profit: 3.165 billion yuan, down 2% year-on-year and up 4% quarter-on-quarter [6][8] Revenue Breakdown - Main business revenue (excluding bulk trade and government subsidies): 31.14 billion yuan, up 10% year-on-year - Revenue by business line: Brokerage 5.96 billion yuan (-16%), Investment Banking 3.04 billion yuan (-24.5%), Asset Management 4.26 billion yuan (+13%), Net Interest 0.95 billion yuan (-64%), Net Investment 12.99 billion yuan (+58%), Long-term Stock Investment 2.59 billion yuan (+112%) [6][8] Market Position - Huatai Securities maintains the leading market share in the agency buying business, with over 21 million clients and nearly 5 trillion yuan in client account assets [7] - The company achieved a market share of approximately 7.72% in stock trading volume, leading the industry [7] Investment Analysis - The profit forecast has been adjusted downward due to stricter IPO regulations, with expected net profits for 2024-2026 at 13.78 billion, 15.95 billion, and 17.60 billion yuan respectively, reflecting year-on-year growth of 8%, 16%, and 10% [8]