EBSCN·2024-03-31 16:00Investment Rating - The report maintains an "Accumulate" rating for the company with a current price of 32.21 CNY [1] Core Views - The company's revenue and profit have significantly declined in 2023, with total revenue of 22.99 billion CNY, down 11.87% year-on-year, and net profit attributable to shareholders of 6.16 billion CNY, down 18.97% year-on-year [4][5] - The company is expected to benefit from the comprehensive registration system reform and the institutionalization of the A-share market, which may catalyze performance and valuation recovery [6] Summary by Sections Financial Performance - In 2023, the company achieved operating revenue of 22.99 billion CNY, a decrease of 11.87% year-on-year, and a net profit of 6.16 billion CNY, down 18.97% year-on-year [4][5] - The weighted average ROE for 2023 was 6.43%, a decrease of 2.45 percentage points year-on-year, with basic earnings per share of 1.138 CNY [4] Business Segments - The revenue contribution from proprietary trading, brokerage, investment banking, and asset management was 46.1%, 19.7%, 16.1%, and 5.3% respectively, with brokerage business revenue declining due to market conditions [5] - The investment banking segment saw a net income decline of 47.2%, with the company underwriting 17 A-share IPO projects totaling 32.25 billion CNY, holding a market share of 9% [5] Future Outlook - The company is projected to recover with expected net profits of 7.05 billion CNY in 2024, reflecting a growth rate of 14.57% [7] - The report anticipates a gradual recovery in the capital market, which may enhance the company's performance and valuation [6]