Caitong Securities(SH:601108) KAIYUAN SECURITIES·2024-04-26 10:30Investment Rating - The investment rating for the company is "Buy" (maintained) [2] Core Views - The company's total revenue and net profit for 2023 were 6.52 billion and 2.25 billion yuan, respectively, representing year-on-year growth of 35% and 48% [2] - The first quarter of 2024 saw total revenue and net profit of 1.41 billion and 460 million yuan, respectively, which were below expectations, with year-on-year declines of 21% and 8% [2] - The company has a strong regional advantage, with continuous improvement in wealth management and investment banking businesses, and subsidiaries supporting ROE [2] Financial Summary - Total revenue (in million yuan): 2022A: 4827, 2023A: 6517, 2024E: 6820, 2025E: 7995, 2026E: 9481 [3] - Net profit (in million yuan): 2022A: 1517, 2023A: 2252, 2024E: 2419, 2025E: 2976, 2026E: 3697 [3] - ROE (%): 2022A: 4.6, 2023A: 6.7, 2024E: 6.8, 2025E: 7.9, 2026E: 9.2 [3] - EPS (diluted, in yuan): 2022A: 0.33, 2023A: 0.48, 2024E: 0.52, 2025E: 0.64, 2026E: 0.80 [3] Business Performance - The brokerage net income for 2023 and Q1 2024 was 1.20 billion and 300 million yuan, with year-on-year growth of 1% and 8% [2] - The investment banking net income for 2023 and Q1 2024 was 760 million and 140 million yuan, with year-on-year growth of 68% and a decline of 8% [2] - The asset management business net income for 2023 and Q1 2024 was 1.55 billion and 320 million yuan, with year-on-year growth of 6% and 2% [2] Market Position - The company ranked first in the number of IPO projects sponsored in Zhejiang province in 2023, with a debt underwriting scale of 123.4 billion yuan, representing a year-on-year increase of 79% [2] - The total AUM for asset management at the end of 2023 was 98.1 billion yuan, with a year-on-year increase of 10% [2]