Ping An Securities·2024-04-29 02:30Investment Rating - The report maintains a "Recommended" investment rating for the company [2][7]. Core Views - The company's performance demonstrates resilience, with improvements in capital utilization and operational efficiency. The first quarter of 2024 saw a year-over-year decrease in operating revenue of 10.4% to 13.755 billion yuan and a net profit decline of 8.5% to 4.959 billion yuan [4][5]. - The company has a diversified income structure, with net income from brokerage, investment banking, asset management, interest, proprietary trading, and other sources showing varied year-over-year changes [4][5]. - The report highlights the company's leading advantages in multiple business areas, suggesting that its comprehensive service capabilities and professional skills enhance competitive barriers [7]. Financial Performance Summary - For Q1 2024, the company reported total assets of 1,567.3 billion yuan and a net asset attributable to shareholders of 280.9 billion yuan. The diluted EPS was 0.33 yuan, and the BVPS was 17.35 yuan [4][5]. - The company's leverage ratio increased to 4.52 times, and the annualized ROE was 7.22% [4][5]. - The report forecasts a gradual recovery in net profit, projecting 20.31 billion yuan for 2024, with a year-over-year growth of 3% [7][12]. Business Segment Analysis - The proprietary trading segment showed a significant increase in revenue by 122% year-over-year, while investment banking revenues were heavily impacted, with a 56.1% decline [4][5][7]. - The brokerage and asset management businesses remained relatively stable, with net income from brokerage at 2.44 billion yuan (down 5.8% YoY) and asset management at 2.36 billion yuan (down 5.6% YoY) [5][7]. - The report indicates that the company is well-positioned to benefit from the government's focus on developing a "national team" in the financial sector, which may enhance its competitive edge [7].