Financial Data and Key Metrics Changes - Full-year net revenues were RMB 22.6 billion, a year-over-year decrease of 21.1%, primarily due to decreases in distribution of domestic and overseas insurance products as well as recurring service fees from domestic private equity products [13] - Non-GAAP net income for the year fell 46% to RMB 550 million, mainly due to upfront restructuring costs and an increased effective tax rate of 31.5% [13][14] - Total net revenue for the fourth quarter was RMB 652 million, down 18.5% year over year and 4.6% sequentially [45] Business Line Data and Key Metrics Changes - Domestic net revenues from Mainland China totaled RMB 1.4 billion in 2024, a year-over-year decrease of 27.5% [32] - Net revenues from domestic public securities were RMB 487 million in 2024, with a 35% decrease in the aggregate value of RMB public securities products distributed [32][33] - Net revenues from overseas wealth management through Arc for 2024 were RMB 675 million, with overseas investment products showing significant growth [22] Market Data and Key Metrics Changes - Net revenues from overseas in 2024 were RMB 1.3 billion, accounting for 48% of total net revenues, up from 44% last year [21] - Overseas AUM reached USD 5.8 billion, a year-over-year increase of 15.1%, accounting for 28.1% of total AUM [28] - The number of overseas relationship managers increased to 138, up 55.1% from last year [23] Company Strategy and Development Direction - The company is focusing on expanding its overseas presence while managing risks effectively, targeting both mainland China and international markets [12] - A commission-only agent model for insurance businesses has been launched, with plans to grow the team to approximately 150 agents by the end of 2025 [30][31] - The company aims to grow overseas AUA to USD 20 billion over the next three to five years [35] Management's Comments on Operating Environment and Future Outlook - Management noted that 2024 was a year of challenges due to subdued client sentiments but also an opportunity for necessary organizational restructuring [8][10] - The company expects to see revenue and profitability recovering in the future as it ramps up its overseas business and domestic market recovery [58] - Management emphasized the importance of global asset allocation and the need to adapt to changing market conditions [66][95] Other Important Information - The board approved an annual and special dividend totaling RMB 550 million, equivalent to 100% of the non-GAAP net income for the year [40][57] - The company has repurchased over 600,000 ADSs, equivalent to 0.9% of total issued shares [57] Q&A Session Summary Question: Demand for investment products and CRO's current investment strategy - Management noted that investment sentiment among Chinese high-net-worth clients has been rebounding, with liquidity being a major consideration for clients [65][67] Question: Overseas business growth and main sources of revenue - The US is being developed as a key booking center, with ongoing recruitment of top-tier talent to enhance competitiveness [74][76] Question: First quarter trends and revenue expectations for 2025 - Management expects a stabilization and potential recovery in 2025, driven by improved client sentiment and strategic asset allocation [90][95] Question: Decline in overseas relationship managers and headcount outlook - The decline was attributed to year-end evaluations, with plans to continue hiring and improving the sales team structure [98][100]

Core Viewpoint - Noah Holdings Limited faced significant challenges in 2024 due to a sluggish macroeconomic environment, stringent regulatory requirements, and shifting client preferences, yet the company remains profitable and continues to generate solid cash flow [2][12]. Financial Performance - For the full year 2024, net revenues were RMB2.6 billion (US$356.3 million), a 21.1% decrease compared to 2023, primarily due to a decrease in insurance product distribution [4]. - In Q4 2024, net revenues were RMB651.9 million (US$89.3 million), an 18.5% decrease from Q4 2023, with overseas net revenues at RMB289.8 million (US$39.7 million) [5]. - Non-GAAP net income attributable to shareholders for 2024 was RMB550.2 million (US$75.4 million), a decline of 46.0% from 2023 [6]. Domestic Restructuring - Noah undertook a significant compliance-driven restructuring of its domestic business in 2024 to align with regulatory requirements, which included consolidating operations and separating sales teams into independent units [7]. - This restructuring led to additional upfront expenses but is expected to reduce fixed costs and improve operational efficiency in the long term [8]. Global Expansion - The company launched three internationally focused brands—ARK Wealth Management, Olive Asset Management, and Glory Family Heritage—to cater to Mandarin-speaking high-net-worth individuals (HNWIs) globally [9]. - Booking centers were established in key financial hubs, and the team of overseas relationship managers grew by 55% year-over-year to 138 [9]. Alternative Investment Growth - Noah raised US$663 million for overseas private equity, private credit, and other primary market funds, marking a significant increase of 44.9% year-over-year [10]. - Overseas assets under management (AUM) grew by 15% to US$5.8 billion as of December 31, 2024 [11]. Shareholder Returns - The Board of Directors approved an annual dividend of RMB275 million (US$37.7 million) and a special dividend of RMB275 million (US$37.7 million), totaling 100% of full-year 2024 non-GAAP net income attributable to shareholders [13]. Future Outlook - For 2025, Noah plans to expand its client base domestically and internationally while diversifying its product offerings [15]. - The company aims to enhance global operations by recruiting more relationship managers in key markets, including Hong Kong, Singapore, and the U.S. [15].

Core Insights - Noah Holdings Limited reported a significant decline in net revenues for the fourth quarter of 2024, totaling RMB651.9 million (US$89.3 million), an 18.5% decrease year-over-year, primarily due to reduced distribution of insurance products [2][29] - The company experienced a 21.1% decrease in net revenues for the full year 2024, amounting to RMB2,601.0 million (US$356.3 million), also attributed to a decline in one-time commissions from the wealth management business [10][38] - The company is focusing on international expansion, with overseas revenue accounting for 48% of total revenues in 2024, and a 30% increase in transaction value of overseas products [27] Fourth Quarter 2024 Financial Highlights - Net revenues from mainland China were RMB362.1 million (US$49.6 million), effectively flat compared to the same period in 2023, but up 18.0% from the previous quarter [2] - Net revenues from overseas were RMB289.8 million (US$39.7 million), a 32.0% decrease year-over-year, primarily due to a decline in overseas insurance product distribution [3] - Income from operations for Q4 2024 was RMB137.6 million (US$18.8 million), a 37.7% decrease from the same period in 2023 [6] Full Year 2024 Financial Highlights - Net revenues from mainland China for the full year were RMB1,348.9 million (US$184.8 million), a 27.5% decrease from 2023 [10] - Net revenues from overseas for the full year were RMB1,252.1 million (US$171.5 million), a 12.7% decrease from the previous year [11] - Net income attributable to Noah shareholders for the full year was RMB475.4 million (US$65.1 million), a 52.9% decrease from 2023 [17] Operational Updates - The total number of registered clients as of December 31, 2024, was 462,049, a 1.4% increase from the previous year [17] - The aggregate value of investment products distributed in Q4 2024 was RMB16.3 billion (US$2.2 billion), a 1.7% decrease from the same period in 2023 [17] - The company launched new internationally-focused brands to enhance its service offerings to Mandarin-speaking clients in various global markets [27] Investment Products Distribution - The distribution of overseas investment products increased by 30.7% year-over-year, totaling RMB31.1 billion (US$4.3 billion) for the full year 2024 [23] - The aggregate value of mutual fund products distributed in Q4 2024 was RMB9.8 billion (60.1% of total products), while private equity products accounted for RMB1.3 billion (8.0%) [18] Assets Under Management - Total assets under management as of December 31, 2024, were RMB151.5 billion (US$20.8 billion), stable compared to the previous year [20] - Overseas assets under management increased to RMB42.6 billion (US$5.8 billion), up from RMB36.0 billion in 2023 [21] Dividends - The Board approved an annual and special dividend totaling RMB550 million, equivalent to 100% of the full-year 2024 non-GAAP net income attributable to Noah shareholders [28]

Core Viewpoint - Noah Holdings Limited, a leading wealth management service provider, will report its unaudited financial results for Q4 and the full year of 2024 on March 25, 2025, after U.S. markets close [1]. Financial Performance - In the first nine months of 2024, Noah distributed RMB 47.6 billion (approximately US$ 6.8 billion) of investment products [4]. - As of September 30, 2024, Noah had assets under management totaling RMB 150.1 billion (approximately US$ 21.4 billion) [4]. Business Operations - Noah's wealth management business primarily distributes private equity, public securities, and insurance products in RMB and other currencies [5]. - The company has a network that spans major cities in mainland China, Hong Kong, New York, Silicon Valley, Singapore, and Los Angeles [5]. - As of September 30, 2024, Noah had 460,380 registered clients [5]. Conference Call Details - An earnings conference call is scheduled for March 25, 2025, at 8:00 p.m. U.S. Eastern Time, with access details provided for participants [2]. - A live and archived webcast of the conference call will be available on the company's investor relations website [3].

Core Insights - Noah Holdings Limited's ARK Group has launched a global wealth management platform for Chinese investors and opened a new overseas headquarters in Singapore, tripling its physical presence in the city-state [1][2] - The new facility is strategically located in Singapore, a rapidly growing hub for Chinese personal assets abroad, enhancing ARK Group's growth opportunities [2] - The establishment of the new headquarters is part of ARK Group's global expansion strategy, aimed at meeting the sophisticated needs of global Chinese clients [1][3] Company Expansion - The new headquarters in Singapore represents a significant milestone in ARK Group's journey to provide innovative and culturally relevant solutions for global Chinese clients [3] - ARK Group is investing in talent acquisition and operational capabilities to enhance its client-centric services and position itself at the forefront of the evolving wealth management industry [4][6] - The firm has established key regulatory licenses in Singapore, including the Capital Markets Services Licence and Financial Adviser's Licence, supporting its operations in the region [5] Client Services - ARK Group's Hong Kong office will continue to serve as a critical regional hub, ensuring continuity in client servicing while enhancing services across all locations, including Tokyo, New York, and Los Angeles [6] - The company currently manages over USD 8.7 billion in assets under advisement, with a team of over 140 global investment advisors providing tailored financial services [8] - ARK Group aims to become the preferred wealth management platform for high-net-worth global Chinese families and institutions through its client-centric approach [7]