Core Insights - Beijing Private Equity Association announced that Shanghai Huasheng Youge Equity Investment Management Co., Ltd., a subsidiary of Huaxing Capital, has joined the association as a council member institution [1] - Du Yongbo, Co-President and Executive Director of Huaxing Capital Group, will represent the institution as a council member [1] Company Overview - Huaxing New Economy Fund is the core product of Huaxing Capital Group's investment management business [1] - The mission of the fund is to identify and partner with outstanding future enterprises [1] - The fund aims to create value for these enterprises and participate in sharing the value created [1] Competitive Advantage - Huaxing New Economy Fund benefits from Huaxing Capital Group's ecosystem, providing unparalleled industry networks and extensive market coverage [1] - The company has the capability to offer unique value-added services to its portfolio companies, making it a preferred partner and quasi-strategic investor for many Chinese new economy enterprises [1]

Company Overview - Huaxing Capital Holdings was established in 2005 and offers a range of financial services including investment management, private financing, mergers and acquisitions, securities issuance and underwriting, securities research and trading, and wealth management [2] - The company operates offices in Beijing, Shanghai, Hong Kong, and New York, employing over 600 staff members [2] - Huaxing Capital's investment banking business has been a core focus since its inception, maintaining the top market position in private financing advisory for 18 consecutive years [2] Financial Performance - As of December 31, 2024, Huaxing Capital reported total revenue of 840 million RMB, a year-on-year increase of 5.23% [1] - The net profit attributable to shareholders was -179 million RMB, reflecting a significant year-on-year increase of 62.06% [1] - The company's debt-to-asset ratio stands at 33.25% [1] Stock Performance - On August 18, the Hang Seng Index fell by 0.37%, closing at 25,176.85 points, while Huaxing Capital's stock price rose by 10.69% to 7.25 HKD per share [1] - Over the past month, Huaxing Capital has seen a cumulative increase of 8.44%, and a year-to-date increase of 129.02%, outperforming the Hang Seng Index by 25.97% [1] Industry Valuation - The average price-to-earnings (P/E) ratio for the financial sector (TTM) is 12.87 times, with Huaxing Capital's P/E ratio at -19.43 times, ranking 97th in the industry [1] - Comparatively, other financial firms have P/E ratios such as China Merchants China Fund at 2.58 times, Weizheng Jin Ke at 3.01 times, and Hong Kong Credit at 3.95 times [1] Investment Management - Huaxing New Economy Fund is the flagship product under the investment management segment, managing four USD funds and four RMB funds [3] - The fund leverages Huaxing Capital's ecosystem advantages to provide unparalleled industry networks and market coverage, becoming a preferred partner for innovative economic entrepreneurs [3] Future Outlook - A significant increase in net profit is anticipated for the mid-year report in 2025, with expected profit attributable to shareholders around 64.98 million RMB, representing a year-on-year growth of 188.02% [4]