Noah Holdings (NOAH) investor relations material

Executive summary

• Transformation to an AI-driven operating model advanced, with legacy revenue streams phased out and new AI-enabled models generating revenue, asset growth, and profit, especially in Singapore.

• AI Wealth Management Department achieved monthly profitability in Singapore, validating the new model and enabling asset growth decoupled from RM headcount.

• Strategic focus shifted from traditional RM-driven growth to platform-based, scalable, and efficient global expansion.

• Net revenues for Q2 2026 were RMB619.9 million, down 1.5% year-over-year, mainly due to lower one-time commissions from insurance and recurring service fees, partially offset by higher performance-based income from mainland China private secondary products.

• Income from operations rose 34.0% year-over-year to RMB215.8 million, driven by disciplined cost control and lower provision for credit losses.

Financial highlights

• Q2 net revenue was RMB 620 million; operating income RMB 216 million, up 34% year-over-year, with a 34.8% margin.

• Non-GAAP net income for Q2 was RMB 238 million, up 25.9% year-over-year and 77.8% sequentially.

• First half net revenue was RMB 1.25 billion, flat year-over-year; operating income RMB 452 million, up 30.3%, with a 36.3% margin.

• Performance-based income (carry) reached RMB 238 million in H1, up 364% year-over-year.

• Cash and cash equivalents stood at RMB4,322.7 million as of June 30, 2026.

Outlook and guidance

• Full-year operating margin expected to remain above 30%, with quarterly fluctuations due to product mix and expense timing.

• Priority for H2 is replicating the Singapore AI Wealth Management model in Hong Kong, Japan, and other global markets.

• Management remains focused on enhancing global capabilities, disciplined risk management, and leveraging technology for long-term value creation.

• The company is positioned for sustainable growth despite macroeconomic and geopolitical uncertainties.

• Continued focus on AI-driven investment capabilities, infrastructure, and ecosystem partner network expansion.