Zheshang Securities (601878) Q2 2024 earnings summary

Executive summary

• Revenue for H1 2024 was RMB 8.01 billion, down 5.27% year-over-year due to capital market volatility and a challenging environment.

• Net profit attributable to shareholders was RMB 784 million, down 13.94% year-over-year.

• Earnings attributable to shareholders fell 14.45% year-over-year to RMB 780 million.

• No interim dividend or capital increase from reserves was proposed for the period.

• The company maintained relative stability and outperformed industry averages despite declines in key business lines.

Financial highlights

• Operating income: RMB 8.01 billion, down 5.27% year-over-year.

• Net profit attributable to shareholders: RMB 784 million, down 13.94% year-over-year.

• Basic EPS: RMB 0.20, down 16.67% year-over-year.

• Total assets: RMB 134.98 billion, down 7.25% from year-end 2023.

• Shareholders' equity increased 1.40% to RMB 27.39 billion; net assets per share rose 1.71% to RMB 7.13.

Outlook and guidance

• The company expects continued volatility in capital markets and regulatory changes to impact business performance.

• Strategic focus remains on supporting the real economy, optimizing business structure, and risk management.

• Management notes that overall performance remained relatively stable amid market turbulence.