The disclosure of the first quarterly report of securities companies in 2023 has begun. Recently, Zhongtai Securities took the lead in disclosing a quarterly report, and the data shows that in the first quarter of 2023, Zhongtai Securities' net profit increased year-on-year. Unlike the year-on-year decline in the performance of securities firms in 2022, many securities companies achieved "pre-gratifying" performance in the first quarterly report. According to public data, as of April 4, in addition to Zhongtai Securities, there are currently 16 securities companies that have released first-quarter performance reports, all of which have achieved year-on-year growth in revenue and net profit. As for the reasons for the increase in performance, relevant institutions said that it is related to the market environment and the implementation of the comprehensive registration system. Some insiders also pointed out that the beta attribute of the current brokerage stocks has obviously recovered.
First disclosure
The first quarterly report of securities companies in 2023 is being disclosed one after another. On April 4, Zhongtai Securities took the lead in releasing its 15 quarterly report, becoming the first A-share listed securities firm to disclose a quarterly report this year. According to the quarterly report data, in the first quarter of 2023, Zhongtai Securities achieved operating income of 2023.35 billion yuan, a year-on-year increase of 7.92%; The net profit attributable to shareholders of the listed company was 77.11 billion yuan, a year-on-year increase of 53%.
As for the reasons for the year-on-year increase in the above two indicators, Zhongtai Securities pointed out in its quarterly report that it was mainly due to the recovery of the company's investment business performance and the increase in equity revaluation income generated by the merger of Wanjia Fund.
According to an announcement issued by Zhongtai Securities on February 2, the company's board of directors approved on July 24, 2022 that Zhongtai Securities would transfer 7% of the equity of Wanjia Fund held by Qihe Zhongxin Investment Co., Ltd., with a transaction price of 12 million yuan, while Wanjia Fund has completed the registration of industrial and commercial changes in February 11, and the equity ratio held by Zhongtai Securities in Wanjia Fund has been changed to 2%.
Specific to the net income from fees and commissions of various businesses, it is mixed. In the first quarter of 2023, Zhongtai Securities achieved net income from fees and commissions of RMB15.05 billion, a year-on-year increase of 15.2%. Among them, the net fee income of brokerage business, investment banking business and asset management business was 7 million yuan, 46 million yuan and 4 million yuan, respectively, with a year-on-year increase of -24.3%, 07.23% and 66.168%.
It is worth mentioning that compared with the 2022 annual report released not long ago, Zhongtai Securities' "report card" in the first quarter of 2023 has been greatly improved. According to the annual report data, in 2022, Zhongtai Securities achieved operating income of 93.25 billion yuan, a year-on-year decrease of 29.09%; The net profit attributable to shareholders of the parent company was 5 million yuan, down 9.81% from the same period last year.
In fact, the year-on-year decline in the net profit of the industry revenue of securities companies in 2022 has become an indisputable fact. According to data from Oriental Wealth Choice, as of April 4, among the 16 A-share listed securities firms that have disclosed their 2022 annual reports, 24 institutions have experienced a year-on-year decline in operating income and net profit attributable to parents.
Multiple annunciations
Unlike the year-on-year decline in the net profit of most institutions of securities companies in 2022, from the perspective of securities firms that have disclosed a quarterly performance express, they have "reported good news" in advance. According to public data, Founder Securities, Northeast Securities, Orient Securities, and Shenwan Hongyuan have released their first quarter 2023 performance reports, all of which have achieved a double increase in net profit in the first quarter.
Among them, the operating income of Founder Securities, Shenwan Hongyuan and Orient Securities increased by 6.3%, 19.35% and 41.93% year-on-year, respectively, to 17.73 billion yuan, 57.65 billion yuan and 44.37 billion yuan; The net profit attributable to the parent also increased by 16.55%, 87.77% and 525.67% year-on-year, respectively. The net profit attributable to the parent of Northeast Securities turned into a profit of 3 million yuan, and its total operating income also increased by 78.131% year-on-year to 49.18 billion yuan.
For the reasons for the rise in the first quarter's performance, the relevant securities companies pointed out in the performance express report that there are greater reasons for the stabilization and recovery of the market environment and the formal implementation of the comprehensive registration system. Financial commentator Guo Shiliang also mentioned that the year-on-year increase in net profit of securities firms in the first quarter was related to the recovery of the market environment and the expectation of an increase in the speed of IPO issuance under the registration system.
Previously, a securities research report pointed out that since 2019, with the comprehensive and deep reform of the capital market, the securities industry has carried out structural adjustments, various traditional businesses have achieved transformation and efficiency, the income structure has changed, the brokerage business has gradually transformed into wealth management, the specialization of investment banking business has been improved, and the asset management business has been "de-channeled". After the transformation of traditional business, the direct linkage between brokerage performance and the market weakened, and the beta attribute of the brokerage industry gradually disappeared.
The performance of this time is "pre-happy", or indicates the reappearance of the beta attribute of the brokerage. IPG Chief Economist Bai Wenxi said that the beta attribute of brokerage stocks has obviously recovered, because the investment banking, investment, brokerage business income, which constitute the main source of brokerage income, are very directly related to the overall market situation and trading activity.
Looking ahead, Guo Shiliang believes that the follow-up trend of the brokerage sector needs a catalyst. The comprehensive registration system is conducive to the improvement of brokerage performance, but it will also accelerate the pace of survival of the fittest, and the differentiation of the brokerage industry will intensify in the future, but the overall valuation of the brokerage industry is reasonably low, and the market recovery is expected to increase.
"With the increase and gradual effectiveness of counter-cyclical adjustment policies, as well as the implementation of the registration system and the expansion and opening up of the capital market, it is highly likely that the capital market will continue to recover, and the overall situation of the securities company sector is expected to continue to improve." Bai Wenxi said.
Beijing Business Daily reporter Li Haiyuan