On March 24, Zheshang Securities Co.Ltd(601878) ( Zheshang Securities Co.Ltd(601878) ) issued the annual report for 2021.
According to the annual report, Zheshang Securities Co.Ltd(601878) in 2021 achieved an operating revenue of 16.418 billion yuan, with a year-on-year increase of 54.36%; The net profit attributable to the parent company was 2.196 billion yuan, a year-on-year increase of 34.94%.
As for the operating revenue, which increased by 54.36% compared with the same period last year, Zheshang Securities Co.Ltd(601878) said that the operating revenue mainly realized by the company’s securities brokerage business, investment business and futures business increased more year-on-year.
However, considering the interests of shareholders and the development of the company and other comprehensive factors, Zheshang Securities Co.Ltd(601878) said that the profit distribution in 2021 would not be carried out temporarily, nor would the capital reserve be converted into share capital Zheshang Securities Co.Ltd(601878) said it planned to carry out matters related to profit distribution as soon as possible after the completion of the public offering of convertible bonds.
As of the closing on March 24, Zheshang Securities Co.Ltd(601878) fell 1.68% to 10.52 yuan / share.
2021 the proportion of revenue from young assets business has declined steadily
In 2021, Zheshang Securities Co.Ltd(601878) in 2021, the net income from handling fees and commissions will reach 4.067 billion yuan, accounting for 24.77% of the operating income; The investment income was 1.77 billion yuan, accounting for 10.78% of the operating income, and the income from other businesses was 9.8 billion yuan, accounting for 59.69% of the operating income.
Among them, in 2021, the net income of Zheshang Securities Co.Ltd(601878) asset light business fees and commissions accounted for 24.77% of the operating income. At the end of September 2021, Zheshang Securities Co.Ltd(601878) handling fees and commissions accounted for 25.18% of the total operating revenue; At the end of March 2021, the proportion was 30.15% respectively.
In terms of heavy asset business, Zheshang Securities Co.Ltd(601878) in 2021, it realized a net interest income of 674 million yuan, an increase of 75 million yuan or 12.44% year-on-year; Investment income and income from changes in fair value were 1.856 billion yuan, an increase of 369 million yuan or 24.80%.
As for the year-on-year increase of 12.44% in net interest income, Zheshang Securities Co.Ltd(601878) indicates that it is mainly due to the increase in interest income from financed funds. For the investment income and the income from changes in fair value increased by 24.80% year-on-year, Zheshang Securities Co.Ltd(601878) said that the investment performance of self operated business improved significantly due to the strong market.
securities brokerage and investment business revenue increased significantly, while asset management business shrank relatively
According to the annual report, Zheshang Securities Co.Ltd(601878) is mainly engaged in securities brokerage business, investment banking business, investment business, credit business, wealth management business, asset management business, futures business, etc.
In terms of brokerage business, the securities brokerage business of Zheshang Securities Co.Ltd(601878) in 2021 achieved a revenue of 3.848 billion yuan, an increase of 28.94% year-on-year. In addition, according to the industry data released by the China Securities Association, the market share of the net income from the agency trading of securities business in Zheshang Securities Co.Ltd(601878) brokerage business in 2021 was 1.14%.
In terms of investment banking business, Zheshang Securities Co.Ltd(601878) in 2021, the investment banking revenue reached 1.083 billion yuan. After the investment banking business broke through the 1 billion yuan mark for the first time in 2020, it increased by 5.59% year-on-year.
In terms of investment business, the investment business income of Zheshang Securities Co.Ltd(601878) in 2021 was 1.383 billion yuan, a year-on-year increase of 47.53%. Specifically, in 2021, ficc business achieved good investment returns, equity investment business achieved steady investment returns, and the overall performance of financial product investment business was better than the market average. Zheshang Securities Co.Ltd(601878) subsidiary Zheshang Securities Co.Ltd(601878) Investment Co., Ltd. also completed the follow-up investment of three science and innovation board projects.
In terms of asset management business, Zheshang Securities Co.Ltd(601878) in 2021, the revenue from asset management business reached 477 million yuan, a year-on-year decrease of 1.75%. In this regard, Zheshang Securities Co.Ltd(601878) said that due to the full completion of the rectification of the new regulations on asset management, the overall scale of stock asset management decreased by 18.67% compared with the same period last year.
In addition, in terms of futures business, Zheshang Securities Co.Ltd(601878) achieved a revenue of 10.518 billion yuan in 2021, an increase of 74.80% year-on-year. By the end of 2021, the customer equity of Zheshang Futures Co., Ltd. at the end of the period was 20.24 billion yuan, a year-on-year increase of 61.48%; At the end of 2021, the existing management scale of asset management business was 3.104 billion yuan, with a year-on-year increase of 110.44%.
The annual report also shows that Zheshang Securities Co.Ltd(601878) Research Commission revenue increased significantly in 2021, with a year-on-year growth rate of more than twice. In terms of service objects, by the end of 2021, the stock of public offering customers (including insurance) had reached 120, and the stock of private placement customers had increased to 66.
chairman and President’s salary cut by more than 20%
According to the annual report, in 2021, the remuneration of Zheshang Securities Co.Ltd(601878) directors, supervisors and senior managers totaled RMB 198245 million. In 2020, the figure was 217138 million yuan.
Among them, the pre tax salary of Chairman Wu Chenggen and director and President Wang Qingshan decreased from 3.238 million yuan in 2020 to 2.5844 million yuan in 2021, a decrease of 20.19%.
According to the annual report, Zheshang Securities Co.Ltd(601878) was formerly known as Jinxin Securities Co., Ltd., which was established on May 9, 2002. Wu said that this year will usher in the 20th anniversary.
Looking forward to 2022, Zheshang Securities Co.Ltd(601878) said that it would continue to “start a second business”, continuously improve its comprehensive competitiveness in serving the real economy and managing residents’ wealth, and promote the company to steadily enter the first echelon of the industry.
In terms of business, Zheshang Securities Co.Ltd(601878) said that in 2022, the brokerage business of the company will continue to promote the development around the two main lines of retail and institution; And will focus on the upgrading mode of wealth management 1.0-2.0-3.0 to speed up the transformation of wealth management; Investment banks will strengthen their comprehensive service capacity, increase the reserves of equity and debt projects, improve the scale of investment banking business and move forward to the first tier of investment banking.
