As the disclosure of the first quarterly report is coming to an end, the performance of securities companies this year is a certainty. On April 28, Huachuang Anyang, 13 securities companies including Citic Securities Company Limited(600030) , China Securities Co.Ltd(601066) and holding securities companies, handed over the “report card”. Although no more loss making securities companies have been added, more and more securities companies have joined the array with poor performance. Recently, the stock price of securities companies has been under overall pressure. The transaction transfer fee recently announced by China Clearing yesterday may bring some strength to today’s stock price.
So far, a total of 27 securities companies, including Huachuang securities, Jianghai securities and Xiangcai securities, have disclosed their performance in the first quarter. There are as many as 22 securities companies with year-on-year decrease in operating revenue and as many as 23 companies with year-on-year decrease in net profit attributable to the parent company. This means that more than half of the listed securities companies have experienced a decline in performance in the first quarter. Among them, there are only four securities companies with year-on-year growth in operating revenue China Securities Co.Ltd(601066) , First Capital Securities Co.Ltd(002797) , Xiangcai securities, The Pacific Securities Co.Ltd(601099) and only three securities companies with year-on-year growth in parent profit Citic Securities Company Limited(600030) , First Capital Securities Co.Ltd(002797) , The Pacific Securities Co.Ltd(601099) . None of the head securities companies achieved a win-win situation, and the pattern of securities companies was slightly differentiated.
The picture shows the performance of securities companies in the first quarter of 2022 as of April 28, Xiangcai Co.Ltd(600095) and Huachuang Anyang did not disclose the situation of separate securities companies, but mainly from their securities companies
At present, there are seven securities companies that have suffered losses, namely Western Securities Co.Ltd(002673) , Xiangcai securities, Guoyuan Securities Company Limited(000728) , Southwest Securities Co.Ltd(600369) , Huaxi Securities Co.Ltd(002926) , Northeast Securities Co.Ltd(000686) and Jianghai securities.
The performance of securities companies is generally under pressure, which is related to the “Waterloo” of proprietary business and brokerage business. A total of 14 self businesses of 14 securities companies, including 14 self businesses of 14 self businesses of 14 brokers, including the Haitong Securities Company Limited(600837) , including the Haitong Securities Company Limited(600837) , including the p to 2.629 billion yuan.
In addition, there are 14 traditional brokerage firms whose brokerage business is less than expected due to the impact of market conditions. For example, the net brokerage fee income of Citic Securities Company Limited(600030) , China Merchants Securities Co.Ltd(600999) , Everbright Securities Company Limited(601788) , Founder Securities Co.Ltd(601901) and other traditional brokerage firms in the first quarter decreased by at least 150 million yuan year-on-year.
China Merchants Securities Co.Ltd(600999) analysts believe that the margin of the capital market scene fell in 2022. It is expected that the main business income of listed securities companies in the first quarter of 2022 will decline by 13% year-on-year, 27% month on month, 15% year-on-year and 23% month on month. In terms of business, Shenwan Hongyuan Group Co.Ltd(000166) analysts said that proprietary business is the winner and loser of the performance growth of securities companies in the first quarter of this year, and the performance of leading securities companies with low proportion of equity proprietary business is expected to be dominant.
On the 29th, the 2021 annual report and the first quarterly report of 2022 of all listed securities companies will be available, which will allow a more comprehensive observation of industry changes.
The mountain rain is coming, and the wind is all over the building. Due to the urgent performance and the continuous adjustment of the superimposed market as a whole, the securities sector has long been alarmed. According to the data, within four trading days (from April 25 to 28) after China Merchants Securities Co.Ltd(600999) disclosed the first official quarterly report of the securities industry on April 24, A-Shares of securities companies fell significantly, except that Orient Securities Company Limited(600958) was avoiding the allotment and the previous sharp decline of China stock market news was being repaired, with a slight increase of 0.95%, and all 48 securities companies of Shenwan class II fell.
Hongta Securities Co.Ltd(601236) , Nanjing Securities Co.Ltd(601990) , Huaan Securities Co.Ltd(600909) , Chinalin Securities Co.Ltd(002945) and other oversold securities companies successively issued announcements on stock price changes on April 28, boosting investment confidence. The above securities companies said that the daily operation of the company was normal and there was no major information that should be disclosed but not disclosed.
Recently, in an interview with the financial Associated Press, researchers from the seller’s institutions, senior market investors and practitioners in the securities industry admitted that the general decline in performance is inseparable from the high comparable base in the same period in 2021, and the turnaround of the performance of securities companies may come in the second quarter. But April, which is coming to an end, is obviously no change, and may even be worse than the first quarter.
Northeast China, West China, Southwest China, Xiangcai, Guoyuan, Western Securities Co.Ltd(002673) quit the team significantly
According to the first quarterly report disclosed at present, among the 22 securities companies with declining operating revenue, Southwest Securities Co.Ltd(600369) , Haitong Securities Company Limited(600837) , Huaxi Securities Co.Ltd(002926) , Caitong Securities Co.Ltd(601108) , Sinolink Securities Co.Ltd(600109) , Northeast Securities Co.Ltd(000686) , China Merchants Securities Co.Ltd(600999) , Sealand Securities Co.Ltd(000750) , Guoyuan Securities Company Limited(000728) , Everbright Securities Company Limited(601788) and other 10 securities companies decreased by more than 34%. Among them, Southwest Securities Co.Ltd(600369) operating revenue decreased by 94.81% year-on-year, and Haitong Securities Company Limited(600837) decreased by 63.09% year-on-year.
Compared with the high light moment in 2021, the profitability of securities companies declined. Excluding the alternative increase of First Capital Securities Co.Ltd(002797) , the average increase in net profit of 26 securities companies was negative, and the net profit of 7 securities companies, including Northeast Securities Co.Ltd(000686) , Huaxi Securities Co.Ltd(002926) , Southwest Securities Co.Ltd(600369) , Xiangcai securities, Guoyuan Securities Company Limited(000728) , Western Securities Co.Ltd(002673) , decreased by more than 100% year-on-year.
Among the leading securities companies, Haitong Securities Company Limited(600837) , China Merchants Securities Co.Ltd(600999) did not boost morale, and Haitong Securities Company Limited(600837) had the largest year-on-year decline in operating revenue and net profit attributable to parent companies. At present, only China Securities Co.Ltd(601066) , Citic Securities Company Limited(600030) can fight.
First Capital Securities Co.Ltd(002797) , The Pacific Securities Co.Ltd(601099) are the “dark horse” of the current first quarter results. The reason why First Capital Securities Co.Ltd(002797) net profit soared more than 4 times year-on-year is the low base of net profit attributable to the parent company in the same period of last year. The reason for The Pacific Securities Co.Ltd(601099) “double increase in profit” is similar to First Capital Securities Co.Ltd(002797) net profit.
Haitong Securities Company Limited(600837) take the lead, and the self operated ratio of 20 securities companies is poor
The year-on-year decline in operating revenue and net profit is a way to intuitively feel the performance of securities companies in the first quarter of this year. Specifically, at the business level, the decline of self-supporting business and brokerage business is the reason for their real injury, and the self-supporting business like a “double-edged sword” seems to be the biggest constraint on the growth of performance of securities companies in the first quarter of this year.
The figure shows the list of proprietary business of securities companies in the first quarter of 2022 as of April 28
Since 2017, the proprietary business covering equity / bond investment, derivatives trading and other contents has gradually become the business with the largest proportion of securities companies, which is not inferior to the brokerage business. It has maintained the first position in terms of revenue contribution for many years. For example, the performance contribution of proprietary business was 27.2% in 2018 and 33.4% in 2019.
However, since the beginning of this year, the capital market has experienced a bad “cold spring” weather, and the brokers who “eat in the sky” have been affected by this, the investment income has been greatly reduced, and the self operated business “can’t bear to look directly”, which has obviously dragged down the overall performance. As of now, there are a total of ( Haitong Securities Company Limited(600837) 14securities companies, including Sealand Securities Co.Ltd(000750) , Everbright Securities Company Limited(601788) , First Capital Securities Co.Ltd(002797) , Nanjing Securities Co.Ltd(601990) , Zheshang Securities Co.Ltd(601878) , suffered losses in their proprietary business in the first quarter. Among them, Haitong Securities Company Limited(600837) , Guoyuan Securities Company Limited(000728) , Zhongtai Securities Co.Ltd(600918) suffered significant losses of RMB 2.629 billion, RMB 717 million and RMB 692 million respectively.
Compared with 2021, the contribution of proprietary business to securities companies this year is still a drop in the bucket. There are already ‘ Haitong Securities Company Limited(600837) \ , Nanjing Securities Co.Ltd(601990) and other 20 securities companies saw a decrease in their self operated business income in the first quarter of 2022 compared with the same period. In other words, nearly half of the listed securities companies have been affected by their proprietary business in the first quarter of this year.
It is worth mentioning that, as a leading brokerage, Haitong Securities Company Limited(600837) , China Merchants Securities Co.Ltd(600999) did not set an example Haitong Securities Company Limited(600837) self operating income lost 2.629 billion yuan, a year-on-year decrease of 5.505 billion yuan China Merchants Securities Co.Ltd(600999) 2022 in the first quarter, the self operated income was only 176 million yuan, a year-on-year decrease of 90.35%, which significantly reduced the overall performance.
At present, only the head securities companies Citic Securities Company Limited(600030) and China Securities Co.Ltd(601066) have carried the banner of self operated business, realizing the income of RMB 3.351 billion and RMB 631 million respectively. There are also four securities companies with positive growth in self operated income compared with last year, including The Pacific Securities Co.Ltd(601099) , Boc International (China) Co.Ltd(601696) , First Capital Securities Co.Ltd(002797) , Everbright Securities Company Limited(601788) . However, securities companies like Founder Securities Co.Ltd(601901) , Caida Securities Co.Ltd(600906) , Shanxi Securities Co.Ltd(002500) , Chinalin Securities Co.Ltd(002945) , Nanjing Securities Co.Ltd(601990) and other securities companies performed fairly well in terms of the low degree of decline.
The financial Associated Press reporter noted that many securities companies made a straightforward “statement” in the first quarter report. The performance in the first quarter of this year was less than expected, which was due to self-management Caida Securities Co.Ltd(600906) said that due to the decline in the investment income of proprietary business and the fair value of securities held by the company, the operating income of the company decreased simultaneously. Combined with the impact of the reversal of a large amount of credit impairment loss in the same period of last year, the net profit attributable to the parent company and the net profit after deduction decreased.
Southwest Securities Co.Ltd(600369) said that the company’s income from changes in fair value in the first quarter was -353 million yuan, which was due to the “increase in floating losses of trading financial assets”, while the investment income decreased by 91.1% year-on-year to 54 million yuan Harbin Hatou Investment Co.Ltd(600864) said that the year-on-year decrease in the net profit attributable to the parent company was related to the year-on-year decrease in the income from changes in fair value of Jianghai securities Guoyuan Securities Company Limited(000728) pointed out that the loss of net profit attributable to the parent company in the first quarter was mainly due to the large adjustment range of the securities market and the large floating loss of equity investment in the company’s self operated securities investment business.
Why can some of the above-mentioned securities companies break through thousands of waves under such extreme market in the first quarter? Wang Zejun, a non bank analyst at China Post securities, said that under the background of the downward market shock this year, the investment and research ability of different companies will be directly reflected in the performance difference of self operated business income. In addition, the derivatives business ability of head securities companies is stronger than that of small and medium-sized securities companies, and their profitability in terms of anti risk fluctuation and structural market is stronger.
The financial Associated Press reporter also learned from several securities companies with acceptable self operated business performance this year that it is indeed related to the performance of the company’s derivatives business.
Nanjing, Everbright, founder and many other securities companies’ brokerage business is a greater drag
It is not difficult to find that the prediction from the perspective of self operation seems to be true. Self operation has indeed become a key factor hindering the performance of securities business. However, many analysts pointed out that as the traditional business of securities companies, the performance of brokerage business has also dragged down the performance of securities companies in the first quarter due to the treachery of market conditions.
The figure shows the list of brokerage service fee net income of securities companies in the first quarter of 2022 as of April 29
The Associated Press reporter noted that among the brokers that have disclosed the quarterly report as of now, the Associated Press reporter noted that among the brokers that have disclosed the quarterly report, among the brokers that have disclosed the quarterly report as of now, there are Tsingtao Brewery Company Limited(600600) Tsingtao Brewery Company Limited(600600) 30 \ \
Huaxi Securities Co.Ltd(002926) , Western Securities Co.Ltd(002673) The Pacific Securities Co.Ltd(601099) , Caida Securities Co.Ltd(600906) , First Capital Securities Co.Ltd(002797) , Haitong Securities Company Limited(600837) , Guoyuan Securities Company Limited(000728) and other 15 companies, that is to say, similar to the self operated business, 30% of the listed securities companies have less brokerage business than expected.
Among them, Nanjing Securities Co.Ltd(601990) , Everbright Securities Company Limited(601788) , Founder Securities Co.Ltd(601901) , China Merchants Securities Co.Ltd(600999) , Sinolink Securities Co.Ltd(600109) , Dongxing Securities Corporation Limited(601198) , Citic Securities Company Limited(600030) and other brokerage business fee net income decreased by more than 10% compared with the same period. While Zheshang Securities Co.Ltd(601878) which is a traditional large brokerage business, made its first stop at C with an increase of 21%.
According to many reports by the financial Associated Press in the first quarter of this year, in the first quarter of 2022, due to the impact of market adjustment, the scale of new fund issuance decreased, the difficulty of continuous marketing increased, and the agency sales income of securities companies was under pressure. In addition, although the daily average stock base trading volume increased year-on-year, the commission rate continued the downward trend in recent years.
Guotai Junan Securities Co.Ltd(601211) non bank analysts said that the brokerage business income of securities companies may face some downward pressure.
The brokerage business of securities companies may face pressure from two aspects in the first quarter of this year. First, due to the impact of market adjustment, the scale of new fund issuance has decreased, the difficulty of continuous marketing has increased, and the income of commission sales of securities companies is under pressure; Second, despite the year-on-year increase in the trading volume of daily average shares in the first quarter, the commission rate continues the downward trend in recent years, so the brokerage business income may face some downward pressure.
Zhang Yang, a Central China Securities Co.Ltd(601375) non bank analyst, predicted that the brokerage business of the industry would decline significantly again in April.
share price “surrender”, retail investors run, funds come
The financial Associated Press reporter noted that although the first quarterly report of securities companies was not “annihilated” and there were eye-catching problems such as First Capital Securities Co.Ltd(002797) such, it was transmitted to the secondary market. Under the background of the treacherous overall market, securities companies’ stocks basically “surrendered”, and the valuation of the sector was under pressure.
Data show that within four trading days (from April 25 to April 28, April 25 to April 28) within four trading days (from April 25 to April 28), four trading days (from April 25 to April 28), four trading days after the first official quarterly report of the first official quarterly quarter of the season when China Merchants Securities Co.Ltd(600999) 35 ) disclosure of the first official disclosure of the securities industry of 60099ii class II (excluding the Orient Securities Company Limited(600958) \;, Chinalin Securities Co.Ltd(002945) , Xiangcai Co.Ltd(600095) , Huaxi Securities Co.Ltd(002926) , Hongta Securities Co.Ltd(601236) followed, with a decline of more than 18%. The average decline of 48 brokerage stocks reached 11.84%, and 20 brokerage stocks fell more than the average, accounting for nearly 50%.
Lengthen the timeline. From the overall situation in the first quarter, only Chinalin Securities Co.Ltd(002945) achieved an increase. At the same time, the financial Associated Press reporter noted that many retail investors have fled. Among the securities companies that have disclosed the first quarterly report, the number of registered shareholders of 22 securities companies has decreased. On the contrary, more than 15 securities companies have been increased by the fund, such as Boc International (China) Co.Ltd(601696) , Huaan Securities Co.Ltd(600909) , etc.
As the “wind vane” of the market, the trend of the securities sector has attracted the attention of investors. As for the next trend of the securities sector, China Post Securities pointed out in a recent research report that it is expected that the performance of the securities industry in the first quarter of this year will be under pressure as a whole, or there will be performance differentiation. If the market starts to repair the upward trend, it is expected to boost the overall brokerage sector.
