Source of this article: Times Finance Author: Liu Ziqi
Source: Diagram Worm
On the evening of April 23, Western Securities (002673. SZ) also released its 2023 annual report and 2024 first quarter report.
In 2023, Western Securities achieved operating income of 6.894 billion yuan, an increase of 29.87% year-on-year, and net profit attributable to shareholders of listed companies of 1.166 billion yuan, an increase of 170.76% year-on-year. As of the end of 2023, the total assets of Western Securities were 96.221 billion yuan, an increase of 0.43% compared with the end of the previous year.
Western Securities' 2023 annual profit distribution plan is: it plans to distribute 0.9 yuan (tax included) to all shareholders for every 10 shares, with a total cash dividend of 402 million yuan (tax included), which is almost double the dividend amount of 200 million yuan in 2022.
Source: Western Securities Annual Report
In the first quarter of 2024, Western Securities' revenue and net profit attributable to the parent company both declined, reaching 1.595 billion yuan and 196 million yuan respectively, a year-on-year decrease of 12.01% and 45.24%. Specifically, in the first quarter of this year, due to the fluctuation of the securities market, the change in the fair value of financial instruments declined, from 330 million yuan in the previous period to 125 million yuan.
As of April 24, Western Securities closed at 6.95 yuan per share, down 3.74%, with a total market value of about 31.06 billion yuan. Regarding the performance, Times Finance called Western Securities, but no one answered as of press time.
Wealth management revenue declined
According to the annual report, Western Securities has five major business segments: wealth management business, proprietary investment business, investment banking business, credit business and asset management business.
In 2023, the operating income of Western Securities' wealth management business decreased from 835 million yuan to 771 million yuan compared with 2022, the operating income of proprietary investment business increased significantly, from 643 million yuan in 2022 to 1.760 billion yuan, a year-on-year increase of 173.71%, and the investment banking business, credit business and asset management business also increased to varying degrees.
Source: Western Securities Annual Report
In 2023, in the main business of Western Securities, the investment income will be 2.024 billion yuan, a year-on-year increase of 15.96%, accounting for 29.36% of the operating income, mainly due to the increase in the income from the disposal of financial instruments, the net income from fees and commissions will be 1.719 billion yuan, a year-on-year decrease of 5.55%, accounting for 24.93% of the operating income, and the fair value change income will be 272 million yuan, a year-on-year increase of 10.13%, accounting for 3.94% of the operating income The income from other businesses was 3.098 billion yuan, a year-on-year increase of 16.91%, accounting for 44.94% of the operating income, mainly due to the increase in the bulk commodity trading income of the company's Western Yongtang.
Source: Western Securities Annual Report
In addition, in 2023, Western Securities will successfully pass a total of 2 IPO projects on the main board and GEM of the Shenzhen Stock Exchange, and complete the issuance and listing of 1 main board IPO, 1 IPO of the Science and Technology Innovation Board and 2 refinancing projects of listed companies, as well as the recommendation and listing of 5 NEEQ projects. As of the end of 2023, the company has 5 IPO projects under review and 19 IPO projects in the counseling stage.
There are frequent changes in management
On April 17, Western Securities announced that Fan Jiangfeng applied for resignation from the position of deputy general manager of the company for work reasons, and will no longer hold any position in the company after his resignation.
Fan Jiangfeng is a veteran of Western Securities, and has successively served as Deputy General Manager of the Business Department, Deputy General Manager of the Operation and Management Department, General Manager of the Tongchuan Business Department of Shaanxi Securities, General Manager of the Tongchuan Business Department of Western Securities, General Manager of the Second Sales Department of Xi'an Lianhu Road, General Manager of the Sales Department of Xi'an West 5th Road, Deputy General Manager of the Compliance Management Department (presiding over the work of the department), General Manager of the Compliance Management Department, Chief Risk Officer and General Manager of the Risk Management Department, Chief Risk Officer and Chairman of the Labor Union. Since June 2022, he has served as a member of the Party Committee and Deputy General Manager of Western Securities, in charge of investment banking business.
Prior to this, Teng Zhiyuan, co-head and managing director of the debt financing headquarters of Western Securities, resigned and recently joined Antai Credit Rating Co., Ltd. as vice president of business. In addition, Zhou Hua, co-head of the debt financing headquarters of Western Securities, has also left his post.
Judging from the annual report data, as of December 31, 2023, Western Securities had a total of 3,324 employees (including brokers), compared with 3,248 at the end of 2022. The number of employees has increased, but wages have decreased. At the end of 2023, the compensation payable by Western Securities was 1.943 billion yuan, compared with 2.068 billion yuan at the end of 2022, due to the change in deferred compensation.
In addition, Western Securities has recently adjusted its department settings and responsibilities. On February 6, Western Securities agreed to set up a wealth operation and management department, changed the pledge financing department to the securities finance department, and adjusted the responsibilities of the wealth management department.