落实“提质增效重回报”，提振市场信心

Investment Rating - The report maintains a "Buy" rating for the company [5] Core Views - The company has completed a share repurchase plan amounting to approximately 1 billion RMB, repurchasing 71.45 million shares, which is 0.45% of its total share capital. The board plans to adjust the purpose of the repurchased shares from employee stock ownership plans to cancellation, thereby reducing the registered capital [5] - The "cancellation-based repurchase" aims to reduce the company's share capital and enhance earnings per share, aligning with the strategy of "quality improvement, efficiency enhancement, and return to shareholders" [5] - The report highlights an increasing willingness among A-share listed companies to utilize share repurchase tools to maintain company value, with several brokerages accelerating their repurchase activities [6] - Supportive policies from regulatory bodies are expected to encourage more active share repurchases and cancellations among listed brokerages, which may help restore market confidence [6] - The report projects the company's net profit for 2023-2025 to be 7.93 billion, 8.21 billion, and 9.46 billion RMB, respectively, with corresponding year-on-year growth rates of -7%, +4%, and +15% [6] Summary by Sections Market Data - Closing price as of February 26, 2024, is 13.55 RMB, with a one-year high/low of 23.84/11.83 RMB [2] - The company's market capitalization is approximately 181.986 billion RMB, with a price-to-book ratio of 3.1 [2] Financial Performance - The company reported total revenue of 11.689 billion RMB for 2023, with a projected increase to 11.985 billion RMB in 2024 and 13.565 billion RMB in 2025 [7] - The net profit for 2023 is estimated at 7.93 billion RMB, with projections of 8.21 billion RMB in 2024 and 9.46 billion RMB in 2025 [7] - The report indicates a decrease in net profit margin for 2023 to 68% from 68.2% in 2022, with an expected recovery to 70% by 2025 [7] Asset and Liability Overview - As of September 30, 2023, the company's total assets are estimated at 244.628 billion RMB, with total liabilities of 172.591 billion RMB, resulting in a debt-to-asset ratio of approximately 69.37% [3][8] - The company's equity attributable to shareholders is projected to grow from 72.038 billion RMB in 2023 to 86.222 billion RMB by 2025 [8]