投资扭亏转盈，信用及减值损失拖累业绩

Investment Rating - The report maintains an "Outperform" rating for the company [5] Core Views - The company reported a significant decline in revenue and net profit for 2023, with revenue at 22.953 billion yuan, down 11.5% year-on-year, and a net profit of 1.008 billion yuan, down 85% year-on-year [5][6] - The decline in performance is attributed to credit and impairment losses, which heavily impacted earnings [5] - Despite the challenges, the company has shown growth in new client asset scale and maintained a strong position in the equity underwriting market [5] Summary by Sections Financial Performance - In 2023, the company achieved a revenue of 22.953 billion yuan, a decrease of 11.5% year-on-year, and a net profit of 1.008 billion yuan, down 85% year-on-year [5][6] - The fourth quarter of 2023 saw a drastic drop in revenue to 0.38 billion yuan, down 95% year-on-year and 93% quarter-on-quarter, with a net loss of 3.35 billion yuan [5] - The return on equity (ROE) for the year was 0.61%, a decrease of 3.38 percentage points year-on-year [5] Revenue Breakdown - The company's main revenue sources in 2023 included brokerage (3.83 billion yuan, -18%), investment banking (3.42 billion yuan, -18%), asset management (1.91 billion yuan, -15%), net interest income (4.09 billion yuan, -34%), and net investment income (0.14 billion yuan, turning from loss to profit) [5] - Investment income positively contributed to the main revenue, while credit business negatively impacted it [5] Client Growth and Market Position - The company opened 1.1 million new client accounts in 2023, with new client assets totaling 259.2 billion yuan, a year-on-year increase of 31% [5] - The company’s market share in stock trading decreased to 3.32%, down 12 basis points year-on-year, with a trading volume of 16 trillion yuan, down 6.2% year-on-year [5] Asset Management and Fund Performance - The company’s asset management division reported a profit contribution of 0.98 billion yuan, down 20% year-on-year, with a total asset under management (AUM) of 1,025 billion yuan, up 10% year-on-year [5] - The company’s fund management subsidiary, HFT Fund, maintained a strong position with an AUM of 571.1 billion yuan, ranking fifth in the industry [5] Investment Banking Performance - The company achieved an IPO underwriting volume of 46.6 billion yuan in 2023, up 30% year-on-year, with a market share of 13% [5] - The company also reported a significant increase in debt financing, with a total of 484.7 billion yuan, up 48% year-on-year [5] Future Outlook - The report projects a recovery in net profit for 2024, estimating it at 4.148 billion yuan, representing a year-on-year increase of 311.5% [6] - The target price for the company's stock is set at 9.82 yuan per share, indicating a potential upside of 13% from the current price [5]