The "Matthew Effect" in the Securities Industry Becomes Prominent: CITIC Securities Co., Ltd. Releases Semi-Annual Report, Net Profit Up 70% Year-on-Year

CITIC Securities Co., Ltd., the leading player in the securities industry, recently released its 2026 semi-annual report. The report shows that in the first half of 2026, the company achieved operating revenue of RMB 49.692 billion, a year-on-year increase of 50.00%; net profit attributable to shareholders of the parent company amounted to RMB 23.343 billion, a year-on-year increase of 69.60%. Both revenue and net profit achieved rapid growth.

From the perspective of core financial indicators, during the reporting period, the company's weighted average return on equity (ROE) reached 7.81%, an increase of 2.88 percentage points year-on-year. As of the end of the reporting period, the company's total assets stood at RMB 2.47 trillion, an increase of 18.64% compared to the end of the previous year; equity attributable to shareholders of the parent company was RMB 351.036 billion, an increase of 9.72% compared to the end of the previous year. The net cash flow from operating activities was RMB 105.62 billion, a year-on-year increase of 248.04%. In terms of risk control indicators, as of the end of the reporting period, the parent company's net capital was RMB 181.039 billion, with a risk coverage ratio of 225.31%.

Securities Investment Contributes Significant Revenue

Echoing this year's market performance, CITIC Securities Co., Ltd.'s securities investment business performed exceptionally well in the first half of the year. During the reporting period, this business generated operating revenue of RMB 19.854 billion, a year-on-year increase of 36.96%, becoming the company's largest source of revenue.

This is related not only to the market performance of the year but also to CITIC Securities Co., Ltd.'s strong diversified investment capabilities.

In addition, in the institutional equity business, the company's market share in A+H share trading volume for public mutual funds was 6.96%, maintaining a leading position in the industry.

Wealth Management Client Assets Exceed RMB 17 Trillion

In the brokerage business, the segment generated operating revenue of RMB 13.142 billion during the reporting period, a year-on-year increase of 41.02%.

As of the end of the reporting period, the company's cumulative number of clients exceeded 18 million, an increase of 7% compared to the end of the previous year; the scale of custodian client assets exceeded RMB 17 trillion, an increase of 14% compared to the end of the previous year; and the scale of retained financial products entered the trillion-yuan level.

The company is steadily advancing the global layout of its overseas wealth management, focusing on the Asia-Pacific region and key financial markets in major global economies, while steadily expanding its international business. By building a wealth management and comprehensive service platform that spans regions, markets, and asset classes, the company enriches its product system and enhances comprehensive account service levels, providing multi-field one-stop product and asset allocation solutions for global high-net-worth clients and institutional investors. In the first half of 2026, the sales volume and retained scale of overseas wealth management products grew significantly, with overall revenue maintaining a growth trend.

Securities Underwriting Revenue Increases 42% Year-on-Year

In the investment banking (securities underwriting) business, the segment generated operating revenue of RMB 2.914 billion during the reporting period, a year-on-year increase of 41.92%.

Domestically, CITIC Securities Co., Ltd. sponsored the IPO of Lianxun Instruments, known as the "first stock in AI optical interconnect testing equipment," and completed Air China's largest cash private placement in the A-share market in the first half of 2026.

Internationally, the company ranked second in the market for the number of Hong Kong stock equity projects and Hong Kong IPO sponsorships; it completed 44 overseas equity projects with an underwriting scale of USD 4.218 billion; and completed 96 offshore bond projects for Chinese enterprises.

Asset Management Scale Approaches RMB 2 Trillion

In the asset management business, the segment generated operating revenue of RMB 8.003 billion during the reporting period, a year-on-year increase of 33.00%.

As of the end of the reporting period, the company's total asset management scale amounted to RMB 1.975256 trillion, including RMB 548.237 billion in collective asset management plans, RMB 1.068888 trillion in single asset management plans, and RMB 358.131 billion in specialized asset management plans. The market share of private asset management business was 14.37%, ranking first in the industry. The subsidiary, China Asset Management (Huaxia Fund), managed assets totaling RMB 2.907998 trillion, including a public fund management scale of RMB 2.124689 trillion. In the custody business, as of the end of the reporting period, the company provided custody services for 14,918 products and fund outsourcing services for 14,330 products.

Interim Dividend of RMB 4.27 per 10 Shares

Regarding dividends, the company's 2026 interim profit distribution plan is: a cash dividend of RMB 4.27 (including tax) for every 10 shares. Based on the total share capital of 15.624 billion A-shares and H-shares as of August 20, 2026, the total cash dividend distributed amounts to RMB 6.672 billion (including tax), accounting for 29.39% of the net profit attributable to ordinary shareholders of the listed company in the first half of 2026 (unaudited).

This plan is still subject to approval by the company's shareholders' meeting.

Overall, CITIC Securities Co., Ltd. achieved rapid growth in both revenue and net profit in the first half of 2026. Revenue from major businesses such as brokerage, asset management, securities investment, and securities underwriting all increased, maintaining a good growth momentum in operations.

Looking at previously published semi-annual reports, the domestic securities industry shows a clear "Matthew Effect" where "the strong get stronger." Larger institutions are better adapted to current industry competition, a point worthy of close attention.