DFZQ — Earnings Release 2017

Oct 20, 2017

Hong Kong Exchanges and Clearing Limited, The Stock Exchange of Hong Kong Limited and Hong Kong Securities Clearing Company Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

(A joint stock company incorporated in the People’s Republic of China with limited liability under the Chinese corporate name “ 東方證券股份有限公司 ” and carrying on business in Hong Kong as “ 東方證券 ” (in Chinese) and “DFZQ” (in English))

(Stock Code: 03958)

ANNOUNCEMENT ON PRELIMINARY FINANCIAL DATA FOR THE FIRST THREE QUARTERS OF 2017

This announcement is made by 東方證券股份有限公司 (the “ Company ”) pursuant to the Inside Information Provisions (as defined under the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited) (the “ Listing Rules ”) under Part XIVA of the Securities and Futures Ordinance (Cap. 571 of the laws of Hong Kong) and Rule 13.09 of the Listing Rules.

The major financial data for the first three quarters of 2017 as set out in this announcement, which are preliminary accounting data, have not been audited by an accounting firm. The final data should be those to be disclosed in the 2017 third quarterly report of the Company. The investors are reminded of the investment risks.

I. MAJOR FINANCIAL DATA AND INDICATORS FOR THE FIRST THREE QUARTERS OF 2017 (CONSOLIDATED)

Units and Currency: RMB10,000

		The
		corresponding
	The reporting	period of the	Increase or
Item	period	previous year	decrease (%)
Total operating income	705,899.34	476,796.30	48.05
Operating profit	291,206.05	210,492.05	38.35
Total profit	320,980.48	231,588.33	38.60
Net profit attributable to the
shareholders of the Company	262,891.54	187,582.00	40.15
Basic earnings per share (RMB)	0.42	0.34	23.53
Weighted average return on net	6.37	5.21	Increased by 1.16
assets (%)			percentage points

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	As at the end	As at the
	of the	beginning of
	reporting	the reporting	Increase or
Item	period	period	decrease (%)
Total assets	22,343,832.69	21,241,108.74	5.19
Equity attributable to the
shareholders of the Company	4,168,587.34	4,048,289.85	2.97
Share capital	621,545.20	621,545.20	0.00
Net assets per share attributable to
the shareholders of the
Company (RMB)	6.71	6.51	3.07

Note: The above financial data and indicators have not been audited.

II. DETAILS OF OPERATING RESULTS AND FINANCIAL POSITIONS

From January to September in 2017, the domestic securities market remained stable, the stock indexes in Shanghai Stock Exchange and the Shenzhen Stock Exchange showed an overall upward trend, but the market trading volume shrank further, the commission rate continued to decline, and the industry became competitive increasingly. The Company adheres to the sound operation and strengthens risk management, constantly consolidates business advantages and actively promotes innovation and transformation to achieve a steady growth in asset size and increase in profitability. During the reporting period, the Company realized operating income of RMB7.059 billion and realized net profit attributable to shareholders of the Company of RMB2.629 billion, representing an increase of 48.05% and 40.15% respectively over the same period of last year. The increase in operating income and net profit attributable to shareholders of the Company during the reporting period was mainly due to the growth in net income of securities investment, and asset management and other business.

By order of the Board of Directors PAN Xinjun Chairman

Shanghai, PRC October 20, 2017

As at the date of this announcement, the Board of Directors comprises Mr. PAN Xinjun and Mr. JIN Wenzhong as executive Directors; Mr. WU Jianxiong, Mr. ZHANG Qian, Mr. WU Junhao, Mr. CHEN Bin, Mr. LI Xiang, Mr. XU Jianguo, Ms. HUANG Laifang and Mr. ZHOU Yao as non-executive Directors; and Mr. XU Guoxiang, Mr. TAO Xiuming, Mr. WEI Anning, Mr. XU Zhiming and Mr. JIN Qinglu as independent nonexecutive Directors.

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