DFZQ — Interim / Quarterly Report 2021

Jul 23, 2021

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 HALF OF 2021

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(2) of the Listing Rules.

The major financial data for the first half of 2021 as set out in this announcement is preliminary accounting data under the Chinese Accounting Standards for Business Enterprises, which has not been audited by an accounting firm. The final data should be those to be disclosed in the 2021 interim report of the Company (the “ 2021 Interim Report ”). Investors are advised to pay attention to such investment risks involved.

• I. MAJOR FINANCIAL DATA AND INDICATORS FOR THE FIRST HALF OF 2021 (CONSOLIDATED)

Currency: RMB Units:’0,000

		The
		corresponding
	The reporting	period of	Increase or
Item	period	previous year	decrease (%)
Total operating revenue	1,327,675.61	962,529.33	37.94
Operating profit	303,645.67	167,705.99	81.06
Total profit	312,940.74	177,710.33	76.10
Net profit attributable to the shareholders
of the listed company	270,035.97	152,602.38	76.95
Net profit after non-recurring profit or
loss attributable to the shareholders of
the listed company	262,938.27	143,902.35	82.72
Basic earnings per share (RMB)	0.37	0.22	68.18
Weighted average return on net assets (%)	4.60	2.80	Increased by 1.80
			percentage points

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	As at the end of
	the reporting	As at the end of	Increase or
	period	previous year	decrease (%)
Total assets	31,128,260.89	29,111,744.16	6.93
Equity attributable to the shareholders of
the listed company	6,104,786.87	6,020,285.09	1.40
Share capital	699,365.58	699,365.58	0.00
Net assets per share attributable to the
shareholders of the listed company
(RMB)Note	8.73	8.61	1.39

Note: net assets per share attributable to the shareholders of the listed company as at the end of the reporting period shown in the above table include existing perpetual subordinated bonds of the Company. Excluding the effect thereof, net assets per share attributable to the ordinary shareholders of the listed company as at the end of the reporting period shall be RMB8.01 (as at the end of previous year: RMB7.89).

II. DETAILS OF OPERATING RESULTS AND FINANCIAL POSITIONS

In the first half of 2021, the capital market was active and the Company maintained stable operation with favourable momentum, and achieved balanced development of all businesses and significant growth in operating results. During the reporting period, the Company achieved operating revenue of RMB13,277 million and net profit attributable to shareholders of the listed company of RMB2,700 million, representing an increase of 37.94% and 76.95% over the same period of last year, respectively, which were primarily due to the year-on-year increase in net income from handling fee of businesses such as asset management, brokerage and investment banking businesses of the Company and investment income from associates and the year-on-year decrease in provision for credit impairment.

As at the end of June 2021, the Company’s total assets amounted to RMB311,283 million, representing an increase of 6.93% from the beginning of the year, which was mainly due to the increase in settlement funds for customer securities transactions. Equity attributable to the shareholders of the listed company amounted to RMB61,048 million, representing an increase of 1.40% from the beginning of the year, which was mainly due to the net profits recorded during the period.

III. RISK WARNINGS

The major financial data for the first half of 2021 as set out in this announcement, which is preliminary accounting data, may be different from the data to be disclosed in the 2021 Interim Report, but it is expected that the abovementioned difference would not exceed 10%. Investors are advised to pay attention to such investment risks involved.

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IV. DOCUMENTS AVAILABLE FOR INSPECTION

The comparative balance sheet and income statement which are signed and sealed by Mr. JIN Wenzhong, the current legal representative of the Company, Mr. ZHANG Jianhui, the accounting chief and Mr. YOU Wenjie, person-in-charge of the accounting department of the Company.

By order of the Board of Directors JIN Wenzhong Chairman

Shanghai, PRC July 23, 2021

As at the date of this announcement, the Board of Directors comprises Mr. SONG Xuefeng and Mr. JIN Wenzhong as executive Directors; Mr. YU Xuechun, Mr. LIU Wei, Mr. ZHOU Donghui, Mr. CHENG Feng, Mr. REN Zhixiang and Ms. ZHU Jing as non-executive Directors; and Mr. XU Zhiming, Mr. JIN Qinglu, Mr. WU Hong, Mr. FENG Xingdong and Mr. LUO Xinyu as independent non-executive Directors.

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