Huaxin Securities expects to achieve revenue of 2.42B and net profit of 628 million in 2025, with no signs of improvement in the investment banking business.

Ask AI · Why did Huaxin Securities’ investment banking business stall amid overall growth?

（Photo source: Visual China）

Blue Whale News March 27 (Reporter Wang Wanling) Another mid- to small-sized brokerage has released its performance report. Recently, Huaxin Co., Ltd. (600621.SH) disclosed its 2025 annual report. For the full year, it achieved operating revenue of RMB 8B, up 26.54%; net profit attributable to shareholders of the parent company was RMB 2.59B, up significantly by 73.98% year over year. Among them, Huaxin Securities recorded revenue of RMB 636M and net profit of RMB 2.42B, representing year-over-year growth of more than 50%. It contributed nearly 99% of the profits to the listed company’s main entity.

As of the end of the reporting period, Huaxin Co., Ltd. had total assets of RMB 628M, up 26.34% from the end of the prior year; net assets attributable to shareholders of the listed company were RMB 55.4B, up 9.00% from the end of the prior year.

In terms of business structure, in 2025 all of Huaxin Co., Ltd.’s principal business segments achieved relatively rapid growth. Revenue from the brokerage business reached RMB 9.2B, up 22.57% year over year, mainly due to growth in trading volume across the whole market for stock and fund (stock exchange funds) and the resulting year-over-year increase in net fee income from agency buy-and-sell securities. Revenue from the credit business was RMB 1.04B, up 36.97% year over year, mainly due to an increase in the ending scale of margin financing and securities lending, which led to a year-over-year increase in interest income. Revenue from the asset management business was RMB 142M, up 39.04% year over year, mainly due to expansion in the asset management business scale and a corresponding year-over-year increase in management fee income. Investment banking business revenue was RMB 311M, up slightly by 0.24% year over year, basically in line with the prior year. Revenue from the futures business was RMB 138M, up 33.80% year over year, mainly due to year-over-year growth in fee and commission income from futures brokerage. Revenue from other business segments was RMB 109M, up 30.39% year over year, mainly due to year-over-year growth in both fixed-income and equity investment gains.

According to the annual report, in 2025 the company plans to distribute a final cash dividend of RMB 1.41 per 10 shares (tax included). The total cash dividend for the year is RMB 191 million, accounting for 30.04% of the net profit attributable to shareholders of the listed company in the consolidated financial statements for 2025. (Blue Whale News Wang Wanling wangwanying@lanjinger.com)