Analysis of the Sustainability of CITIC Securities' RMB 30 Billion Net Profit Growth

Based on the in-depth analysis above, we now present a professional investment research report on the sustainability of CITIC Securities’ RMB 30 billion net profit growth:

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In 2025, CITIC Securities achieved operating income of

, representing a year-on-year increase of ; its net profit attributable to parent company shareholders reached , with a year-on-year growth of [1][2]. This net profit scale is a milestone:

• First time exceeding the RMB 30 billion threshold
  , setting a new all-time high for the company
• Setting a new record for net profit in the securities industry
  , firmly maintaining its position as the “Top Broker”
• Non-recurring profit and loss adjusted net profit reached
  RMB 30.287 billion
  , with a year-on-year growth of
  40.44%
• Weighted return on equity (ROE) stood at
  10.58%
  , an increase of
  2.49 percentage points
  compared to the previous year
• Total assets reached
  RMB 20.8 trillion
  , representing a year-on-year increase of
  21.79%
  [1][2]

Year	Operating Income (RMB 100 million)	Net Profit (RMB 100 million)	ROE (%)	Total Assets (RMB 1 trillion)
2021	765.24	231.00	12.07	1.28
2022	651.74	213.17	9.83	1.31
2023	600.49	197.12	8.80	1.45
2024	637.89	217.04	8.09	1.71
2025	748.30	300.51	10.58	2.08

Looking at historical data, CITIC Securities’ 2025 performance not only exceeded the previous peak in 2021 (RMB 23.1 billion) but also achieved a qualitative leap. Notably, the

, while the , indicating that the company’s profitability has maintained steady growth from a long-term perspective[3].

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In 2025, the A-share market entered a structural bull market, providing strong support for brokerage performance:

• Average daily stock and fund trading volume reached RMB 1.98 trillion
  , with a year-on-year increase of
  67%
  [2]
• Margin trading and short selling balance stood at RMB 2.5 trillion
  , representing a year-on-year increase of
  36%
  [2]
• Major A-share indices rose across the board, significantly boosting investor confidence
• The IPO market recovered, with A-share IPO underwriting amount reaching
  RMB 131.8 billion
  , a year-on-year increase of
  96%
  [4]

Business Segment	Growth Highlights	Revenue Contribution
Brokerage Business	Net commission income increased 52.9% year-on-year	Approx. 28%
Proprietary Trading Business	Investment income increased 190.05% year-on-year	Approx. 44%
Investment Banking Business	17 IPOs (+86%), 41 refinancings (+230%)	Approx. 15%
Overseas Business	Revenue increased 52% year-on-year	Continuously improving

In the first three quarters of the year, the company achieved investment income of

, which became the core driver of performance growth[2].

CITIC Securities has firmly advanced its international layout. In the first half of 2025, its overseas subsidiary CITIC Securities International achieved:

• Operating income of
  USD 1.492 billion
  , with a year-on-year increase of
  52.87%
• Net profit of
  USD 387 million
  , representing a year-on-year growth of
  65.38%
  [2]

The strong performance in the Hong Kong market and the deepening of cross-border service capabilities have opened up a new growth pole for the company.

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• Cumulative number of served customers
  exceeded 17 million
• Assets under management (AUM) of served customers reached approximately
  RMB 150 trillion
• Global financial product holdings exceeded
  RMB 800 billion
• Scale of buyer-side investment advisory services exceeded
  RMB 130 billion
  [1][2]

In December 2025, the company officially launched its new wealth management brand “Xin 100”, marking a new phase in its wealth management transformation.

• In the first three quarters of 2025, the top 10 brokerages accounted for
  65% of total industry revenue
  , an increase compared to 2024[5]
• Regulatory focus has shifted from scale expansion to efficiency and return assessment, forcing the industry to optimize resource allocation
• Leading brokerages are expected to maintain performance superior to the industry average, supported by their capital strength, customer base, and comprehensive service capabilities[5]

• As the inaugural year of the “15th Five-Year Plan”, the policy environment has continued to improve
• Capital market expectations have recovered, coupled with high trading activity
• Regulators have continued to promote institutional opening-up, encouraging medium- to long-term capital to enter the market
• The trend of household deposit migration and long-term investment has strengthened the resilience of the equity market[5]

• Newly issued equity-oriented funds have improved year-on-year, driving continuous growth in asset management revenue
• Institutions predict that the industry’s asset management business revenue is expected to grow
  33% year-on-year in 2026
  [6]

Brokerages’ revenue from brokerage, margin trading, proprietary trading and other businesses is directly related to market trading activity. The substantial performance growth in 2025 benefited greatly from the overall market rally; if the market enters a correction phase, performance growth momentum may weaken[7].

• Public fund sub-account commissions have continued to decline since 2021, falling to RMB 10 billion in 2024, a year-on-year decrease of
  35%
  [8]
• The “New Commission Regulations” implemented in July 2024 further compressed the upper limit of commission rates
• Brokerage sub-account commission income in the first half of 2025 was
  RMB 4.458 billion
  , a
  34% decline
  compared to the same period last year[8]

Despite strong performance, the brokerage sector has shown weak performance in the secondary market:

• Throughout 2025, CITIC Securities’ stock price fell slightly by
  0.71%
  , while the Shanghai Composite Index rose
  18.41%
  for the full year[1][2]
• As of January 14, 2026, CITIC Securities’ stock price had fallen
  1.67%
  since the start of 2026, showing a clear divergence between stock price and performance
• The current price-to-earnings ratio (P/E) is
  14.83x
  , and the price-to-book ratio (P/B) is
  1.48x
  , both at historically low levels[3]

• The securities industry is accelerating opening-up to the outside world, with relaxed restrictions on mixed operation
• An increasing number of brokerages are enhancing their strength through listing, acquisitions, and mergers
• Foreign-funded brokerages are expanding their domestic business layout in China, increasing competitive pressure[9]

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Valuation Indicator	Value	Historical Position
Price-to-Earnings Ratio (P/E)	14.83x	Low
Price-to-Book Ratio (P/B)	1.48x	Low
EV/OCF	11.20x	Reasonable
ROE	10.58%	Recovered to a favorable level

Tian Lihui, Dean of the Institute of Financial Development at Nankai University, pointed out that the current valuation of the brokerage sector is at an extremely low historical level, and investor sentiment is mired in several core concerns[2]:

1. Doubts about the quality of performance growth
   : How much of the high growth is derived from short-term “beta” of market fluctuations, rather than the company’s intrinsic “alpha” capabilities
2. Concerns about the long-term profitability sustainability of the traditional model
   : The traditional channel business model faces challenges amid the downward trend of commission rates
3. Uncertainty in the merger and acquisition integration process
   : Although industry mergers and acquisitions depict a long-term vision, there are uncertainties in the integration process

CITIC Securities’ valuation is expected to recover if the following conditions occur:

• Leading brokerages prove through consecutive financial reports that the proportion of fee-based business has increased
• The profit model is successfully transformed to be led by high-value-added businesses
• Market recognition of the company’s “alpha” capabilities increases
• Policies for deepening capital market reform are continuously implemented

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:

Assessment Dimension	Judgment	Basis
Short-term (1 year)	High certainty	Inertia of market activity, policy support, results of wealth management transformation
Medium-term (2-3 years)	Medium certainty	Dependence on market environment, downward pressure on commission rates, evolution of competitive landscape
Long-term (5+ years)	To be observed	Progress of business model transformation, results of internationalization, progress of industry integration

• Risk-preferred investors
  : May pay attention to the valuation repair opportunity of CITIC Securities; the current divergence between “high performance and low valuation” provides a margin of safety
• Conservative investors
  : It is recommended to wait for further verification of the “quality” of performance growth before deploying capital
• Key points to focus on
  : Trend of commission rates, increase in the proportion of wealth management business, growth of overseas business, progress of merger and acquisition integration

1. Capital market fluctuation risk: If the market enters a correction phase, performance growth momentum may weaken
2. Regulatory policy risk: Changes in policies such as commission rate regulation and capital adequacy requirements
3. Risk of intensified competition: Changes in market share due to mixed operation and competition from foreign-funded brokerages
4. Risk of performance falling short of expectations: Valuation pressure when actual performance is lower than expectations due to overly high market expectations

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[1] Sina Finance - “Net Profit Exceeds RMB 30 Billion! CITIC Securities’ 2025 Performance Express is Released!” (https://finance.sina.cn/2026-01-14/detail-inhhhtem8223607.d.html)

[2] 21st Century Business Herald - “Bull Market is Here! The ‘Top Broker’ Earned Over RMB 30 Billion in Net Profit” (https://www.21jingji.com/article/20260117/herald/d6069e1cc3571bbddbf6e745d117dc31.html)

[3] Jinling AI - Company Profile Data (600030.SS)

[4] CLS - “The First Brokerage Performance Express is Unveiled! CITIC Securities’ Net Profit Exceeds RMB 30 Billion, Setting a New Record High” (https://www.cls.cn/detail/2257731)

[5] Eastmoney - “Five Trends Outlook for the Securities Industry in 2026” (https://pdf.dfcfw.com/pdf/H3_AP202512311812001126_1.pdf)

[6] The Paper - “For the First Time in History! CITIC Securities’ Net Profit Exceeded RMB 30 Billion Last Year, with a Year-on-Year Increase of 38%” (https://www.thepaper.cn/newsDetail_forward_32388824)

[7] CCXI - “Credit Rating Report on CITIC Securities Co., Ltd.'s 2026 Public Issuance of Corporate Bonds to Professional Institutional Investors” (http://qxb-pdf-osscache.qixin.com/AnBaseinfo/ab14e0b5e50b7fdeee3ca17fb9e82262.pdf)

[8] Securities Times - “From Local to Global: 2025 Brokerage Research ‘Triple Transformation’, Who Can Break Through?” (https://www.stcn.com/article/detail/3593135.html)

[9] Goldman Sachs Global Investment Research - “Ten-Year Outlook Revisited: The Industry Evolution Path by 2026 is Increasingly Clear” (http://pdf.dfcfw.com/pdf/H3_AP201912101371729686_1.PDF)

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: January 18, 2026
: Jinling AI Investment Research Analysis System