Event: the company recently released its 2019 interim report, with operating income of 753 million yuan, an increase of 79.40% over the same period last year, and net profit of 292 million yuan, an increase of 251.92% over the same period last year, with a weighted ROE of 2.55% and 0.09 yuan per share.
Self-management is mainly in the category of high-quality fixed income, with a substantial increase in income, becoming the main source of income. Securities companies grasp the market environment and strengthen the construction of investment and research capacity. in the second half of last year, securities companies began to actively allocate fixed income varieties of investment to obtain stable returns and promote the rapid development of securities investment business. During the reporting period, the company's securities investment business achieved income of 515 million yuan, compared with-7.9857 million yuan in the same period last year. The proportion of proprietary income is as high as 54.67%.
Securities brokerage business: transition to wealth management to achieve steady growth. The company's securities brokerage business is based in Yunnan and gradually develops to the whole country. During the reporting period, the company set up 5 new branches to optimize the layout of business outlets. On the other hand, the company's securities brokerage business is transformed to wealth management to promote business development. During the reporting period, the company's brokerage business achieved revenue of 96.3352 million yuan, an increase of 30.52% over the same period last year, accounting for 10.22% of the income. The competition situation is severe, and the investment banking business has declined seriously. During the reporting period, the market investment banking business competition situation is severe, the new third board secondary market continues to be in the doldrums and the fair value of market-making business income is negative and other factors have a negative impact on investment banking business income. During the reporting period, the company's investment banking revenue reached 6.4141 million yuan, down 78.93% from the same period last year.
Credit transaction business the total scale of credit transaction business has declined slightly, and the income has basically remained stable. At the end of the reporting period, the total size of the company's credit trading business was 5.468 billion yuan, down 10.14% from the beginning of the year, including margin trading of 989 million yuan and stock pledge of 4.479 billion yuan. During the reporting period, the company's credit trading business achieved income of 210 million yuan, a decrease of 3.70% over the same period last year, and basically remained stable. Credit trading business is also an important source of income for the company, accounting for 22.24%.
Futures brokerage business: futures brokerage business + asset management business, open up new markets. The company actively develops futures brokerage business + asset management business to achieve stable business growth. During the reporting period, the company's futures brokerage business achieved income of 30.2287 million yuan, an increase of 16.68% over the same period last year.
Fund business: private investment fund business is growing rapidly, and public fund management business remains stable. The company promoted the landing of equity investment funds and other projects, and achieved rapid growth in private investment fund business income. During the reporting period, the company's private investment fund business income reached 16.2711 million yuan, an increase of 172.90% over the same period last year. The income of public offering funds has basically remained stable. At the end of the reporting period, the management scale of the company's public offering fund was 4.297 billion yuan. During the reporting period, the company's fund management business achieved an income of 59.5819 million yuan, an increase of 0.36% over the same period last year.
Risk hints: the risk of volatility in the secondary market; the risk brought about by policy changes, etc.