Jiuding Group’s 2017 Semiannual Financial Statement Shows Significant in Revenues and Profits Increa


Tongchuang Jiuding Capital (known as Jiuding Group on the stock market; stock code: 430719 ) released its 2017 semiannual report on the night of August 25, 2017.

In the first half of 2017, the group registered a revenue of RMB 3.973 billion yuan, a 129.8% year-on-year increase. Net profit attributable to equity holders of the parent reached RMB 573 million yuan, up by 37.9% year on year. The company’s total assets value surpassed RMB 100 billion yuan for the first time, standing at  RMB 101.159 billion yuan.

Factors behind the significant year-on-year increase in its revenues are:

(1) This statement includes Futong Life Insurance Company, who generated high revenues.

(2) In its private equity business, there is a big year-on-year increase in the value of the management fund programs it has pulled out from, resulting in a big gain in the company’s investment management revenues.

Factors behind the substantial increase in the company’s total assets are:

(1) Jiuding Group bought Futong Life Insurance in the first half of 2017, so Futong’s balance sheet is merged into the statement.

(2) Businesses conducted by Jiuzhou Securities helped increase the company’s assets.

Jiuding Group is a comprehensive investment group and has not experienced major changes in its commercial modes during the first half of 2017. The company’s business areas include: investment through holding a majority of shares and investment through buying shares. The former covers real economy and the financial sector including insurance, securities, private equity, public offering, real estate, information and technology services, payment services, telecommunications equipment manufacturing, as well as non-performing assets operation. In the latter business area, the company buys a small amount of shares from industrial enterprises in different industries, and then makes profits by collecting dividends or selling its shares in an appropriate occasion.

In the first six months of 2017, the net operating cash flow reached RMB 1.6 billion yuan, a substantial year-on-year increase from last year’s minus RMB 750 million yuan. The investment in types of controlling/operating and taking shares/financing performs well, fully demonstrating that the company is now involved in a virtuous circle.