Industrial Securities H1 2026 Revenue Up 24.54%, Net Profit Up 60.08%, Plans 0.5 Yuan Dividend

On the evening of August 19, Industrial Securities Co. , Ltd. disclosed its 2026 semi-annual report. During the reporting period, the company achieved operating revenue of RMB 6.73 billion, up 24.54% year-on-year; net profit attributable to shareholders of the parent company was RMB 2.129 billion, up 60.08%; net profit after deducting non-recurring gains and losses was RMB 2.08 billion, up 61.39%. The company plans to distribute a cash dividend of RMB 0.5 (tax inclusive) per 10 shares based on a total share capital of 8.636 billion shares, with a total distribution of approximately RMB 432 million, accounting for 20.28% of H1 net profit.

Industrial Securities' H1 net profit exceeded RMB 2 billion again after five years, having previously reached this level in H1 2015 and H1 2021. From 2022 to 2025, H1 net profits were RMB 1.374 billion, RMB 1.796 billion, RMB 942 million, and RMB 1.33 billion, respectively. In terms of business structure, among the five business lines, only the institutional and trading business saw revenue decline. Securities and futures brokerage operating revenue was RMB 2.472 billion, up 41.13%; asset management operating revenue was RMB 1.945 billion, up 35.6%; investment banking operating revenue was RMB 192 million, up 62.14%; overseas business operating revenue was RMB 283 million, up 8.28%; institutional and trading business operating revenue was RMB 1.856 billion, down 11.38%.

In H1, the company's net fee and commission income was RMB 3.905 billion, up 46.85% year-on-year, mainly due to increases in brokerage fee income and fund management fee income. Operating costs were RMB 3.575 billion, roughly flat compared with the same period in 2025, resulting in net profit growth outpacing revenue growth. In wealth management, new client accounts exceeded 1.5 million, and total stock and fund trading volume reached RMB 10.95 trillion, up 126% year-on-year. The parent company's net income from securities agency trading was RMB 1.761 billion, up 71%; net income from financial product distribution was RMB 270 million, up 69%. As of end-June, margin financing and securities lending balance was RMB 51.946 billion, up 24% from end-2025; custody and outsourcing business scale reached RMB 592.7 billion, a record high, ranking sixth in the industry in the number of custodied private fund products.

In asset management, as of end-June, Industrial Securities Asset Management's entrusted assets totaled RMB 125 billion; Xingquan Fund's total management scale exceeded RMB 920 billion. On a quarterly basis, Q1 operating revenue was RMB 2.665 billion, up 13.44% year-on-year; net profit was RMB 786 million, up 52.17%. Calculated Q2 operating revenue was approximately RMB 4.065 billion, and net profit approximately RMB 1.343 billion, up about 52.5% and 70.9% quarter-on-quarter, respectively. Among profitability indicators, basic earnings per share was RMB 0.2371, up 60.96% year-on-year; weighted average return on equity was 3.6%, up 1.29 percentage points. As of the end of the reporting period, the company's total assets were RMB 390.716 billion, up 13.25% from end-2025; equity attributable to shareholders of the parent company was RMB 61.933 billion, up 0.48%; net capital was RMB 38.523 billion.

In regulatory matters, on July 27, the Hong Kong Securities and Futures Commission announced that it had reprimanded and fined Industrial Securities International Asset Management Limited HKD 6.8 million for failing to perform its duties as a fund manager of a private fund from August 2019 to September 2020, including not exercising independent investment discretion, not conducting adequate due diligence, and not identifying and handling multiple warning signs. Industrial Securities International Asset Management was established in 2011 and is under Industrial Securities International Financial Group, in which Industrial Securities indirectly holds a 60.1% stake.

Industrial Securities was established on October 29, 1991, and listed on the Shanghai Stock Exchange in October 2010. Its registered address is in Fuzhou, Fujian Province, and it is a provincial state-owned financial institution. As of end-2025, the company had 270 branches nationwide, controlled Xingquan Global Fund Management Co. , and wholly owned Industrial Securities (Hong Kong) Financial Holdings Co. In terms of shareholding structure, as of the end of the reporting period, the Fujian Provincial Department of Finance held 20.49%, as the largest shareholder; Fujian Investment and Development Group held 7.35%. On July 23, Fujian Investment and Development Group announced plans to increase its holdings of the company's A-shares within six months. As of the close on August 19, Industrial Securities' A-share price was RMB 5.77 per share, down 0.86% from the previous trading day.