Guotai Junan International announces 2019 annual results, total revenue reaches new peak despite market condition

Guotai Junan International Holdings Limited ("Guotai Junan International", Stock code: 1788.HK) has announced its annual results for the year 2019 (as of December 31). Looking back, the Group saw a 40% YOY increase in total revenue, recording HKD 4,246 million approximately, achieving historic high. The profit attributable to shareholders amounted to HKD 895 million, representing a YOY growth of approximately 12%. The Board recommends that the payout ratio rises to 57% and total dividends increase by 27% yearly.

In 2019, the Group's revenue structure has become more balanced. In the year, the fee and commission income, interest income and investment income accounted for 33%, 36% and 31% of the total revenue, respectively. In terms of investment income, the coupon of fixed income accounted for 20% of the total revenue, and trading income recorded after fair value accounted for 11%. 

In recent years, the Group has been practicing strategic adjustment to improve risk-adjusted return ratio on capital. The Group's fee and commission income has greatly increased by 26% to HKD 1,419 million, achieving a record high. The income from brokerage, corporate finance and asset management has increased by 17%, 36% and 118% YOY, respectively. In 2019, the Group's wealth management platform has continuously attracted high-quality clients, brokerage income increased by 17% YOY to HKD 531 million, in which commission fee from securities trading rose by 23% to HKD 453 million. In November 2019, the Group became the third Chinese-funded financial institution to qualify to issue structured products in the Hong Kong market, and launched its Derivative Warrants and Callable Bull / Bear Contracts products. 

In 2019, the Group has maintained its leading role in debt capital markets, with underwriting fee increased by 23% YOY to HKD 594 million. The number of completed underwriting deals and the amount of raised funds in primary debt securities market achieved record high, with a total of 189 debt issuances, assisting corporates raising funds of nearly HKD 423.3 billion.