Huatai Securities 1H net income 7.55B yuan

Huatai Securities 1H net income 7.55B yuan

Beijing, July 2, 2025 — Huatai Securities has announced its first-half (1H) net income for 2025, totaling 7.55 billion yuan ($1.17 billion). The report, released on July 2, highlights the company's financial performance and strategic initiatives.

According to the report, Huatai Securities' operating revenue for the first half of the year was 4.5 trillion yuan, a year-over-year (YoY) increase of 6.7%. The net profit attributable to shareholders was 84 billion yuan, representing a YoY decrease of 5.4%. For the second quarter (2Q), the operating revenue and net profit were 697 billion yuan and 37.2 billion yuan, respectively, representing YoY declines of 6.1% and 13.6%.

The company's 2Q net profit slightly missed the broker's forecast, mainly due to lower-than-expected refining margins and natural gas sales growth. However, analysts at Huatai Securities maintained an Overweight rating on PetroChina's H shares, expecting potential cost reduction and volume increase in the company's natural gas business. The target price for the stock was raised from HKD8.6 to HKD8.8.

The report also discussed the broader energy sector, noting that China's solar industry losses widened in the first half of 2025. Despite this, restructuring efforts to cut oversupply could help return the industry to profitability. Longi Green Energy's net loss narrowed to 2.6 billion yuan, while other top manufacturers like Jinko Solar and Trina Solar reported wider losses.

Trina Solar, in particular, swung to a loss of 2.9 billion yuan from a year earlier net profit of 526 million yuan. However, its energy storage business recorded its first-ever quarterly profit in the second quarter, signaling further expansion with a capital injection of 800 million yuan into the subsidiary.

In summary, Huatai Securities' 1H financial performance shows resilience in the face of market challenges, with a focus on strategic initiatives in the natural gas sector. The company's outlook remains cautiously optimistic, with analysts maintaining an Overweight rating and a revised target price.

References:
[1] https://energy.economictimes.indiatimes.com/news/renewable/chinas-solar-industry-losses-balloon-on-falling-prices/123525448
[2] https://www.aastocks.com/en/stocks/news/aafn-con/NOW.1465418/latest-news/AAFN