Noah Holdings Limited Announces Unaudited Financial Results For The Fourth Quarter And Full Year 2015
Starting from the fourth quarter of 2015, the Company changed its reporting currency from the U.S. dollar ("US$") to the Renminbi ("RMB"), based on the consideration that the majority of the Company's operations are conducted in RMB, and aligning the reporting currency with the underlying operations will better depict our results of operations for each period, and reduce the impact that the increased volatility of the RMB to US$ exchange rate will have on the Company's reported operating results. This release contains translations of certain RMB amounts into US$ for convenience[1]. Prior period numbers have been recast into the new reporting currency.
FOURTH QUARTER 2015 FINANCIAL HIGHLIGHTS
- Net revenues in the fourth quarter of 2015 were
RMB573.7 million (US$88.6 million ), a 47.5% increase from the corresponding period in 2014.
(RMB millions, except percentages) |
Q4 |
Q4 2014 Segment % |
Q4 |
Q4 2015 |
YoY |
||||
Wealth management |
311.5 |
80.1% |
431.3 |
75.2% |
38.4% |
||||
Asset management |
69.9 |
18.0% |
127.2 |
22.2% |
81.9% |
||||
Internet finance |
7.5 |
1.9% |
15.2 |
2.6% |
102.0% |
||||
Total net revenues |
389.0 |
100.0% |
573.7 |
100.0% |
47.5% |
- Income from operations in the fourth quarter of 2015 was
RMB47.0 million (US$7.3 million ), a 57.1% decrease from the corresponding period in 2014.
(RMB millions, except percentages) |
Q4 |
Q4 2014 Segment % |
Q4 |
Q4 2015 |
YoY |
||||
Wealth management |
126.1 |
115.0% |
50.3 |
106.9% |
(60.1%) |
||||
Asset management |
12.2 |
11.1% |
52.7 |
112.0% |
333.2% |
||||
Internet finance |
(28.6) |
(26.1%) |
(56.0) |
(118.9%) |
95.4% |
||||
Total income from |
109.6 |
100.0% |
47.0 |
100.0% |
(57.1%) |
- Net income attributable to Noah shareholders in the fourth quarter of 2015 was
RMB83.5 million (US$12.9 million ), a 7.9% decrease from the corresponding period in 2014. - Non-GAAP[2] net income attributable to Noah shareholders in the fourth quarter of 2015 was
RMB106.2 million (US$16.4 million ), an 11.4% increase from the corresponding period in 2014.
FULL YEAR 2015 FINANCIAL HIGHLIGHTS
- Net revenues in the full year 2015 were
RMB2,119.9 million (US$327.3 million ), a 38.7% increase from 2014.
(RMB millions, except percentages) |
FY |
FY 2014 Segment % |
FY |
FY 2015 |
YoY |
||||
Wealth management |
1,145.5 |
74.9% |
1,597.5 |
75.4% |
39.5% |
||||
Asset management |
366.1 |
24.0% |
465.0 |
21.9% |
27.0% |
||||
Internet finance |
16.9 |
1.1% |
57.4 |
2.7% |
240.5% |
||||
Total net revenues |
1,528.5 |
100.0% |
2,119.9 |
100.0% |
38.7% |
- Income from operations in the full year 2015 was
RMB558.8 million (US$86.3 million ), a 1.0% increase from 2014.
(RMB millions, except percentages) |
FY |
FY 2014 Segment % |
FY |
FY 2015 |
YoY |
||||
Wealth management |
444.8 |
80.4% |
466.1 |
83.4% |
4.8% |
||||
Asset management |
171.0 |
30.9% |
247.6 |
44.3% |
44.8% |
||||
Internet finance |
(62.7) |
(11.3%) |
(154.8) |
(27.7%) |
147.1% |
||||
Total income from |
553.1 |
100.0% |
558.8 |
100.0% |
1.0% |
- Net income attributable to Noah shareholders in the full year 2015 was
RMB535.8 million (US$82.7 million ), a 20.0% increase from 2014. - Non-GAAP net income attributable to Noah shareholders in the full year 2015 was
RMB603.5 million (US$93.2 million [3]), a 25.9% increase from 2014.
FOURTH QUARTER AND FULL YEAR 2015 OPERATIONAL UPDATES
Wealth Management Business
The Company's wealth management business provides global wealth investment and asset allocation services to high net worth individuals and enterprise clients in
- The total number of registered clients as of
December 31, 2015 was 99,019, a 40.3% increase sinceDecember 31, 2014 , consisting of 95,885 registered individual clients, 3,015 registered enterprise clients and 119 wholesale clients that have entered into cooperation agreements with the Company. - Total number of active clients[4] during the fourth quarter of 2015 was 4,603, a 30.4% increase from the corresponding period in 2014. Total number of active clients during the full year 2015 was 12,573, a 39.5% increase from the full year 2014.
- The aggregate value of wealth management products distributed by the Company during the fourth quarter of 2015 was
RMB20.0 billion (US$3.1 billion ), a 69.4% increase from the corresponding period in 2014.
Product type |
Three months ended December 31, |
|||||||
2014 |
2015 |
|||||||
(RMB in billions, except percentages) |
||||||||
Fixed income products |
7.5 |
63.2% |
11.2 |
55.7% |
||||
Private equity products |
2.3 |
19.2% |
6.4 |
32.0% |
||||
Secondary market equity fund products |
3.3 |
27.9% |
4.8 |
23.9% |
||||
Other products |
(1.2) |
(10.3%) |
(2.3) |
(11.6%) |
||||
All products |
11.8 |
100.0% |
20.0 |
100% |
The below table summarizes the percentages of fixed income products and private equity products with chargeable recurring services fees and weighted average duration of these types of products distributed during the fourth quarter of 2014 and 2015, respectively. In the three months ended
Product type |
Three months ended December 31, |
||||
2014 |
2015 |
||||
% of products |
Duration |
% of products |
Duration |
||
Fixed income products |
75% |
1.4 |
81% |
1.1 |
|
Private equity products |
97% |
5.3 |
99% |
7.9 |
|
- The aggregate value of wealth management products distributed by the Company during the full year 2015 was
RMB99.0 billion (US$15.8 billion ), a 56.2% increase from the full year 2014.
Product type |
Twelve months ended December 31, |
|||
2014 |
2015 |
|||
(RMB billions, except percentages) |
||||
Fixed income products |
40.2 |
63.4% |
36.6 |
37.0% |
Private equity products |
12.0 |
18.9% |
31.9 |
32.2% |
Secondary market equity fund products |
10.3 |
16.3% |
28.1 |
28.4% |
Other products |
0.9 |
1.4% |
2.3 |
2.4% |
All products |
63.4 |
100.0% |
99.0 |
100% |
The below table summarizes the percentages of fixed income products and private equity products with chargeable recurring services fees and weighted average duration of these types of products distributed during the full year ended
Product type |
Twelve months ended December 31, |
||||
2014 |
2015 |
||||
% of products |
Duration |
% of products |
Duration |
||
Fixed income products |
80% |
1.3 |
85% |
1.2 |
|
Private equity products |
98% |
5.3 |
98% |
7.4 |
|
- The average transaction value per client[5] in the fourth quarter of 2015 was
RMB4.4 million (US$0.7 million ), a 29.8% increase from the corresponding period in 2014, reflecting a change in product mix. The average transaction value per client in the full year 2015 wasRMB7.9 million (US$1.3 million ), an 11.9% increase from the full year 2014, reflecting a change in product mix. - The coverage network included 135 branches and sub-branches covering 67 cities as of
December 31, 2015 , up from 130 branches and sub-branches covering 65 cities as ofSeptember 30, 2015 , and 94 branches and sub-branches covering 63 cities as ofDecember 31, 2014 . - The number of relationship managers was 1,098 as of
December 31, 2015 , up from 779 and 1,038 as ofDecember 31, 2014 andSeptember 30, 2015 , respectively.
Asset Management Business
The Company's asset management business develops and manages financial products denominated in both domestic (Renminbi) and foreign currencies. These financial products include real estate funds and funds of funds, including private equity funds, real estate funds, hedge funds and fixed income funds.
- The total assets under management as of
December 31, 2015 wereRMB86.7 billion (US$13.6 billion ), a 74.3% increase fromDecember 31, 2014 and a 12.6% increase fromSeptember 30, 2015 .
Product type |
As of September 30, |
Asset |
Asset |
As of December 31, |
||
(RMB billions, except percentages) |
||||||
Real estate funds and real |
30.7 |
39.9% |
5.4 |
4.3 |
31.8 |
36.7% |
Private equity funds of funds |
32.1 |
41.7% |
5.9 |
0.1 |
37.9 |
43.7% |
Secondary market equity funds |
10.4 |
13.5% |
0.5 |
0.2 |
10.7 |
12.3% |
Other fixed income funds of |
3.8 |
4.9% |
3.1 |
0.6 |
6.3 |
7.3% |
All products |
77.0 |
100.0% |
14.9 |
5.2 |
86.7 |
100.0% |
Product type |
As of December 31, |
Asset |
Asset |
As of December 31, |
||
(RMB billions, except percentages) |
||||||
Real estate funds and real |
31.0 |
62.4% |
24.2 |
23.4 |
31.8 |
36.7% |
Private equity funds of funds |
10.4 |
20.9% |
27.9 |
0.4 |
37.9 |
43.7% |
Secondary market equity funds |
2.6 |
5.2% |
9.8 |
1.7 |
10.7 |
12.3% |
Other fixed income funds of |
5.7 |
11.5% |
5.0 |
4.4 |
6.3 |
7.3% |
All products |
49.7 |
100.0% |
66.9 |
29.9 |
86.7 |
100.0% |
Internet Finance Business
The Company's internet finance business provides financial products and services through a proprietary internet finance platform targeting aspiring high net worth individuals in
- The aggregate value of financial products distributed by the Company through its internet finance platform in the fourth quarter of 2015 was
RMB4.2 billion (US$653.8 million ), a 271.3% increase from the fourth quarter of 2014. The aggregate value of financial products distributed by the Company through its internet finance platform in the full year 2015 wasRMB12.0 billion (US$1,902.1 million ), a 748.7% increase from the full year 2014. - Total number of enterprise clients as of
December 31, 2015 was 634, up from 205 and 414 as ofDecember 31, 2014 andSeptember 30, 2015 , respectively. - Total number of individual clients as of
December 31, 2015 was 276,738, up from 28,780 and 157,046 as ofDecember 31, 2014 andSeptember 30, 2015 , respectively.
Mr.
"Looking forward, we expect that the external environment will remain volatile in the short term and we will maintain a steady hand as we steer through this period. Our aspirations and objectives remain intact and we are on track to steadily grow our share of the wealth and asset management services market in
FOURTH QUARTER 2015 FINANCIAL RESULTS
Net Revenues
Net revenues for the fourth quarter of 2015 were
- Wealth Management Business
- Net revenues from one-time commissions for the fourth quarter of 2015 were
RMB186.2 million (US$28.7 million ), a 15.4% increase from the corresponding period in 2014. The increase was primarily due to an increase in the aggregate value of the wealth management products distributed by the Company, which was partially offset by the impact of lower one-time commission rates for fixed income products along with the impact of changes in the macroeconomic environment. - Net revenues from recurring service fees for the fourth quarter of 2015 were
RMB177.4 million (US$27.4 million ), a 28.4% increase from the corresponding period in 2014. The increase was mainly due to the cumulative effect of finance products with recurring service fees previously distributed by the Company. - Net revenues from performance-based income for the fourth quarter of 2015 were
RMB27.0 million (US$4.2 million ), a 260.5% increase from the corresponding period in 2014, primarily consisting of performance-based income received for the positive performance of the secondary equity market fund products distributed by the Company. - Net revenues from other service fees for the fourth quarter of 2015 were
RMB40.7 million (US$6.3 million ), compared withRMB4.4 million (US$0.7 million ) in the corresponding period of 2014. The increase was mainly due to the rapid growth of the Company's insurance brokerage business.
- Net revenues from one-time commissions for the fourth quarter of 2015 were
- Asset Management Business
- Net revenues from recurring service fees for the fourth quarter of 2015 were
RMB95.5 million (US$14.7 million ), a 42.3% increase from the corresponding period in 2014. The increase was primarily due to the increase in assets under management by the Company, which was partially offset by the impact of lower management fee rates due to a change in composition of asset types under management. - Net revenues from performance-based income for the fourth quarter of 2015 were
RMB30.0 million (US$4.6 million ), a 981.8% increase compared with the corresponding period in 2014, primarily consisting of performance-based income received for the positive performance of secondary equity market funds of funds managed by the Company.
- Net revenues from recurring service fees for the fourth quarter of 2015 were
- Internet Finance Business
- Net revenues for the fourth quarter of 2015 were
RMB15.2 million (US$2.4 million ), a 102.0% increase from the corresponding period in 2014, primarily because this is a new and fast growing business segment for the Company.
- Net revenues for the fourth quarter of 2015 were
Operating costs and expenses
Operating costs and expenses include compensation and benefits, selling expenses, general and administrative expenses, other operating expenses and government subsidies. Operating costs and expenses for the fourth quarter of 2015 were
- Wealth Management Business
Operating costs and expenses for the fourth quarter of 2015 were
- Compensation and benefits includes compensation for relationship managers and back-office employees. Compensation and benefits for the fourth quarter of 2015 were
RMB257.3 million (US$39.7 million ), a 76.3% increase from the corresponding period in 2014. In the fourth quarter of 2015, relationship manager compensation increased by 61.8% from the corresponding period in 2014, reflecting an increase in the aggregate value of financial products distributed and an increase in the commission rate paid to relationship managers driven by the change in product mix to more products with recurring service fees and longer duration. Other compensation for the fourth quarter of 2015 increased by 99.9% from the corresponding period in 2014, primarily driven by an increase in the number of back-office employees. - Selling expenses for the fourth quarter of 2015 were
RMB74.9 million (US$11.6 million ), a 56.6% increase from the corresponding period in 2014, primarily due to an increase in client events and other marketing initiatives, and an increase in rental fees. - General and administrative expenses for the fourth quarter of 2015 were
RMB30.8 million (US$4.7 million ), an 11.6% increase from the corresponding period in 2014, mainly due to an increase in rental and related expenses. - Other operating expenses, which include other costs incurred directly in relation to the Company's revenues, for the fourth quarter of 2015 were
RMB33.1 million (US$5.1 million ), an increase of 279.2% from the corresponding period in 2014. The increase was primarily due to the growth of other businesses within the wealth management segment. - Government subsidies represent cash subsidies received from local governments for general corporate purposes. The Company received
RMB15.0 million (US$2.3 million ) in government subsidies in the fourth quarter of 2015, compared toRMB44.6 million in the corresponding period of 2014. - Asset Management Business
Operating costs and expenses for the fourth quarter of 2015 were
- Compensation and benefits include compensation of managers of institutional client relationships, fund managers and back-office employees. Compensation and benefits for the fourth quarter of 2015 were
RMB43.6 million (US$6.7 million ), a 45.4% increase from the corresponding period in 2014. The increase was primarily due to an increase in the number of back-office employees and performance fee compensation to fund managers as higher performance-based income was recognized in the fourth quarter of 2015 compared to the corresponding period in 2014. - Selling expenses for the fourth quarter of 2015 were
RMB3.7 million (US$0.6 million ), compared withRMB2.8 million in the corresponding period of 2014, an increase of 34.2%, primarily due to an increase in brand promotion expenses. - General and administrative expenses for the fourth quarter of 2015 were
RMB21.6 million (US$3.3 million ), a 22.9% decrease from the corresponding period in 2014, primarily due to decreased consultant expenses. - Government subsidies represent cash subsidies received from local governments for general corporate purposes. The Company received
RMB1.4 million (US$0.2 million ) in government subsidies in the fourth quarter of 2015, compared toRMB4.2 million in the corresponding period in 2014. - Internet Finance Business
Operating costs and expenses for the fourth quarter of 2015 were
Operating Margin
Operating margin for the fourth quarter of 2015 was 8.2% compared to 28.2% for the corresponding period in 2014. The decrease was primarily due to the growth in relationship manager compensation, resulting from changes in the product mix, exceeding the growth in net revenues, and the
- Wealth Management Business
Operating margin for the fourth quarter of 2015 was 11.7%, compared to 40.5% for the corresponding period in 2014. The decrease was mainly due to higher growth rate of operating costs and expenses compared to the growth rate of net revenues in the fourth quarter of 2015.
- Asset Management Business
Operating margin increased to 41.4% for the fourth quarter of 2015 from 17.4% for the corresponding period in 2014. The increase was primarily due to the increase of revenues in the fourth quarter of 2015, compared to the corresponding period in 2014.
- Internet Finance Business
Operating loss for the fourth quarter of 2015 was
Income Tax Expenses
Income tax expenses for the fourth quarter of 2015 were
Net Income
- Net Income
- Net income attributable to Noah shareholders for the fourth quarter of 2015 was
RMB83.5 million (US$12.9 million ), a 7.9% decrease from the corresponding period in 2014. - Net margin for the fourth quarter of 2015 was 13.1%, as compared to 23.6% for the corresponding period in 2014.
- Net income per basic and diluted ADS for the fourth quarter of 2015 was
RMB1.49 (US$0.23) andRMB1.46 (US$0.23) , respectively, as compared toRMB1.62 andRMB1.60 , respectively, for the corresponding period in 2014.
- Net income attributable to Noah shareholders for the fourth quarter of 2015 was
- Non-GAAP Net Income Attributable to Noah Shareholders
- Non-GAAP net income attributable to Noah shareholders for the fourth quarter of 2015 was
RMB106.2 million (US$16.4 million ), an 11.4% increase from the corresponding period in 2014. - Non-GAAP net margin for the fourth quarter of 2015 was 17.0%, as compared to 24.8% for the corresponding period in 2014.
- Non-GAAP net income per diluted ADS for the fourth quarter of 2015 was
RMB1.84 (US$0.28) , as compared toRMB1.69 for the corresponding period in 2014.
- Non-GAAP net income attributable to Noah shareholders for the fourth quarter of 2015 was
FULL YEAR 2015 FINANCIAL RESULTS
Net Revenues
Net revenues for the full year 2015 were
- Wealth Management Business
- Net revenues from one-time commissions for the full year 2015 were
RMB772.3 million (US$119.2 million ), a 35.5% increase from 2014. The increase was primarily due to an increase in the aggregate value of the wealth management products distributed by the Company. - Net revenues from recurring service fees for the full year 2015 were
RMB624.6 million (US$96.4 million ), a 12.9% increase from 2014. The increase was mainly due to the cumulative effect of finance products with recurring service fees previously distributed by the Company, which was partially offset by the impact of lower recurring service fee rates due to a change in product mix. - Net revenues from performance-based income for the full year 2015 were
RMB134.3 million (US$20.7 million ), a 1,269.6% increase from 2014, primarily consisting of performance-based income received for the positive performance of the secondary equity market fund products distributed by the Company. - Net revenues from other service fees for the full year 2015 were
RMB66.2 million (US$10.2 million ), representing a 426.6% increase from 2014.
- Net revenues from one-time commissions for the full year 2015 were
- Asset Management Business
- Net revenues from recurring service fees for the full year 2015 were
RMB359.0 million (US$55.4 million ), a 28.6% increase from 2014. The increase was primarily due to the increase in assets under management by the Company, which was partially offset by the impact of lower management fee rates due to a change in composition of asset types under management. - Net revenues from performance-based income for the full year 2015 were
RMB100.9 million (US$15.6 million ), a 17.3% increase from the full year 2014, primarily consisting of performance-based income received for the positive performance of secondary equity market funds managed by the Company.
- Net revenues from recurring service fees for the full year 2015 were
- Internet Finance Business
- Net revenues for the full year 2015 were
RMB57.4 million (US$8.9 million ), a 241.1% increase from the full year 2014, primarily because this is a new and fast growing business segment for the Company.
- Net revenues for the full year 2015 were
Operating costs and expenses
Operating costs and expenses include compensation and benefits, selling expenses, general and administrative expenses, other operating expenses and government subsidies. Operating costs and expenses for the full year 2015 were
- Wealth Management Business
Operating costs and expenses for the full year 2015 were
- Compensation and benefits includes compensation for relationship managers and back-office employees. Compensation and benefits for the full year 2015 were
RMB855.9 million (US$132.1 million ), a 60.2% increase from 2014. In 2015, relationship manager compensation increased by 58.8% from 2014, reflecting an increase in the aggregate value of financial products distributed and an increase in commission rates to relationship managers driven by the change in product mix to more products with recurring service fees and longer durations. Other compensation for the full year 2015 increased by 62.2% from 2014, primarily due to increases in both the number of back-office employees and share-based compensation. - Selling expenses for the full year 2015 were
RMB219.3 million (US$33.9 million ), a 62.1% increase from 2014. The increase was primarily due to an increase in marketing initiatives and rental fees. - General and administrative expenses for the full year 2015 were
RMB78.9 million (US$12.2 million ), a 5.6% increase from 2014. - Other operating expenses, which include other costs incurred directly in relation to the Company's revenues, for the full year 2015 were
RMB53.4 million (US$8.2 million ), an increase of 125.8% from 2014. The increase was primarily due to the growth of other businesses within the wealth management segment. - Government subsidies represent cash subsidies received from local governments for general corporate purposes. The Company received
RMB76.0 million (US$11.7 million ) in government subsidies in the full year 2015, compared toRMB67.3 million in 2014. - Asset Management Business
Operating costs and expenses for the full year 2015 were
- Compensation and benefits include compensation of managers of institutional client relationships, fund managers and back-office employees. Compensation and benefits for the full year 2015 were
RMB183.5 million (US$28.3 million ), a 24.6% increase from the full year 2014. The increase was primarily due to an increase in the number of back-office employees. - Selling expenses for the full year 2015 were
RMB17.3 million (US$2.7 million ), a 77.1% increase from 2014. - General and administrative expenses for the full year 2015 were
RMB53.6 million (US$8.3 million ), a 10.9% decrease from 2014, primarily due to decreased legal fees. - Government subsidies represent cash subsidies received from local governments for general corporate purposes. The Company received
RMB56.3 million (US$8.7 million ) in government subsidies in the full year 2015, a 138.6% increase from 2014. - Internet Finance Business
Operating costs and expenses for the full year 2015 were
Operating Margin
Operating margin for the full year 2015 was 26.4%, as compared to 36.2% for the full year 2014. The decrease was mainly due to the growth in relationship manager compensation, resulting from the change in product mix year-over-year, being higher than the growth in net revenues, and the Company's continuous investments in developing its internet finance business. Compared to fixed income products, private equity products tend to bring Noah recurring revenues for longer periods. As noted earlier, 98% of private equity products distributed in 2015 have recurring service fees with an average duration of 7.4 years, as compared to an average duration of 1.2 years for fixed income products. To encourage marketing of private equity products, the Company offers higher incentives to its relationship managers for successful sales of this type of products. Private equity products accounted for 32.2% of total financial products distributed in 2015, compared with 18.9% in 2014. The significant growth in private equity products distributed led to a significant increase in relationship manager commission expenses.
- Wealth Management Business
Operating margin for the full year 2015 was 29.2%, compared to 38.8% for the full year 2014. The decrease was mainly due to higher growth rate of operating costs and expenses compared to the growth rate of net revenues in 2015.
- Asset Management Business
Operating margin increased to 53.2% for the full year 2015 from 46.7% for 2014. The increase was primarily due to the increase of performance-based income in the full year 2015, compared to 2014.
- Internet Finance Business
Operating loss for the full year 2015 was
Income Tax Expenses
Income tax expenses for the full year 2015 were
Net Income
- Net Income
- Net income attributable to Noah shareholders for the full year 2015 was
RMB535.8 million (US$82.7 million ), a 20.0% increase from 2014. - Net margin for the full year 2015 was 24.8%, as compared to 30.3% for 2014.
- Net income per basic and diluted ADS for the full year 2015 was
RMB9.54 (US$1.47) andRMB9.15 (US$1.41) , respectively, as compared toRMB8.01 andRMB7.91 , respectively, for 2014.
- Net income attributable to Noah shareholders for the full year 2015 was
- Non-GAAP Net Income Attributable to Noah Shareholders
- Non-GAAP net income attributable to Noah shareholders for the full year 2015 was
RMB603.5 million (US$93.2 million ), a 25.9% increase from 2014. - Non-GAAP net margin attributable to Noah shareholders for the full year 2015 was 28.5%, as compared to 31.4% for 2014.
- Non-GAAP net income per diluted ADS for the full year 2015 was
RMB10.28 (US$1.59) , as compared toRMB8.49 for 2014.
- Non-GAAP net income attributable to Noah shareholders for the full year 2015 was
Balance Sheet and Cash Flow
As of
Cash inflow from the Company's operating activities during the fourth quarter of 2015 was
Cash inflow from the Company's investing activities during the fourth quarter of 2015 was
Cash outflow from the Company's financing activities for the fourth quarter of 2015 was
On
2016 FORECAST
The Company estimates that non-GAAP net income attributable to Noah shareholders for the full year 2016 will be in the range of
CONFERENCE CALL
Senior management will host two conference calls to discuss the Company's fourth quarter and full year unaudited financial results and recent business activities, one in English and one in Mandarin Chinese.
The conference calls may be accessed with the following details:
English language conference call |
|
Date/Time
|
Wednesday, March 16, 2016 at 8:00 p.m., U.S. Eastern Time Thursday, March 17, 2016 at 8:00 a.m., Hong Kong Time |
Dial in details |
|
- United States Toll Free |
+1-888-346-8982 |
- Mainland China Toll Free |
4001-201203 |
- Hong Kong Toll Free |
800-905-945 |
- International |
+1-412-902-4272 |
Conference Title |
Noah Holdings Limited Fourth Quarter and Full Year 2015 Earnings Call |
Participant Password |
Noah Holdings |
A telephone replay will be available starting 1 hour after the end of the conference call until
A live and archived webcast of the conference call will be available at Noah's investor relations website under the News & Events section at http://ir.noahwm.com.
Chinese language conference call |
|
Date/Time
|
Wednesday, March 16, 2016 at 9:30 p.m., U.S. Eastern Time Thursday, March 17, 2016 at 9:30 a.m., Hong Kong Time |
Dial in details |
|
- Mainland China |
400-681-0220 |
- Hong Kong Toll Free |
800-968-112 |
- International |
+86-23-8682-9200 |
Conference Title |
Noah Holdings Limited Fourth Quarter and Full Year 2015 Earnings Call (Chinese Language) |
Participant Password |
985092# |
A telephone replay will be available starting 1 hour after the end of the conference call until
A live and archived webcast of the conference call will be available at Noah's investor relations website under the News & Events section at http://ir.noahwm.com.
DISCUSSION OF NON-GAAP FINANCIAL MEASURES:
In addition to disclosing financial results prepared in accordance with U.S. GAAP, the Company's earnings release contains non-GAAP financial measures that exclude the effects of all forms of share-based compensation. The reconciliation of these non-GAAP financial measures to the nearest GAAP measures is set forth in the table captioned "Reconciliation of GAAP to Non-GAAP Results" below.
The non-GAAP financial measures disclosed by the Company should not be considered a substitute for financial measures prepared in accordance with U.S. GAAP. The financial results reported in accordance with U.S. GAAP and reconciliation of GAAP to non-GAAP results should be carefully evaluated. The non-GAAP financial measure used by the Company may be prepared differently from, and therefore may not be comparable to, similarly titled measures used by other companies.
When evaluating the Company's operating performance in the periods presented, management reviewed non-GAAP net income results reflecting adjustments to exclude the impact of share-based compensation to supplement U.S. GAAP financial data. As such, the Company believes that the presentation of the non-GAAP net income, non-GAAP income per diluted ADS and non-GAAP net margin provides important supplemental information to investors regarding financial and business trends relating to the Company's financial condition and results of operations in a manner consistent with that used by management. Pursuant to U.S. GAAP, the Company recognized significant amounts of expenses for the restricted shares and share options in the periods presented. The Company utilized the non-GAAP financial results to make financial results comparable period to period and to better understand its historical business operations.
ABOUT
Founded in 2005,
Noah distributes a wide array of wealth management products, including fixed income products, private equity fund products, mutual fund products and insurance products. Noah also develops and manages financial products denominated in both domestic (Renminbi) and foreign currencies, covering real estate funds and funds of funds, including private equity funds, real estate funds, hedge funds and fixed income funds through Gopher Asset Management. In addition, in 2014, the Company launched a proprietary internet finance platform to provide financial products and services to aspiring high net worth individuals and enterprise clients in
Noah has won numerous awards and recognition, including top 5 in Fortune's list of Fastest-Growing Companies in 2015,
For more information please visit Noah at ir.noahwm.com.
FOREIGN CURRENCY TRANSLATION
Effective
This announcement contains currency conversions of certain RMB amounts into US$ at specified rates solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to US$ are made at a rate of
SAFE HARBOR STATEMENT
This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "confident" and similar statements. Among other things, the outlook for 2016 and quotations from management in this announcement, as well as Noah's strategic and operational plans, contain forward-looking statements. Noah may also make written or oral forward-looking statements in its periodic reports to the
Contacts:
Noah Holdings Limited
Tel: +86-21-8035-9221
ir@noahwm.com
[1] |
Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB6.4778 to US$1.00, the effective noon buying rate for December 31, 2015 as set forth in the H.10 statistical release of the Federal Reserve Board. |
|
[2] |
Noah's non-GAAP financial measures are its corresponding GAAP financial measures as adjusted by excluding the effects of all forms of share-based compensation. |
|
[3] |
The U.S. dollar equivalent presented in this document is based on the exchange rate as of December 31, 2015 (RMB6.4778 to US$1.00). The annual non-GAAP net income guidance of US$90 million to US$95 million as mentioned in our previous earnings releases was made based on an estimated average exchange rate for 2015. The actual average exchange of RMB to US$ for 2015 was RMB6.2818 to US$1.00. |
|
[4] |
"Active clients" refers to registered clients who purchased wealth management products distributed by Noah during the period specified. |
|
[5] |
"Average transaction value per client" refers to the average value of wealth management products distributed by Noah that were purchased by active clients during the period specified. |
-- FINANCIAL AND OPERATIONAL TABLES FOLLOW --
Noah Holdings Limited |
||||||||||||||||
Condensed Consolidated Balance Sheets |
||||||||||||||||
(In RMB) |
||||||||||||||||
(unaudited) |
||||||||||||||||
As of |
||||||||||||||||
September 30, 2015 |
December 31, 2015 |
December 31, 2015 |
||||||||||||||
RMB |
RMB |
USD |
||||||||||||||
Assets |
||||||||||||||||
Current assets: |
||||||||||||||||
Cash and cash equivalents |
1,788,457,817 |
2,132,923,674 |
329,266,676 |
|||||||||||||
Restricted cash |
1,000,000 |
1,000,000 |
154,373 |
|||||||||||||
Short-term investments |
732,394,704 |
560,073,899 |
86,460,511 |
|||||||||||||
Accounts receivable, net of allowance |
142,300,644 |
122,346,687 |
18,887,074 |
|||||||||||||
Loans receivable |
101,415,460 |
132,109,897 |
20,394,254 |
|||||||||||||
Deferred tax assets |
21,864,801 |
- |
- |
|||||||||||||
Amounts due from related parties |
280,899,772 |
238,236,268 |
36,777,342 |
|||||||||||||
Other current assets |
50,589,481 |
75,141,655 |
11,599,874 |
|||||||||||||
Total current assets |
3,118,922,679 |
3,261,832,080 |
503,540,104 |
|||||||||||||
Long-term investments |
199,001,593 |
251,781,945 |
38,868,434 |
|||||||||||||
Investment in affiliates |
310,706,780 |
326,155,843 |
50,349,786 |
|||||||||||||
Property and equipment, net |
139,819,115 |
196,475,249 |
30,330,552 |
|||||||||||||
Non-current deferred tax assets |
13,500,704 |
43,863,568 |
6,771,368 |
|||||||||||||
Other non-current assets |
16,000,980 |
16,885,730 |
2,606,708 |
|||||||||||||
Total Assets |
3,797,951,851 |
4,096,994,415 |
632,466,952 |
|||||||||||||
Liabilities and Equity |
||||||||||||||||
Current liabilities: |
||||||||||||||||
Accrued payroll and welfare expenses |
352,334,410 |
494,688,785 |
76,366,789 |
|||||||||||||
Income tax payable |
86,135,437 |
61,650,980 |
9,517,271 |
|||||||||||||
Amounts due to related parties |
3,120,074 |
1,060 |
164 |
|||||||||||||
Deferred revenues |
93,732,217 |
68,425,735 |
10,563,113 |
|||||||||||||
Deferred tax liabilities |
- |
1,159,774 |
179,038 |
|||||||||||||
Other current liabilities |
245,978,885 |
340,904,047 |
52,626,518 |
|||||||||||||
Total current liabilities |
781,301,023 |
966,830,381 |
149,252,893 |
|||||||||||||
Non-current uncertain tax position liabilities |
11,244,614 |
67,248 |
10,381 |
|||||||||||||
Convertible notes |
508,448,000 |
518,224,000 |
80,000,000 |
|||||||||||||
Other non-current liabilities |
62,745,950 |
77,876,237 |
12,022,019 |
|||||||||||||
Total Liabilities |
1,363,739,587 |
1,562,997,866 |
241,285,293 |
|||||||||||||
Equity |
2,434,212,264 |
2,533,996,549 |
391,181,659 |
|||||||||||||
Total Liabilities and Equity |
3,797,951,851 |
4,096,994,415 |
632,466,952 |
|||||||||||||
Noah Holdings Limited |
|||||||||||||||||||||||
Condensed Consolidated Income Statements |
|||||||||||||||||||||||
(In RMB, except for ADS data, per ADS data and percentages) |
|||||||||||||||||||||||
(unaudited) |
|||||||||||||||||||||||
Three months ended |
|||||||||||||||||||||||
December 31, |
December 31, |
December 31, |
Change |
||||||||||||||||||||
2014 |
2015 |
2015 |
|||||||||||||||||||||
Revenues: |
RMB |
RMB |
USD |
||||||||||||||||||||
Third-party revenues |
|||||||||||||||||||||||
One-time commissions |
137,119,867 |
108,628,478 |
16,769,347 |
(20.8%) |
|||||||||||||||||||
Recurring service fees |
86,972,774 |
118,933,264 |
18,360,132 |
36.7% |
|||||||||||||||||||
Performance-based income |
10,865,921 |
29,759,827 |
4,594,126 |
173.9% |
|||||||||||||||||||
Other service fees |
12,244,874 |
57,823,793 |
8,926,456 |
372.2% |
|||||||||||||||||||
Total third-party revenues |
247,203,436 |
315,145,362 |
48,650,061 |
27.5% |
|||||||||||||||||||
Related party revenues |
|||||||||||||||||||||||
One-time commissions |
34,530,501 |
88,680,242 |
13,689,871 |
156.8% |
|||||||||||||||||||
Recurring service fees |
130,497,798 |
168,054,455 |
25,943,137 |
28.8% |
|||||||||||||||||||
Performance-based income |
- |
30,194,600 |
4,661,243 |
0.0% |
|||||||||||||||||||
Other service fees |
185,772 |
393,683 |
60,774 |
111.9% |
|||||||||||||||||||
Total related party revenues |
165,214,071 |
287,322,980 |
44,355,025 |
73.9% |
|||||||||||||||||||
Total revenues |
412,417,507 |
602,468,342 |
93,005,086 |
46.1% |
|||||||||||||||||||
Less: business taxes and related surcharges |
(23,424,761) |
(28,745,806) |
(4,437,588) |
22.7% |
|||||||||||||||||||
Net revenues |
388,992,746 |
573,722,536 |
88,567,498 |
47.5% |
|||||||||||||||||||
Operating costs and expenses: |
|||||||||||||||||||||||
Compensation and benefits |
|||||||||||||||||||||||
Relationship manager compensation |
(92,550,365) |
(147,065,089) |
(22,702,938) |
58.9% |
|||||||||||||||||||
Performance fee compensation |
- |
(2,477,428) |
(382,449) |
0.0% |
|||||||||||||||||||
Other Compensations |
(107,608,080) |
(191,731,525) |
(29,598,247) |
78.2% |
|||||||||||||||||||
Total compensation and benefits |
(200,158,445) |
(341,274,042) |
(52,683,634) |
70.5% |
|||||||||||||||||||
Selling expenses |
(52,319,461) |
(90,525,777) |
(13,974,772) |
73.0% |
|||||||||||||||||||
General and administrative expenses |
(63,179,772) |
(64,781,699) |
(10,000,571) |
2.5% |
|||||||||||||||||||
Other operating expenses |
(12,422,291) |
(46,919,354) |
(7,243,100) |
277.7% |
|||||||||||||||||||
Government subsidies |
48,724,840 |
16,822,156 |
2,596,894 |
(65.5%) |
|||||||||||||||||||
Total operating costs and expenses |
(279,355,129) |
(526,678,716) |
(81,305,183) |
88.5% |
|||||||||||||||||||
Income from operations |
109,637,617 |
47,043,820 |
7,262,315 |
(57.1%) |
|||||||||||||||||||
Other income: |
|||||||||||||||||||||||
Interest income |
9,302,559 |
11,754,938 |
1,814,650 |
26.4% |
|||||||||||||||||||
Interest expenses |
- |
(4,508,093) |
(695,930) |
0.0% |
|||||||||||||||||||
Investment income |
5,006,005 |
24,680,396 |
3,809,996 |
393.0% |
|||||||||||||||||||
Other income |
822,425 |
1,345,430 |
207,699 |
63.6% |
|||||||||||||||||||
Total other income |
15,130,989 |
33,272,671 |
5,136,415 |
119.9% |
|||||||||||||||||||
Income before taxes and loss from equity in affiliates |
124,768,606 |
80,316,491 |
12,398,730 |
(35.6%) |
|||||||||||||||||||
Income tax expense |
(33,110,012) |
(7,126,689) |
(1,100,171) |
(78.5%) |
|||||||||||||||||||
Income from equity in affiliates |
99,613 |
1,688,567 |
260,670 |
1595.1% |
|||||||||||||||||||
Net income |
91,758,207 |
74,878,369 |
11,559,229 |
(18.4%) |
|||||||||||||||||||
Less: net income attributable to non-controlling Interests |
1,049,943 |
(8,658,997) |
(1,336,718) |
(924.7%) |
|||||||||||||||||||
Net income attributable to Noah Shareholders |
90,708,264 |
83,537,366 |
12,895,947 |
(7.9%) |
|||||||||||||||||||
Income per ADS, basic |
1.62 |
1.49 |
0.23 |
(8.0%) |
|||||||||||||||||||
Income per ADS, diluted |
1.60 |
1.46 |
0.23 |
(8.8%) |
|||||||||||||||||||
Margin analysis: |
|||||||||||||||||||||||
Operating margin |
28.2% |
8.2% |
8.2% |
||||||||||||||||||||
Net margin |
23.6% |
13.1% |
13.1% |
||||||||||||||||||||
Weighted average ADS equivalent: [1] |
|||||||||||||||||||||||
Basic |
56,018,144 |
56,078,056 |
56,078,056 |
||||||||||||||||||||
Diluted |
56,573,597 |
60,204,346 |
60,204,346 |
||||||||||||||||||||
ADS equivalent outstanding at end of period |
56,110,604 |
56,143,075 |
56,143,075 |
||||||||||||||||||||
[1] Assumes all outstanding ordinary shares are represented by ADSs. Each ordinary share
|
|||||||||||||||||||||||
Noah Holdings Limited |
|||||||||||||||||||||||||||||||||||||
Condensed Consolidated Income Statements |
|||||||||||||||||||||||||||||||||||||
(In RMB, except for ADS data, per ADS data and percentages) (unaudited) |
|||||||||||||||||||||||||||||||||||||
Twelve months ended |
|||||||||||||||||||||||||||||||||||||
December 31, |
December 31, |
December 31, |
Change |
||||||||||||||||||||||||||||||||||
2014 |
2015 |
2015 |
|||||||||||||||||||||||||||||||||||
RMB |
RMB |
USD |
|||||||||||||||||||||||||||||||||||
Revenues: |
|||||||||||||||||||||||||||||||||||||
Third-party revenues |
|||||||||||||||||||||||||||||||||||||
One-time commissions |
423,218,934 |
391,188,385 |
60,389,080 |
(7.6%) |
|||||||||||||||||||||||||||||||||
Recurring service fees |
319,933,077 |
401,292,465 |
61,948,882 |
25.4% |
|||||||||||||||||||||||||||||||||
Performance-based income |
24,632,724 |
193,939,030 |
29,939,027 |
687.3% |
|||||||||||||||||||||||||||||||||
Other service fees |
29,979,126 |
128,290,261 |
19,804,604 |
327.9% |
|||||||||||||||||||||||||||||||||
Total third-party revenues |
797,763,861 |
1,114,710,141 |
172,081,593 |
39.7% |
|||||||||||||||||||||||||||||||||
Related party revenues |
|||||||||||||||||||||||||||||||||||||
One-time commissions |
180,943,785 |
428,687,491 |
66,177,945 |
136.9% |
|||||||||||||||||||||||||||||||||
Recurring service fees |
560,071,763 |
634,913,375 |
98,013,735 |
13.4% |
|||||||||||||||||||||||||||||||||
Performance-based income |
76,342,053 |
53,825,293 |
8,309,193 |
(29.5%) |
|||||||||||||||||||||||||||||||||
Other service fees |
2,036,800 |
559,806 |
86,419 |
(72.5%) |
|||||||||||||||||||||||||||||||||
Total related party revenues |
819,394,401 |
1,117,985,965 |
172,587,292 |
36.4% |
|||||||||||||||||||||||||||||||||
Total revenues |
1,617,158,262 |
2,232,696,106 |
344,668,885 |
38.1% |
|||||||||||||||||||||||||||||||||
Less: business taxes and related surcharges |
(88,673,371) |
(112,768,265) |
(17,408,420) |
27.2% |
|||||||||||||||||||||||||||||||||
Net revenues |
1,528,484,891 |
2,119,927,841 |
327,260,465 |
38.7% |
|||||||||||||||||||||||||||||||||
Operating costs and expenses: |
|||||||||||||||||||||||||||||||||||||
Compensation and benefits |
|||||||||||||||||||||||||||||||||||||
Relationship manager compensation |
(322,052,574) |
(524,629,723) |
(80,988,873) |
62.9% |
|||||||||||||||||||||||||||||||||
Performance fee compensation |
(22,034,438) |
(24,786,763) |
(3,826,417) |
12.5% |
|||||||||||||||||||||||||||||||||
Other compensations |
(393,373,326) |
(615,075,893) |
(94,951,356) |
56.4% |
|||||||||||||||||||||||||||||||||
Total compensation and benefits |
(737,460,338) |
(1,164,492,379) |
(179,766,646) |
57.9% |
|||||||||||||||||||||||||||||||||
Selling expenses |
(147,265,810) |
(263,815,409) |
(40,726,081) |
79.1% |
|||||||||||||||||||||||||||||||||
General and administrative expenses |
(151,626,278) |
(170,929,513) |
(26,386,970) |
12.7% |
|||||||||||||||||||||||||||||||||
Other operating expenses |
(29,961,830) |
(94,624,304) |
(14,607,475) |
215.8% |
|||||||||||||||||||||||||||||||||
Government subsidies |
90,931,462 |
132,709,712 |
20,486,849 |
45.9% |
|||||||||||||||||||||||||||||||||
Total operating costs and expenses |
(975,382,794) |
(1,561,151,893) |
(241,000,323) |
60.1% |
|||||||||||||||||||||||||||||||||
Income from operations |
553,102,097 |
558,775,948 |
86,260,142 |
1.0% |
|||||||||||||||||||||||||||||||||
Other income(expenses): |
|||||||||||||||||||||||||||||||||||||
Interest income |
38,901,980 |
39,698,790 |
6,128,437 |
2.0% |
|||||||||||||||||||||||||||||||||
Interest expenses |
- |
(16,050,359) |
(2,477,748) |
0.0% |
|||||||||||||||||||||||||||||||||
Investment income |
23,552,297 |
51,954,918 |
8,020,456 |
120.6% |
|||||||||||||||||||||||||||||||||
Other income (expense) income |
(13,961,307) |
455,030 |
70,245 |
(103.3%) |
|||||||||||||||||||||||||||||||||
Total other income |
48,492,970 |
76,058,379 |
11,741,390 |
56.8% |
|||||||||||||||||||||||||||||||||
Income before taxes and loss from equity in affiliates |
601,595,067 |
634,834,327 |
98,001,532 |
5.5% |
|||||||||||||||||||||||||||||||||
Income tax expenses |
(151,293,021) |
(129,885,747) |
(20,050,903) |
(14.1%) |
|||||||||||||||||||||||||||||||||
Income from equity in affiliates |
13,583,865 |
21,352,767 |
3,296,299 |
57.2% |
|||||||||||||||||||||||||||||||||
Net income |
463,885,911 |
526,301,347 |
81,246,928 |
13.5% |
|||||||||||||||||||||||||||||||||
Less: net income attributable to non-controlling interests |
17,333,060 |
(9,522,737) |
(1,470,057) |
(154.9%) |
|||||||||||||||||||||||||||||||||
Net income attributable to Noah Shareholders |
446,552,851 |
535,824,084 |
82,716,985 |
20.0% |
|||||||||||||||||||||||||||||||||
Income per ADS, basic |
8.01 |
9.54 |
1.47 |
19.1% |
|||||||||||||||||||||||||||||||||
Income per ADS, diluted |
7.91 |
9.15 |
1.41 |
15.7% |
|||||||||||||||||||||||||||||||||
Margin analysis: |
|||||||||||||||||||||||||||||||||||||
Operating margin |
36.2% |
26.4% |
26.4% |
||||||||||||||||||||||||||||||||||
Net margin |
30.3% |
24.8% |
24.8% |
||||||||||||||||||||||||||||||||||
Weighted average ADS equivalent: [2] |
|||||||||||||||||||||||||||||||||||||
Basic |
55,747,002 |
56,171,042 |
56,171,042 |
||||||||||||||||||||||||||||||||||
Diluted |
56,455,646 |
60,291,952 |
60,291,952 |
||||||||||||||||||||||||||||||||||
[2] Assumes all outstanding ordinary shares are represented by ADSs. Each ordinary share represents two ADSs |
|||||||||||||||||||||||||||||||||||||
Noah Holdings Limited |
|||||||||||||||||||
Condensed Comprehensive Income Statements |
|||||||||||||||||||
(In RMB) (unaudited) |
|||||||||||||||||||
Three months ended |
|||||||||||||||||||
December 31, |
December 31, |
December 31, |
Change |
||||||||||||||||
2014 |
2015 |
2015 |
|||||||||||||||||
RMB |
RMB |
USD |
|||||||||||||||||
Net income |
91,758,207 |
74,878,369 |
11,559,229 |
(18.4%) |
|||||||||||||||
Other comprehensive income, net of tax: |
|||||||||||||||||||
Foreign currency translation adjustments |
13,307 |
2,707,480 |
417,963 |
20246.3% |
|||||||||||||||
Fair value fluctuation of available for sale Investment (after tax) |
105,937 |
1,228,939 |
189,715 |
1060.1% |
|||||||||||||||
Comprehensive income |
91,877,451 |
78,814,788 |
12,166,907 |
(14.2%) |
|||||||||||||||
Less: Comprehensive income (loss) attributable |
1,046,036 |
(8,669,054) |
(1,338,271) |
(928.8%) |
|||||||||||||||
Comprehensive income attributable to Noah |
90,831,415 |
87,483,842 |
13,505,178 |
(3.7%) |
|||||||||||||||
Noah Holdings Limited |
|||||||||||||||||||
Condensed Comprehensive Income Statements |
|||||||||||||||||||
(In RMB) (unaudited) |
|||||||||||||||||||
Twelve months ended |
|||||||||||||||||||
December 31, |
December 31, |
December 31, |
Change |
||||||||||||||||
2014 |
2015 |
2015 |
|||||||||||||||||
RMB |
RMB |
USD |
|||||||||||||||||
Net income |
463,885,911 |
526,301,347 |
81,246,928 |
13.5% |
|||||||||||||||
Other comprehensive income, net of tax: |
|||||||||||||||||||
Foreign currency translation adjustments |
6,426,044 |
4,884,837 |
754,089 |
(24.0%) |
|||||||||||||||
Fair value fluctuation of available for sale Investment (after tax) |
2,620,351 |
718,414 |
110,904 |
(72.6%) |
|||||||||||||||
Comprehensive income |
472,932,306 |
531,904,598 |
82,111,921 |
12.5% |
|||||||||||||||
Less: Comprehensive income attributable to non- |
17,331,172 |
(9,520,184) |
(1,469,663) |
(154.9%) |
|||||||||||||||
Comprehensive income attributable to Noah |
455,601,134 |
541,424,782 |
83,581,584 |
18.8% |
|||||||||||||||
Noah Holdings Limited |
|||||
Supplemental Information |
|||||
(unaudited) |
|||||
As of |
Change |
||||
December 31, 2014 |
December 31, 2015 |
||||
Number of registered clients |
70,557 |
99,019 |
40.3% |
||
Number of relationship managers |
779 |
1,098 |
40.9% |
||
Number of branch offices |
63 |
67 |
6.3% |
||
Three months ended |
Change |
||||
December 31, 2014 |
December 31, 2015 |
||||
(in millions of RMB, except number of active clients and percentages) |
|||||
Number of active clients |
3,529 |
4,603 |
30.4% |
||
Transaction value: |
|||||
Fixed income products |
7,479 |
11,164 |
49.3% |
||
Private equity fund products |
2,276 |
6,407 |
181.5% |
||
Secondary market equity fund products |
3,300 |
4,785 |
45.0% |
||
Other products, including mutual |
(1,223) |
(2,317) |
89.5% |
||
Total transaction value |
11,831 |
20,039 |
69.4% |
||
Average transaction value per client |
3.35 |
4.35 |
29.8% |
Twelve months ended |
Change |
||||||
December 31, 2014 |
December 31, 2015 |
||||||
(in millions of RMB, except number of active clients and percentages) |
|||||||
Number of active clients |
9,010 |
12,573 |
39.5% |
||||
Transaction value: |
|||||||
Fixed income products |
40,212 |
36,621 |
(8.9%) |
||||
Private equity fund products |
11,971 |
31,917 |
166.6% |
||||
Secondary market equity fund products |
10,328 |
28,054 |
171.6% |
||||
Other products, including mutual fund |
860 |
2,402 |
179.4% |
||||
Total transaction value |
63,371 |
98,994 |
56.2% |
||||
Average transaction value per client |
7.03 |
7.87 |
11.9% |
||||
Noah Holdings Limited |
|||||||||||
Segment Condensed Income Statements |
|||||||||||
(In RMB, except for ADS data, per ADS data and percentages) |
|||||||||||
(unaudited) |
|||||||||||
Three months ended December 31, 2014 |
|||||||||||
Wealth Business |
Asset Business |
Internet |
Total |
||||||||
RMB |
RMB |
RMB |
RMB |
||||||||
Revenues: |
|||||||||||
Third-party revenues |
|||||||||||
One-time commissions |
137,119,867 |
- |
- |
137,119,867 |
|||||||
Recurring service fees |
70,376,437 |
16,596,337 |
- |
86,972,774 |
|||||||
Performance-based income |
7,952,243 |
2,913,678 |
- |
10,865,921 |
|||||||
Other service fees |
4,671,321 |
- |
7,573,553 |
12,244,874 |
|||||||
Total third-party revenues |
220,119,868 |
19,510,015 |
7,573,553 |
247,203,436 |
|||||||
Related party revenues |
|||||||||||
One-time commissions |
34,530,501 |
- |
34,530,501 |
||||||||
Recurring service fees |
76,604,849 |
53,892,949 |
- |
130,497,798 |
|||||||
Other service fees |
- |
- |
185,772 |
185,772 |
|||||||
Total related party revenues |
111,135,350 |
53,892,949 |
185,772 |
165,214,071 |
|||||||
Total revenues |
331,255,218 |
73,402,964 |
7,759,325 |
412,417,507 |
|||||||
Less: business taxes and related surcharges |
(19,726,815) |
(3,485,956) |
(211,990) |
(23,424,761) |
|||||||
Net revenues |
311,528,403 |
69,917,008 |
7,547,335 |
388,992,746 |
|||||||
Operating costs and expenses: |
|||||||||||
Compensation and benefits |
|||||||||||
Relationship manager compensation |
(90,305,726) |
- |
(2,244,639) |
(92,550,365) |
|||||||
Other compensation |
(55,595,191) |
(29,974,303) |
(22,038,586) |
(107,608,080) |
|||||||
Total compensation and benefits |
(145,900,917) |
(29,974,303) |
(24,283,225) |
(200,158,445) |
|||||||
Selling expenses |
(47,815,815) |
(2,793,156) |
(1,710,490) |
(52,319,461) |
|||||||
General and administrative expenses |
(27,556,899) |
(27,980,194) |
(7,642,679) |
(63,179,772) |
|||||||
Other operating expenses |
(8,717,471) |
(1,159,164) |
(2,545,656) |
(12,422,291) |
|||||||
Government subsidies |
44,568,793 |
4,156,047 |
- |
48,724,840 |
|||||||
Total operating costs and expenses |
(185,422,309) |
(57,750,770) |
(36,182,050) |
(279,355,129) |
|||||||
Income from operations |
126,106,094 |
12,166,238 |
(28,634,715) |
109,637,617 |
|||||||
Noah Holdings Limited |
||||||||||||||||||||||||
Segment Condensed Income Statements |
||||||||||||||||||||||||
(In RMB, except for ADS data, per ADS data and percentages) |
||||||||||||||||||||||||
(unaudited) |
||||||||||||||||||||||||
Three months ended December 31, 2015 |
||||||||||||||||||||||||
Wealth Business |
Asset Business |
Internet |
Total |
|||||||||||||||||||||
RMB |
RMB |
RMB |
RMB |
|||||||||||||||||||||
Revenues: |
||||||||||||||||||||||||
Third-party revenues |
||||||||||||||||||||||||
One-time commissions |
108,400,978 |
227,500 |
- |
108,628,478 |
||||||||||||||||||||
Recurring service fees |
103,525,654 |
15,407,610 |
- |
118,933,264 |
||||||||||||||||||||
Performance-based income |
28,313,104 |
1,446,723 |
29,759,827 |
|||||||||||||||||||||
Other service fees |
42,317,121 |
- |
15,506,672 |
57,823,793 |
||||||||||||||||||||
Total third-party revenues |
282,556,857 |
17,081,833 |
15,506,672 |
315,145,362 |
||||||||||||||||||||
Related party revenues |
||||||||||||||||||||||||
One-time commissions |
87,157,496 |
1,522,746 |
- |
88,680,242 |
||||||||||||||||||||
Recurring service fees |
82,789,078 |
85,265,377 |
- |
168,054,455 |
||||||||||||||||||||
Performance-based income |
- |
30,194,600 |
30,194,600 |
|||||||||||||||||||||
Other service fees |
393,683 |
- |
- |
393,683 |
||||||||||||||||||||
Total related party revenues |
170,340,257 |
116,982,723 |
- |
287,322,980 |
||||||||||||||||||||
Total revenues |
452,897,114 |
134,064,556 |
15,506,672 |
602,468,342 |
||||||||||||||||||||
Less: business taxes and related surcharges |
(21,623,140) |
(6,860,507) |
(262,159) |
(28,745,806) |
||||||||||||||||||||
Net revenues |
431,273,974 |
127,204,049 |
15,244,513 |
573,722,536 |
||||||||||||||||||||
Operating costs and expenses: |
||||||||||||||||||||||||
Compensation and benefits |
||||||||||||||||||||||||
Relationship manager compensation |
(146,135,190) |
(1,242,154) |
312,255 |
(147,065,089) |
||||||||||||||||||||
Performance fee compensation |
- |
(2,477,428) |
- |
(2,477,428) |
||||||||||||||||||||
Other compensation |
(111,121,819) |
(39,855,764) |
(40,753,942) |
(191,731,525) |
||||||||||||||||||||
Total compensation and benefits |
(257,257,009) |
(43,575,346) |
(40,441,687) |
(341,274,042) |
||||||||||||||||||||
Selling expenses |
(74,895,758) |
(3,747,660) |
(11,882,359) |
(90,525,777) |
||||||||||||||||||||
General and administrative expenses |
(30,752,315) |
(21,561,697) |
(12,467,687) |
(64,781,699) |
||||||||||||||||||||
Other operating expenses |
(33,052,868) |
(7,017,494) |
(6,848,992) |
(46,919,354) |
||||||||||||||||||||
Government subsidies |
14,980,060 |
1,397,228 |
444,868 |
16,822,156 |
||||||||||||||||||||
Total operating costs and expenses |
(380,977,890) |
(74,504,969) |
(71,195,857) |
(526,678,716) |
||||||||||||||||||||
Income from operations |
50,296,084 |
52,699,080 |
(55,951,344) |
47,043,820 |
||||||||||||||||||||
Noah Holdings Limited |
||||||||||||||||||||||||
Segment Condensed Income Statements |
||||||||||||||||||||||||
(In RMB, except for ADS data, per ADS data and percentages) |
||||||||||||||||||||||||
(unaudited) |
||||||||||||||||||||||||
Twelve months ended December 31, 2014 |
||||||||||||||||||||||||
Wealth Business |
Asset Management Business |
Internet |
Total |
|||||||||||||||||||||
RMB |
RMB |
RMB |
RMB |
|||||||||||||||||||||
Revenues: |
||||||||||||||||||||||||
Third-party revenues |
||||||||||||||||||||||||
One-time commissions |
423,218,934 |
- |
- |
423,218,934 |
||||||||||||||||||||
Recurring service fees |
243,619,600 |
76,313,477 |
- |
319,933,077 |
||||||||||||||||||||
Performance-based income |
7,952,243 |
16,680,481 |
- |
24,632,724 |
||||||||||||||||||||
Other service fees |
13,246,685 |
- |
16,732,441 |
29,979,126 |
||||||||||||||||||||
Total third-party revenues |
688,037,462 |
92,993,958 |
16,732,441 |
797,763,861 |
||||||||||||||||||||
Related party revenues |
||||||||||||||||||||||||
One-time commissions |
180,943,785 |
- |
- |
180,943,785 |
||||||||||||||||||||
Recurring service fees |
342,603,359 |
217,438,078 |
30,326 |
560,071,763 |
||||||||||||||||||||
Performance-based income |
2,444,365 |
73,897,688 |
- |
76,342,053 |
||||||||||||||||||||
Other service fees |
75,050 |
1,105,055 |
856,695 |
2,036,800 |
||||||||||||||||||||
Total related party revenues |
526,066,559 |
292,440,821 |
887,021 |
819,394,401 |
||||||||||||||||||||
Total revenues |
1,214,104,021 |
385,434,779 |
17,619,462 |
1,617,158,262 |
||||||||||||||||||||
Less: business taxes and related surcharges |
(68,598,144) |
(19,319,443) |
(755,784) |
(88,673,371) |
||||||||||||||||||||
Net revenues |
1,145,505,877 |
366,115,336 |
16,863,678 |
1,528,484,891 |
||||||||||||||||||||
Operating costs and expenses: |
||||||||||||||||||||||||
Compensation and benefits |
||||||||||||||||||||||||
Relationship manager compensation |
(319,572,173) |
(235,762) |
(2,244,639) |
(322,052,574) |
||||||||||||||||||||
Performance Fee Compensation |
- |
(22,034,438) |
- |
(22,034,438) |
||||||||||||||||||||
Other compensation |
(214,841,520) |
(124,968,021) |
(53,563,785) |
(393,373,326) |
||||||||||||||||||||
Total compensation and benefits |
(534,413,693) |
(147,238,221) |
(55,808,424) |
(737,460,338) |
||||||||||||||||||||
Selling expenses |
(135,282,336) |
(9,756,483) |
(2,226,991) |
(147,265,810) |
||||||||||||||||||||
General and administrative expenses |
(74,673,516) |
(60,090,462) |
(16,862,300) |
(151,626,278) |
||||||||||||||||||||
Other operating expenses |
(23,641,595) |
(1,674,417) |
(4,645,818) |
(29,961,830) |
||||||||||||||||||||
Government subsidies |
67,303,362 |
23,601,038 |
27,062 |
90,931,462 |
||||||||||||||||||||
Total operating costs and expenses |
(700,707,778) |
(195,158,545) |
(79,516,471) |
(975,382,794) |
||||||||||||||||||||
Income from operations |
444,798,099 |
170,956,791 |
(62,652,793) |
553,102,097 |
||||||||||||||||||||
Noah Holdings Limited |
|||||||||||||
Segment Condensed Income Statements |
|||||||||||||
(In RMB, except for ADS data, per ADS data and percentages) |
|||||||||||||
(unaudited) |
|||||||||||||
Twelve months ended December 31, 2015 |
|||||||||||||
Wealth Business |
Asset Business |
Internet |
Total |
||||||||||
RMB |
RMB |
RMB |
RMB |
||||||||||
Revenues: |
|||||||||||||
Third-party revenues |
|||||||||||||
One-time commissions |
390,668,384 |
520,001 |
- |
391,188,385 |
|||||||||
Recurring service fees |
334,983,117 |
66,309,348 |
- |
401,292,465 |
|||||||||
Performance-based income |
141,773,493 |
52,165,537 |
- |
193,939,030 |
|||||||||
Other service fees |
69,447,545 |
512,475 |
58,330,241 |
128,290,261 |
|||||||||
Total third-party revenues |
936,872,539 |
119,507,361 |
58,330,241 |
1,114,710,141 |
|||||||||
Related party revenues |
|||||||||||||
One-time commissions |
424,354,473 |
4,333,018 |
- |
428,687,491 |
|||||||||
Recurring service fees |
324,182,643 |
310,730,732 |
- |
634,913,375 |
|||||||||
Performance-based income |
- |
53,825,293 |
- |
53,825,293 |
|||||||||
Other service fees |
393,683 |
- |
166,123 |
559,806 |
|||||||||
Total related party revenues |
748,930,799 |
368,889,043 |
166,123 |
1,117,985,965 |
|||||||||
Total revenues |
1,685,803,338 |
488,396,404 |
58,496,364 |
2,232,696,106 |
|||||||||
Less: business taxes and related surcharges |
(88,285,200) |
(23,408,513) |
(1,074,552) |
(112,768,265) |
|||||||||
Net revenues |
1,597,518,138 |
464,987,891 |
57,421,812 |
2,119,927,841 |
|||||||||
Operating costs and expenses: |
|||||||||||||
Compensation and benefits |
|||||||||||||
Relationship manager compensation |
(507,400,087) |
(8,044,612) |
(9,185,024) |
(524,629,723) |
|||||||||
Performance fee compensation |
- |
(24,786,763) |
- |
(24,786,763) |
|||||||||
Other compensation |
(348,504,061) |
(150,661,189) |
(115,910,643) |
(615,075,893) |
|||||||||
Total compensation and benefits |
(855,904,148) |
(183,492,564) |
(125,095,667) |
(1,164,492,379) |
|||||||||
Selling expenses |
(219,286,283) |
(17,278,343) |
(27,250,783) |
(263,815,409) |
|||||||||
General and administrative expenses |
(78,850,681) |
(53,554,038) |
(38,524,794) |
(170,929,513) |
|||||||||
Other operating expenses |
(53,374,913) |
(19,411,331) |
(21,838,060) |
(94,624,304) |
|||||||||
Government subsidies |
75,960,496 |
56,304,348 |
444,868 |
132,709,712 |
|||||||||
Total operating costs and expenses |
(1,131,455,529) |
(217,431,928) |
(212,264,436) |
(1,561,151,893) |
|||||||||
Income from operations |
466,062,609 |
247,555,963 |
(154,842,624) |
558,775,948 |
|||||||||
Noah Holdings Limited |
||||||||
Reconciliation of GAAP to Non-GAAP Results |
||||||||
(In RMB, except for ADS data and percentages) |
||||||||
(unaudited) |
||||||||
Three months ended |
||||||||
December 31, |
December 31, |
Change |
||||||
2014 |
2015 |
|||||||
RMB |
RMB |
|||||||
Net margin |
23.6% |
13.1% |
||||||
Adjusted net margin (non-GAAP)* |
24.8% |
17.0% |
||||||
Net income attributable to Noah Shareholders |
90,708,264 |
83,537,366 |
(7.9%) |
|||||
Adjustment for share-based compensation related to: |
||||||||
Share options |
2,012,410 |
13,888,693 |
590.2% |
|||||
Restricted shares |
2,607,909 |
8,805,247 |
237.6% |
|||||
Adjusted net income attributable to Noah Shareholders (non-GAAP)* |
95,328,583 |
106,231,306 |
11.4% |
|||||
Net income attributable to Noah Shareholders per ADS, diluted |
1.60 |
1.46 |
(8.8%) |
|||||
Adjusted net income attributable to Noah Shareholders per ADS, diluted (non-GAAP)* |
1.69 |
1.84 |
8.9% |
|||||
*The non-GAAP adjustments do not take into consideration the impact of taxes on such adjustments. |
Noah Holdings Limited |
||||||||
Reconciliation of GAAP to Non-GAAP Results |
||||||||
(In RMB, except for ADS data and percentages) |
||||||||
(unaudited) |
||||||||
Twelve months ended |
||||||||
December 31, |
December 31, |
Change |
||||||
2014 |
2015 |
|||||||
RMB |
RMB |
|||||||
Net margin |
30.3% |
24.8% |
||||||
Adjusted net margin (non-GAAP)* |
32.5% |
28.0% |
||||||
Net income attributable to Noah Shareholders |
446,552,851 |
535,824,084 |
20.0% |
|||||
Adjustment for share-based compensation related to: |
||||||||
Share options |
9,043,829 |
33,912,040 |
275.0% |
|||||
Restricted shares |
23,647,858 |
33,760,448 |
42.8% |
|||||
Adjusted net income attributable to Noah Shareholders (non-GAAP)* |
479,244,538 |
603,496,572 |
25.9% |
|||||
Net income attributable to Noah Shareholders per ADS, diluted |
7.91 |
9.15 |
15.7% |
|||||
Adjusted net income attributable to Noah Shareholders per ADS, diluted (non-GAAP)* |
8.49 |
10.28 |
21.1% |
|||||
*The non-GAAP adjustments do not take into consideration the impact of taxes on such adjustments. |
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/noah-holdings-limited-announces-unaudited-financial-results-for-the-fourth-quarter-and-full-year-2015-300237166.html
SOURCE