Noah Holdings Limited Announces Unaudited Financial Results for the First Quarter of 2017
FIRST QUARTER 2017 FINANCIAL HIGHLIGHTS
- Net revenues in the first quarter of 2017 were
RMB713.2 million (US$103.6 million ), a 17.5% increase from the corresponding period in 2016.
(RMB millions, except percentages) |
Q1 2016 |
Q1 2017 |
YoY Change |
||
Wealth management |
463.6 |
562.0 |
21.2% |
||
Asset management |
137.7 |
126.4 |
(8.2%) |
||
Internet financial services |
5.8 |
24.8 |
326.7% |
||
Total net revenues |
607.2 |
713.2 |
17.5% |
- Income from operations in the first quarter of 2017 was
RMB256.8 million (US$37.3 million ), a 13.0% increase from the corresponding period in 2016.
(RMB millions, except percentages) |
Q1 2016 |
Q1 2017 |
YoY Change |
||
Wealth management |
133.2 |
209.2 |
57.1% |
||
Asset management |
146.6 |
78.7 |
(46.3%) |
||
Internet financial services |
(52.5) |
(31.1) |
N/A |
||
Total income from operations |
227.3 |
256.8 |
13.0% |
- Net income attributable to Noah shareholders in the first quarter of 2017 was
RMB217.0 million (US$31.5 million ), a 9.0% increase from the corresponding period in 2016. - Non-GAAP[1] net income attributable to Noah shareholders in the first quarter of 2017 was
RMB237.2 million (US$34.5 million ), a 10.9% increase from the corresponding period in 2016.
[1] 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. |
FIRST QUARTER 2017 OPERATIONAL UPDATES
Wealth Management Business
The Company's wealth management business offers wealth management products and provides comprehensive financial services to high net worth individuals, enterprise and institutional clients in
- The total number of registered clients as of
March 31, 2017 was 148,505, a 40.7% increase fromMarch 31 , 2016. - The total number of active clients[2] during the first quarter of 2017 was 4,362, an 11.8% decrease from the corresponding period in 2016.
- The aggregate value of wealth management products distributed by the Company during the first quarter of 2017 was
RMB32.7 billion (US$4.8 billion ), a 31.7% increase from the corresponding period in 2016.
Product type |
Three months ended March 31, |
|||
2016 |
2017 |
|||
(RMB in billions, except percentages) |
||||
Fixed income products |
16.1 |
65.1% |
22.1 |
67.6% |
Private equity products |
6.1 |
24.4% |
9.1 |
27.8% |
Secondary market equity fund products |
2.3 |
9.3% |
1.1 |
3.4% |
Other products |
0.3 |
1.2% |
0.4 |
1.2% |
All products |
24.8 |
100.0% |
32.7 |
100.0% |
- The average transaction value per client[3] in the first quarter of 2017 was
RMB7.5 million (US$1.1 million ), a 49.4% increase from the corresponding period in 2016. - The coverage network included 199 branches and sub-branches covering 74 cities as of
March 31, 2017 , up from 185 branches and sub-branches covering 71 cities as ofDecember 31, 2016 , and 166 branches and sub-branches covering 68 cities as ofMarch 31, 2016 . - The number of relationship managers was 1,251 as of
March 31, 2017 , up from 1,169 and 1,137 as ofDecember 31, 2016 andMarch 31, 2016 , respectively.
[2] "Active clients" refers to registered clients who purchased wealth management products distributed by Noah during the period specified. |
Asset Management Business
Gopher Asset Management ("Gopher"), the Company's subsidiary, is a leading alternative asset manager in
- The total assets under management as of
March 31, 2017 wereRMB129.6 billion (US$18.8 billion ), a 7.1% increase fromDecember 31, 2016 and a 36.9% increase fromMarch 31, 2016 .
Product type |
As of December |
Asset |
Asset |
As of March 31, |
|||
(RMB billions, except percentages) |
|||||||
Real estate investments |
23.2 |
19.2% |
9.5 |
12.9 |
19.8 |
15.3% |
|
Private equity investments |
61.7 |
51.0% |
8.6 |
0.6 |
69.6 |
53.8% |
|
Secondary market investments |
8.3 |
6.9% |
0.1 |
1.5 |
6.9 |
5.3% |
|
Other investments |
27.8 |
23.0% |
10.1 |
4.7 |
33.2 |
25.6% |
|
All products |
120.9 |
100.0% |
28.2 |
19.6 |
129.6 |
100.0% |
Internet Financial Service Business
The Company's internet financial service business provides financial products and services through a proprietary internet financial service platform mainly targeting mass affluent individuals in
- The aggregate value of financial products distributed by the Company through its internet financial service platform in the first quarter of 2017 was
RMB7.1 billion (US$1.1 billion ), a 273.4% increase from the first quarter of 2016. - The total number of clients through the Company's internet financial service platform as of
March 31, 2017 was 425,708, up from 402,815 and 294,796 as ofDecember 31, 2016 andMarch 31, 2016 , respectively.
Mr.
FIRST QUARTER 2017 FINANCIAL RESULTS
Net Revenues
Net revenues for the first quarter of 2017 were
- Wealth Management Business
- Net revenues from one-time commissions for the first quarter of 2017 were
RMB342.3 million (US$49.7 million ), a 24.5% increase from the corresponding period in 2016. 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 first quarter of 2017 were
RMB199.8 million (US$29.0 million ), an 18.5% increase from the corresponding period in 2016. The increase was primarily due to the cumulative effect of wealth management products with recurring service fees previously distributed by the Company.Net revenues from performance-based income for the first quarter of 2017 wereRMB11.8 million (US$1.7 million ), a 74.4% increase from the corresponding period in 2016, primarily due to a year-over-year increase in performance-based income from private equity products distributed in previous periods by the Company. Net revenues from other service fees for the first quarter of 2017 wereRMB8.1 million (US$1.2 million ), a 39.9% decrease from the corresponding period in 2016,primarily due to the reclassification of some of the other service fee income starting from the second quarter of 2016. - Asset Management Business
- Net revenues from recurring service fees for the first quarter of 2017 were
RMB125.5 million (US$18.2 million ), a 1.4% decrease from the corresponding period in 2016, primarily due to lower average management fee rates of fund-of-funds products managed in the first quarter of 2017 than those of the direct real estate investment products which had matured since a year ago. Net revenues from performance-based income for the first quarter of 2017 wereRMB0.7 million (US$0.1 million ), compared toRMB9.1 million in the corresponding period in 2016, primarily due to a decrease in performance-based income from secondary market products. - Net revenues for the first quarter of 2017 were
RMB24.8 million (US$3.6 million ), a 326.7% increase from the corresponding period in 2016, primarily due to increased volumes of financial products distributed by the internet financial service platform compared to the corresponding period in 2016.
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 first quarter of 2017 were
- Wealth Management Business
Operating costs and expenses for the first quarter of 2017 wereRMB352.8 million (US$51.3 million ), a 6.8% increase from the corresponding period in 2016. - Compensation and benefits includes compensation for relationship managers and back-office employees. Compensation and benefits for the first quarter of 2017 were
RMB265.9 million (US$38.6 million ), a 12.7% increase from the corresponding period in 2016. In the first quarter of 2017, relationship manager compensation increased by 9.9% from the corresponding period in 2016, as a result of a larger number of relationship managers. Other compensation for the first quarter of 2017 increased by 16.4% from the corresponding period in 2016, primarily due to an increase in the number of back-office employees. Selling expenses for the first quarter of 2017 wereRMB54.6 million (US$7.9 million ), a 7.1% decrease from the corresponding period in 2016, primarily due to lower expenses for general marketing. General and administrative expenses for the first quarter of 2017 wereRMB35.3 million (US$5.1 million ), an 43.2% increase from the corresponding period in 2016, primarily due to higher expenses related to promotion conferences held during the first quarter. Other operating expenses, which include other costs incurred directly in relation to the wealth management business' revenues, wereRMB12.4 million (US$1.8 million ) for the first quarter of 2017, an increase of 11.9% from the corresponding period in 2016. Government subsidies represent cash subsidies received from local governments for general corporate purposes. Our wealth management business receivedRMB15.4 million (US$2.2 million ) in government subsidies in the first quarter of 2017, compared toRMB0.1 million in the corresponding period of 2016 - Asset Management Business
Operating costs and expenses for the first quarter of 2017 wereRMB47.6 million (US$6.9million ), excluding government subsidies, compared toRMB60.0 million in the corresponding period of 2016, an increase of 10.4%. - Compensation and benefits include compensation of investment professionals, fund operation staff, institutional sales, and other back-office employees. Compensation and benefits for the first quarter of 2017 were
RMB39.8 million (US$5.8 million ), an 8.4% decrease from the corresponding period in 2016. The decrease was primarily due to less performance-based compensation paid to fund managers as lower performance-based income was recognized in the first quarter of 2017 compared with the corresponding period in 2016. Selling expenses for the first quarter of 2017 wereRMB2.1 million (US$0.3 million ), compared withRMB1.9 million in the corresponding period of 2016, an increase of 9.0%, primarily due to an increase in expenses related to external consulting services. General and administrative expenses for the first quarter of 2017 wereRMB15.3 million (US$2.2 million ), a 23.5% increase from the corresponding period in 2016, primarily due to an increase in expenses related to conferencing services incurred for during the quarter. Government subsidies represent cash subsidies received from local governments for general corporate purposes. The asset management business receivedRMB18.5 million (US$2.7 million ) in government subsidies in the first quarter of 2017, compared toRMB68.9 million in the corresponding period in 2016 - Internet Financial Service Business
Operating costs and expenses for the first quarter of 2017 wereRMB55.9 million (US$8.1 million ), a 4.1% decrease from the corresponding period in 2016. Operating costs and expenses for the first quarter of 2017 primarily consisted of compensation and benefits ofRMB35.0 million (US$5.1 million ), selling expenses ofRMB4.0 million (US$0.6 million ), general and administrative expenses ofRMB9.1 million (US$1.3 million ) and other operating expenses ofRMB7.9 million (US$1.2 million ).
Operating Margin
Operating margin for the first quarter of 2017 was 36.0%, relatively stable compared with 37.4% for the corresponding period in 2016.
- Operating margin for the wealth management business for the first quarter of 2017 increased to 36.7% from 28.7% for the corresponding period in 2016.
- Operating margin for the asset management business for the first quarter of 2017 was 62.3%, compared to 106.5% for the corresponding period in 2016. The decrease was primarily due to the
RMB18.5 million (US$2.7 million ) in government subsidies received in the first quarter of 2017, down fromRMB68.9 million in the first quarter of 2016. - Operating loss for internet financial service business for the first quarter of 2017 was
RMB31.1 million (US$4.5 million ), down fromRMB52.5 million for the corresponding period of the prior year.
Income Tax Expenses
Income tax expenses for the first quarter of 2017 were
Net Income
- Net Income
- Net income for the first quarter of 2017 was
RMB215.7 million (US$31.3 million ), a 12.0% increase from the corresponding period in 2016. Net margin for the first quarter of 2017 was 30.2%, compared to 31.7% for the corresponding period in 2016. Net income attributable to Noah shareholders for the first quarter of 2017 wasRMB217.0 million (US$31.5 million ), a 9.0% increase from the corresponding period in 2016. Net margin attributable to Noah shareholders for the first quarter of 2017 was 30.4%, compared to 32.8% for the corresponding period in 2016. Net income attributable to Noah shareholders per basic and diluted ADS for the first quarter of 2017 wasRMB3.85 (US$0.56) andRMB3.69 (US$0.54) , respectively, compared toRMB3.54 andRMB3.38 , respectively, for the corresponding period in 2016 - Non-GAAP Net Income Attributable to Noah Shareholders
- Non-GAAP net income attributable to Noah shareholders for the first quarter of 2017 was
RMB237.2 million (US$34.5 million ), a 10.9% increase from the corresponding period in 2016. Non-GAAP net margin attributable to Noah shareholders for the first quarter of 2017 was 33.3%, compared to 35.2% for the corresponding period in 2016. Non-GAAP net income attributable to Noah shareholders per diluted ADS for the first quarter of 2017 wasRMB4.03 (US$0.59) , as compared toRMB3.63 for the corresponding period in 2016.
Balance Sheet and Cash Flow
As of
Cash inflow from the Company's operating activities during the first quarter of 2017 was
Cash outflow from the Company's investing activities during the first quarter of 2017 was
Cash outflow from the Company's financing activities was
On
2017 FORECAST
The Company estimates that non-GAAP net income attributable to Noah shareholders for the full year 2017 will be in the range of
CONFERENCE CALL
Senior management will host a combined English and Chinese language conference call to discuss the Company's first quarter 2017 unaudited financial results and recent business activities.
The conference call may be accessed with the following details:
Conference call details |
|
Date/Time
|
Monday, May 15, 2017 at 8:00 p.m., U.S. Eastern Time Tuesday, May 16, 2017 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 First Quarter 2017 Earnings Call |
Participant Password |
Noah Holdings |
A telephone replay will be available starting one 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 attributable to Noah shareholders 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 attributable to Noah shareholders, non-GAAP net income attributable to Noah shareholders per diluted ADS and non-GAAP net margin attributable to Noah shareholders 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,
Our wealth management business primarily distributes onshore and offshore fixed income products, private equity products, secondary market products and insurance products. Noah delivers customized financial solutions to clients through a network of 1,251 relationship managers across 199 branches and sub-branches in 74 cities in
For more information, please visit Noah at ir.noahwm.com .
FOREIGN CURRENCY TRANSLATION
In this announcement, the unaudited financial results for the quarter ended
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 2017 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
-- FINANCIAL AND OPERATIONAL TABLES FOLLOW --
Noah Holdings Limited |
||||||||||||||
Condensed Consolidated Balance Sheets |
||||||||||||||
(unaudited) |
||||||||||||||
As of |
||||||||||||||
December 31, 2016 |
March 31, 2017 |
March 31, 2017 |
||||||||||||
RMB |
RMB |
USD |
||||||||||||
Assets |
||||||||||||||
Current assets: |
||||||||||||||
Cash and cash equivalents |
2,982,509,565 |
2,609,189,604 |
379,066,365 |
|||||||||||
Restricted cash |
1,000,000 |
1,000,000 |
145,281 |
|||||||||||
Short-term investments |
299,174,435 |
410,236,781 |
59,599,718 |
|||||||||||
Accounts receivable, net of allowance for |
204,131,815 |
206,698,310 |
30,029,392 |
|||||||||||
Loans receivable |
113,919,956 |
115,878,152 |
16,834,924 |
|||||||||||
Amounts due from related parties |
438,839,542 |
599,928,166 |
87,158,323 |
|||||||||||
Factoring receivables |
604,176,000 |
573,674,100 |
83,344,099 |
|||||||||||
Other current assets |
88,778,883 |
305,948,259 |
44,448,550 |
|||||||||||
Total current assets |
4,732,530,196 |
4,822,553,372 |
700,626,652 |
|||||||||||
Long-term investments |
346,920,327 |
465,155,852 |
67,578,430 |
|||||||||||
Investment in affiliates |
539,176,511 |
543,279,802 |
78,928,377 |
|||||||||||
Property and equipment, net |
243,489,512 |
246,843,188 |
35,861,690 |
|||||||||||
Non-current deferred tax assets |
55,726,799 |
52,577,197 |
7,638,482 |
|||||||||||
Other non-current assets |
38,646,355 |
38,727,876 |
5,626,435 |
|||||||||||
Total Assets |
5,956,489,700 |
6,169,137,287 |
896,260,066 |
|||||||||||
Liabilities and Equity |
||||||||||||||
Current liabilities: |
||||||||||||||
Accrued payroll and welfare expenses |
555,228,116 |
384,234,867 |
55,822,127 |
|||||||||||
Income tax payable |
23,161,986 |
81,487,108 |
11,838,550 |
|||||||||||
Amounts due to related parties |
12,273,000 |
12,273,000 |
1,783,037 |
|||||||||||
Deferred revenues |
93,252,362 |
183,354,440 |
26,637,965 |
|||||||||||
Payable to individual investors of |
569,374,828 |
579,975,393 |
84,259,558 |
|||||||||||
Other current liabilities |
322,421,476 |
350,841,194 |
50,970,652 |
|||||||||||
Convertible notes (current)[4] |
- |
550,656,000 |
80,000,000 |
|||||||||||
Total current liabilities |
1,575,711,768 |
2,142,822,002 |
311,311,890 |
|||||||||||
Non-current uncertain tax position liabilities |
4,456,335 |
4,449,328 |
646,404 |
|||||||||||
Other non-current liabilities |
98,945,858 |
92,314,427 |
13,411,557 |
|||||||||||
Convertible notes |
555,440,000 |
- |
- |
|||||||||||
Total Liabilities |
2,234,553,961 |
2,239,585,757 |
325,369,851 |
|||||||||||
Mezzanine Equity - Redeemable non- |
330,664,322 |
334,589,580 |
48,609,597 |
|||||||||||
Equity |
3,391,271,417 |
3,594,961,950 |
522,280,618 |
|||||||||||
Total Liabilities and Equity |
5,956,489,700 |
6,169,137,287 |
896,260,066 |
|||||||||||
[4] Convertible bonds classified as current liabilities represent convertible senior notes which may be redeemed within one year. The holders will have the right, at the holders' option, to require Noah to repurchase for cash on February 3, 2018 or on the maturity date. Thus, it is classified in current liability as of March 31, 2017. |
Noah Holdings Limited |
|||||||||||||
Condensed Consolidated Income Statements |
|||||||||||||
(In RMB, except for USD data, per ADS data and percentages) |
|||||||||||||
(unaudited) |
|||||||||||||
Three months ended |
|||||||||||||
March 31, |
March 31, |
March 31, |
Change |
||||||||||
2016 |
2017 |
2017 |
|||||||||||
Revenues: |
RMB |
RMB |
USD |
||||||||||
Third-party revenues |
|||||||||||||
One-time commissions |
228,091,653 |
199,785,900 |
29,025,148 |
(12.4%) |
|||||||||
Recurring service fees |
107,031,782 |
135,549,199 |
19,692,759 |
26.6% |
|||||||||
Performance-based income |
9,651,835 |
12,549,633 |
1,823,227 |
30.0% |
|||||||||
Other service fees |
20,030,783 |
26,364,626 |
3,830,286 |
31.6% |
|||||||||
Total third-party revenues |
364,806,053 |
374,249,358 |
54,371,420 |
2.6% |
|||||||||
Related party revenues |
|||||||||||||
One-time commissions |
60,579,007 |
144,556,591 |
21,001,364 |
138.6% |
|||||||||
Recurring service fees |
202,265,842 |
191,370,305 |
27,802,520 |
(5.4%) |
|||||||||
Performance-based income |
6,997,951 |
79,265 |
11,516 |
(98.9%) |
|||||||||
Other service fees |
619,353 |
6,876,383 |
999,010 |
1010.3% |
|||||||||
Total related party revenues |
270,462,153 |
342,882,544 |
49,814,410 |
26.8% |
|||||||||
Total revenues |
635,268,206 |
717,131,902 |
104,185,830 |
12.9% |
|||||||||
Less: business taxes and related |
(28,110,614) |
(3,962,204) |
(575,634) |
(85.9%) |
|||||||||
Net revenues |
607,157,592 |
713,169,698 |
103,610,196 |
17.5% |
|||||||||
Operating costs and expenses: |
|||||||||||||
Compensation and benefits |
|||||||||||||
Relationship manager compensation |
(135,594,705) |
(150,313,036) |
(21,837,668) |
10.9% |
|||||||||
Performance fee compensation |
(3,346,509) |
- |
- |
(100.0%) |
|||||||||
Other Compensations |
(174,404,709) |
(190,268,992) |
(27,642,520) |
9.1% |
|||||||||
Total compensation and benefits |
(313,345,923) |
(340,582,028) |
(49,480,188) |
8.7% |
|||||||||
Selling expenses |
(67,902,033) |
(60,603,173) |
(8,804,506) |
(10.7%) |
|||||||||
General and administrative expenses |
(50,213,661) |
(59,638,162) |
(8,664,308) |
18.8% |
|||||||||
Other operating expenses |
(17,298,096) |
(29,445,892) |
(4,277,936) |
70.2% |
|||||||||
Government subsidies |
68,941,562 |
33,932,025 |
4,929,688 |
(50.8%) |
|||||||||
Total operating costs and expenses |
(379,818,151) |
(456,337,230) |
(66,297,250) |
20.1% |
|||||||||
Income from operations |
227,339,441 |
256,832,468 |
37,312,946 |
13.0% |
|||||||||
Other income: |
|||||||||||||
Interest income |
8,677,696 |
8,707,539 |
1,265,042 |
0.3% |
|||||||||
Interest expenses |
(4,664,889) |
(4,912,616) |
(713,711) |
5.3% |
|||||||||
Investment income |
8,067,380 |
10,145,532 |
1,473,955 |
25.8% |
|||||||||
Other income |
646,557 |
1,136,828 |
165,160 |
75.8% |
|||||||||
Total other income |
12,726,744 |
15,077,283 |
2,190,447 |
18.5% |
|||||||||
Income before taxes and loss from equity |
240,066,185 |
271,909,751 |
39,503,392 |
13.3% |
|||||||||
Income tax expense |
(53,394,844) |
(61,915,237) |
(8,995,124) |
16.0% |
|||||||||
Income from equity in affiliates |
5,903,283 |
5,726,356 |
831,932 |
(3.0%) |
|||||||||
Net income |
192,574,624 |
215,720,870 |
31,340,201 |
12.0% |
|||||||||
Less: net loss attributable to non- |
(6,424,676) |
(5,199,594) |
(755,404) |
(19.1%) |
|||||||||
Gain attributable to redeemable non- |
- |
3,925,258 |
570,266 |
- |
|||||||||
Net income attributable to Noah |
198,999,300 |
216,995,206 |
31,525,338 |
9.0% |
|||||||||
Income per ADS, basic |
3.54 |
3.85 |
0.56 |
8.8% |
|||||||||
Income per ADS, diluted |
3.38 |
3.69 |
0.54 |
9.2% |
|||||||||
Margin analysis: |
|||||||||||||
Operating margin |
37.4% |
36.0% |
36.0% |
||||||||||
Net margin |
31.7% |
30.2% |
30.2% |
||||||||||
Weighted average ADS equivalent:[1] |
|||||||||||||
Basic |
56,176,502 |
56,364,758 |
56,364,758 |
||||||||||
Diluted |
60,251,430 |
60,108,286 |
60,108,286 |
||||||||||
ADS equivalent outstanding at end of |
56,214,768 |
56,415,307 |
56,415,307 |
||||||||||
[1] Assumes all outstanding ordinary shares are represented by ADSs. Each ordinary share represents two ADSs. |
Noah Holdings Limited |
|||||||||||
Condensed Comprehensive Income Statements |
|||||||||||
(unaudited) |
|||||||||||
Three months ended |
|||||||||||
March 31, |
March 31, |
March 31, |
Change |
||||||||
2016 |
2017 |
2017 |
|||||||||
RMB |
RMB |
USD |
|||||||||
Net income |
192,574,624 |
215,720,870 |
31,340,201 |
12.0% |
|||||||
Other comprehensive income, net of tax: |
|||||||||||
Foreign currency translation |
(1,546,586) |
(4,137,561) |
(601,110) |
167.5% |
|||||||
Fair value fluctuation of available for |
4,707,100 |
1,514,491 |
220,027 |
(67.8%) |
|||||||
Comprehensive income |
195,735,138 |
213,097,800 |
30,959,118 |
8.9% |
|||||||
Less: Comprehensive loss attributable to |
(6,436,694) |
(5,315,600) |
(772,257) |
(17.4%) |
|||||||
Gain attributable to redeemable non- |
- |
3,925,258 |
570,266 |
- |
|||||||
Comprehensive income attributable to |
202,171,832 |
214,488,142 |
31,161,108 |
6.1% |
Noah Holdings Limited |
|||||
Supplemental Information |
|||||
(unaudited) |
|||||
As of |
Change |
||||
March 31, 2016 |
March 31, 2017 |
||||
Number of registered clients |
105,557 |
148,505 |
40.7% |
||
Number of relationship managers |
1,137 |
1,251 |
10.0% |
||
Number of cities under coverage |
68 |
74 |
8.8% |
||
Three months ended |
Change |
||||
March 31, 2016 |
March 31, 2017 |
||||
(in millions of RMB, except number of active clients and percentages) |
|||||
Number of active clients |
4,948 |
4,362 |
(11.8%) |
||
Transaction value: |
|||||
Fixed income products |
16,144 |
22,102 |
36.9% |
||
Private equity fund products |
6,066 |
9,070 |
49.5% |
||
Secondary market equity fund |
2,317 |
1,126 |
(51.4%) |
||
Other products |
287 |
377 |
31.3% |
||
Total transaction value |
24,813 |
32,675 |
31.7% |
||
Average transaction value per client |
5.01 |
7.49 |
49.4% |
Noah Holdings Limited |
|||||||
Segment Condensed Income Statements |
|||||||
(unaudited) |
|||||||
Three months ended March 31, 2017 |
|||||||
Wealth Business |
Asset Business |
Internet |
Total |
||||
RMB |
RMB |
RMB |
RMB |
||||
Revenues: |
|||||||
Third-party revenues |
|||||||
One-time commissions |
199,653,023 |
132,877 |
- |
199,785,900 |
|||
Recurring service fees |
128,155,389 |
7,393,810 |
- |
135,549,199 |
|||
Performance-based income |
11,886,301 |
663,332 |
- |
12,549,633 |
|||
Other service fees |
8,161,044 |
- |
18,203,582 |
26,364,626 |
|||
Total third-party revenues |
347,855,757 |
8,190,019 |
18,203,582 |
374,249,358 |
|||
Related party revenues |
|||||||
One-time commissions |
144,542,049 |
14,542 |
- |
144,556,591 |
|||
Recurring service fees |
72,785,242 |
118,585,063 |
- |
191,370,305 |
|||
Performance-based income |
- |
79,265 |
- |
79,265 |
|||
Other service fees |
- |
- |
6,876,383 |
6,876,383 |
|||
Total related party revenues |
217,327,291 |
118,678,870 |
6,876,383 |
342,882,544 |
|||
Total revenues |
565,183,048 |
126,868,889 |
25,079,965 |
717,131,902 |
|||
Less: business taxes and related |
(3,194,542) |
(470,579) |
(297,083) |
(3,962,204) |
|||
Net revenues |
561,988,506 |
126,398,310 |
24,782,882 |
713,169,698 |
|||
Operating costs and expenses: |
|||||||
Compensation and benefits |
|||||||
Relationship manager |
(148,960,020) |
(3,000) |
(1,350,016) |
(150,313,036) |
|||
Other compensation |
(116,901,365) |
(39,762,494) |
(33,605,133) |
(190,268,992) |
|||
Total compensation and benefits |
(265,861,385) |
(39,765,494) |
(34,955,149) |
(340,582,028) |
|||
Selling expenses |
(54,571,915) |
(2,072,478) |
(3,958,780) |
(60,603,173) |
|||
General and administrative |
(35,300,244) |
(15,266,650) |
(9,071,268) |
(59,638,162) |
|||
Other operating expenses |
(12,447,000) |
(9,064,259) |
(7,934,633) |
(29,445,892) |
|||
Government subsidies |
15,412,025 |
18,520,000 |
- |
33,932,025 |
|||
Total operating costs and expenses |
(352,768,519) |
(47,648,881) |
(55,919,830) |
(456,337,230) |
|||
Income(loss) from operations |
209,219,987 |
78,749,429 |
(31,136,948) |
256,832,468 |
Noah Holdings Limited |
|||||||
Segment Condensed Income Statements |
|||||||
(unaudited) |
|||||||
Three months ended March 31, 2016 |
|||||||
Wealth Business |
Asset Business |
Internet |
Total |
||||
RMB |
RMB |
RMB |
RMB |
||||
Revenues: |
|||||||
Third-party revenues |
|||||||
One-time commissions |
227,814,903 |
276,750 |
- |
228,091,653 |
|||
Recurring service fees |
93,597,180 |
13,434,602 |
- |
107,031,782 |
|||
Performance-based income |
7,084,942 |
2,566,893 |
- |
9,651,835 |
|||
Other service fees |
13,507,742 |
- |
6,523,041 |
20,030,783 |
|||
Total third-party revenues |
342,004,767 |
16,278,245 |
6,523,041 |
364,806,053 |
|||
Related party revenues |
|||||||
One-time commissions |
59,505,300 |
1,073,707 |
- |
60,579,007 |
|||
Recurring service fees |
82,646,476 |
119,619,366 |
- |
202,265,842 |
|||
Performance-based income |
- |
6,997,951 |
- |
6,997,951 |
|||
Other service fees |
614,194 |
- |
5,159 |
619,353 |
|||
Total related party revenues |
142,765,970 |
127,691,024 |
5,159 |
270,462,153 |
|||
Total revenues |
484,770,737 |
143,969,269 |
6,528,200 |
635,268,206 |
|||
Less: business taxes and related |
(21,128,796) |
(6,261,747) |
(720,071) |
(28,110,614) |
|||
Net revenues |
463,641,941 |
137,707,522 |
5,808,129 |
607,157,592 |
|||
Operating costs and expenses: |
|||||||
Compensation and benefits |
|||||||
Relationship manager |
(135,564,480) |
(29,308) |
(917) |
(135,594,705) |
|||
Performance fee compensation |
- |
(3,346,509) |
- |
(3,346,509) |
|||
Other compensation |
(100,410,596) |
(40,050,216) |
(33,943,897) |
(174,404,709) |
|||
Total compensation and benefits |
(235,975,076) |
(43,426,033) |
(33,944,814) |
(313,345,923) |
|||
Selling expenses |
(58,757,267) |
(1,900,708) |
(7,244,058) |
(67,902,033) |
|||
General and administrative expenses |
(24,644,143) |
(12,360,500) |
(13,209,018) |
(50,213,661) |
|||
Other operating expenses |
(11,124,898) |
(2,270,719) |
(3,902,479) |
(17,298,096) |
|||
Government subsidies |
64,000 |
68,877,562 |
- |
68,941,562 |
|||
Total operating costs and expenses |
(330,437,384) |
8,919,602 |
(58,300,369) |
(379,818,151) |
|||
Income(loss) from operations |
133,204,557 |
146,627,124 |
(52,492,240) |
227,339,441 |
Noah Holdings Limited |
||||||
Reconciliation of GAAP to Non-GAAP Results |
||||||
(In RMB, except for per ADS data and percentages) |
||||||
(unaudited) |
||||||
Three months ended |
||||||
March 31, |
March 31, |
Change |
||||
2016 |
2017 |
|||||
RMB |
RMB |
|||||
Net income attributable to |
198,999,300 |
216,995,206 |
9.0% |
|||
Adjustment for share-based |
||||||
Share options |
12,366,451 |
12,531,277 |
1.3% |
|||
Restricted shares |
2,597,654 |
7,710,520 |
196.8% |
|||
Adjusted net income |
213,963,404 |
237,237,003 |
10.9% |
|||
Net margin |
31.7% |
30.2% |
||||
Adjusted net margin (non- |
34.2% |
33.1% |
||||
Net income attributable to |
3.38 |
3.69 |
9.2% |
|||
Adjusted net income |
3.63 |
4.03 |
11.0% |
|||
*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-first-quarter-of-2017-300457388.html
SOURCE