Capital Securities Corp. · TWSE:6005
Capital Securities — Q2 2022 Earnings Presentation
39 slides from Capital Securities's earnings presentation, Sep 27, 2022
Slide 1: Capital Securities Corporation Institutional Investor Conference
Capital Securities Corporation Institutional Investor Conference September 2022 0
Slide 2: Disclaimer
Disclaimer The information (except numbers in financial statements) contained within the document has not been audited or reviewed by any accountant or independent third party. Capital Securities Corporation (the Company) makes no guarantee or warranties as to the accuracy, completeness or correctne
Slide 3: Presentation outline
Presentation outline Company profile Operation overview Prospect and outlook 2
Slide 4: Company profile
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Slide 5: Shareholder structure
Shareholder structure Data as of April 29, 2022 Financial institutions Government agencies 4.19% 0.26% Foreign institutions and individuals 17.83% Other juristic persons 43.28% Individuals 34.44% 4
Slide 6: Basic information
Basic information Stock code: 6005 Paid-in capital: NTD21.709bn Number of branches in Taiwan: 53 Number of employees: 1,941 FEB20 Paid-in capital of NTD21.709bn Listed on TPEx in 1995 Paid-in capital of NTD4.08bn Listed on TWSE in 2005 Paid-in capital of NTD13.64bn Established in 1988 Paid-in capita
Slide 7: Deployment in Asia
Deployment in Asia Chengdu Shanghai TEL：86 28 6555 2888 TEL：86 21 5888 7188 FAX：86 28 6555 2999 FAX : 86 21 5888 2929 Add：Units 408-410,4F,Poly Add：18F., New Shanghai Center Tower C,No.1,Jinxiu International Tower, No. 360 Road, Wuhou District Pudong Nan Road, Chengdu, P.R.China Shanghai, P.R.China
Slide 8: Non-operating investments
Non-operating investments 100% 100% 100% 56.58% 20% 100% 100% 100% 100% 100% 100% 100% 51% 100% 7
Slide 9: Non-operating investments (continued)
Non-operating investments (continued) Unit：1000 Net income or Net income or Book value as of Book value as of Region Name Currency Paid-in capital loss loss for Jun 30, 2022 Aug 31, 2022 for JAN~JUN22 JAN~AUG22 Taiwan Capital Futures Corp. NTD 2,104,376 6,276,693 314,844 6,433,875 446,875 Capital In
Slide 10: Organizational structure
Organizational structure Offshore Securities Unit Shareholders Corporate Planning Department Meeting Information Tech. Department Audit Committee Administration Department Board of Directors Risk Management Committee Finance Department Remuneration Committee Chairman Office Settlement & Clearing Dep
Slide 11: Operation overview
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Slide 12: Financial data over the past three years
Financial data over the past three years (NTD’000) Item 2019 2020 2021 JAN~JUN22 Consolidated net income 3,228,097 4,382,700 6,227,509 536,093 before tax Consolidated net income 2,829,234 3,840,679 5,461,649 156,637 Net income attributable to shareholders of the parent 2,566,823 3,569,529 5,249,590
Slide 13: Consolidated balance sheet (summary)
Consolidated balance sheet (summary) (NTD’000) Item Jun 30, 2021 Jun 30, 2022 Current assets 175,379,323 178,298,865 Non-current assets 17,584,974 17,109,509 Total assets 192,964,297 195,408,374 Current liabilities 151,614,293 155,287,716 Non-current liabilities 2,297,673 2,704,998 Total liabilities
Slide 14: Consolidated comprehensive income statement (summary)
Consolidated comprehensive income statement (summary) (NTD’000) Item JAN~JUN21 JAN~JUN22 Revenue 6,636,862 3,510,469 Operating expenses and costs 3,951,836 3,530,653 Operating income 2,685,026 (20,184) Other income and expenses 428,772 556,277 Net income before tax 3,113,798 536,093 Income tax expen
Slide 15: Earnings breakdown by major business
Earnings breakdown by major business JAN-JUN21 JAN-JUN22 600% 558% 400% 200% 163% 62% 23% 15% 6% 9% 0% -200% -400% -600% -636% -800% Brokerage Proprietary trading & Underwriting & Others Non-operating Derivatives & Fixed investments income 14
Slide 16: Business performance and market ranking
Business performance and market ranking Figures in Market ranking in Item JAN~JUN22 JAN~JUN22 Market share in brokerage 3.73% 8 Market share in margin financing 5.36% 5 Trust business-AUM NTD12.49bn 6 Number of warrants issued 3,335 3 Value of warrants issued NTD39.2bn 3 Value of structured products
Slide 17: Dividend payout
Dividend payout Unit: NTD EPS Dividend per share 2.50 2.42 2.00 1.64 1.50 1.33 1.11 1.00 1.65 0.61 0.50 1.1 0.9 0.8 0.4 0.00 2017 2018 2019 2020 2021 Item 2017 2018 2019 2020 2021 EPS 1.33 0.61 1.11 1.64 2.42 Cash dividend per share 0.20 0.40 0.80 1.10 1.65 Stock dividend per share 0.70 - - - - ※EPS
Slide 18: Capital adequacy ratio
Capital adequacy ratio Minimum capital adequacy ratio: 150% Capital adequacy ratio 400% 360% 358% 363% 350% 334% 320% 300% 250% 200% 150% 100% 50% 0% 6/30/2021 9/30/2021 12/31/2021 3/31/2022 6/30/2022 17
Slide 19: Ratings
Ratings Fitch Ratings Long-term Issuer Default Rating 2021 (IDR) BBB- National Long-term Rating A(twn) National Short-term Rating F1(twn) Outlook Stable 18
Slide 20: AUG22 operating results
AUGY22 operating results Unit: NTD’000 Entity AUG22 JAN~AUG22 Net income before tax 324,811 884,051 Net income 315,035 595,735 EPS (NTD) 0.15 0.27 Consolidated AUG22 JAN~AUG22 Net income before tax 366,089 1,170,958 Net income 340,837 789,661 ※ Unaudited 19
Slide 21: JAN~AUG22 earnings breakdown by major business
JAN~AUG22 earnings breakdown by major business JAN~AUG22 200% 198% 150% 100% 67% 50% 5% 0% -50% -100% -150% -170% -200% Brokerage Proprietary trading & Underwriting & Others Non-operating Derivatives & Fixed investments income ※ Unaudited 20
Slide 22: Business performance and market ranking
Business performance and market ranking Figures in Market ranking in Item JAN~AUG22 JAN~AUG22 Market share in brokerage 3.70% 8 Market share in margin financing 5.32% 6 Trust business-AUM NTD12.55bn 5 Number of warrants issued 4,321 3 Value of warrants issued NTD49.6bn 3 Value of structured products
Slide 23: Prospect and outlook
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Slide 24: Business philosophy
Business philosophy Our vision Our belief • To create long-term • The Capital Group in and rewarding Chinese means partnerships with our "benefit for many" clients by offering which embodies our high value-added commitment to public financial services interests and which exceed client contribution t
Slide 25: Business development plans
Business development plans I. Enhance coordination and create II. Integrate sub-brokerage financing, III. Enhance the speed of warrant order synergies among affiliates such foreign exchange securities firms, deletion to provide the quickest service Capital Futures, Capital Investment subsidiary acco
Slide 26: Business development plans (continued)
Business development plans(continued) X. Pay attention to the adoption XI. Steadily increase foreign currency XII. Focus on clients’ needs in corporate schedule on quantitative easing, balance bond positions and develop new finance businesses, and become a stable sheet reduction and interest rate hi
Slide 27: List of awards
List of awards 2022: awarded No.1 in the “Best Sustainable Development Award” and No.3 in the “Best Intelligence Wealth Management Award” in the 2022 Wealth Management Award organized by Business Today Magazine 2022: received “Best Client Referral Award”, “Best Digital Smart System Award” and “Best
Slide 28: Capital Care
Programs & achievements for sustainable development • Held blood donation event “Love from Capital for Charity” to deliver happiness to all corners of the society. • Promoted “Capital Securities Love Reading Program” to care for rural education with employees volunteering in story book pair- reading
Slide 29: Recognized for sustainable development and corporate governance
Recognized for sustainable development and corporate governance Selected as a constituent of FTSE4Good TIP Taiwan ESG Index Selected as a constituent of FTSE4Good Emerging Index Selected as a constituent of TWSE RA Taiwan Employment Creation 99 Index Selected as a constituent of TWSE Corporate Gover
Slide 30: Recent event
Recent event 2022.07 Capital Securities holds a press conference for blood donation event Love from Capital for Charity. 29
Slide 31: Recent event
Recent event 2022.07 Capital Securities kicks off blood donation event Love from Capital for Charity. 30
Slide 32: Recent event
Recent event 2022.07 Robust participation is seen at Capital Securities’ blood donation event Love from Capital for Charity. 31
Slide 33: Recent event
Recent event 2022.07 Capital Securities’ broker from Jiayi Branch is honored publicly for successfully protecting her client from scams. 32
Slide 34: Recent event
Recent event 2022.08 Capital Securities was awarded No.1 in the “Best Sustainable Development Award” and No.3 in the “Best Intelligence Wealth Management Award” in the 2022 Wealth Management Award organized by Business Today Magazine. 33
Slide 35: Recent event
Recent event 2022.08 Capital Securities was awarded No.1 in the “Best Sustainable Development Award” and No.3 in the “Best Intelligence Wealth Management Award” in the 2022 Wealth Management Award organized by Business Today Magazine. 34
Slide 36: Recent event
Recent event 2022.09 Capital Securities’ Love Reading Program provide city tours, antique exploration at the National Palace Museum and sponsorship for schools. 35
Slide 37: Recent event
Recent event 2022.09 Capital Securities’ Love Reading Program provide city tours, antique exploration at the National Palace Museum and wealth management books for students from every grade. 36
Slide 38: Recent event
Recent event 2022.09 Capital Securities’ Love Reading Program provide city tours, antique exploration at the National Palace Museum and gifts to students of all grades. 37
Slide 39: Thank you
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