Guosheng Securities delivers its "2025 report card": core business rebounds, brokerage strengthens, and net profit excluding non-recurring items expected to increase by up to nearly 80%.
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After experiencing market turbulence at the beginning of 2025, a sustained capital market recovery in the middle of the year, and a major personnel reshuffle at its research institute at year-end, Guosheng Securities still delivered an impressive annual "report card."
On January 30, Guosheng Securities released its 2025 annual performance forecast, expecting a maximum year-on-year growth of 67.25% in net profit attributable to the parent company, and a maximum year-on-year growth of 78.99% in net profit after deducting non-recurring gains and losses. Their impressive profit statement validates both the industry's recovery narrative and the company's own operational resilience.
I. Strong Recovery in Main Business
According to the announcement, Guosheng Securities expects its 2025 net profit attributable to the parent company to range between 210 million and 280 million yuan, a year-on-year increase of 25.44%-67.25%.
Even more noteworthy is the net profit after deducting non-recurring gains and losses, expected to range from 206 million to 276 million yuan, with year-on-year growth of 33.66%-78.99%.
The growth rate of net profit after deductions exceeding overall net profit growth means the company's core business is generating significantly more income on its own, rather than relying on one-off gains to embellish the financial report. For a securities company, this is solid evidence of a robust foundation.
II. Performance Driven by Both “Favorable Timing” and “Human Factors”
The improvement in Guosheng Securities’ performance, upon close analysis, is due to both “timing” and “human factors.”
In terms of timing: Lively trading in the capital market in 2025 provided fundamental opportunities for securities companies. Guosheng Securities seized this opportunity, achieving positive growth in both securities and futures brokerage businesses.
Additionally, the announcement shows that the company’s investment banking business also grew significantly, reflecting its greater effort on the corporate financing service front.
In terms of human factors: The announcement specifically mentions “strengthened risk control, with various impairment losses decreasing year-on-year.” In recent years, credit impairment has often been the “hidden killer” dragging down securities companies’ net profits. The reduction in impairment losses at Guosheng Securities indicates its asset quality is improving and its risk control system is working, laying the groundwork for further improvements in future performance.
III. The “Details” Lie in Equity Investments and Tax Treatment
The announcement from Guosheng Securities also revealed two key details:
First, the effect of Qudian equity: The announcement stated that due to changes in accounting methods and market value fluctuations, the company’s holding of Qudian equity reduced profits.
Second, deferred income tax assets: The company intends to recognize related deferred income tax assets in accordance with accounting standards, which correspondingly increases its profits. This is a reasonable adjustment under accounting standards and also boosts the current period’s performance.
The company mentioned in its 2025 interim report the situation of its deferred income tax assets and deferred income tax liabilities.
At the beginning of 2026, this forecast from Guosheng Securities is still sending strong signals. On one hand, from the “three engines” of brokerage, investment banking, and futures all advancing together, to effective control of impairment losses, Guosheng Securities is showing impressive performance resilience. In the context of growing industry polarization, this growth model driven by core brokerage and research capabilities may have significant sustainability.
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