Capital Securities Corp. · TWSE:6005
Capital Securities — Q4 2021 Earnings Presentation
35 slides from Capital Securities's earnings presentation, Apr 26, 2022
Slide 1: Capital Securities Corporation Institutional Investor Conference
Capital Securities Corporation Institutional Investor Conference April 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 Operation Prospect profile overview and outlook • Basic • Financial • Operational information statements plan • Non-operating • Operational • List of awards investments results 2
Slide 4: Company Profile
che CAPITAL > Company Profile Cupital Cure wait 3 ait: BB+ LB
Slide 5: Shareholder structure
Shareholder structure Data as of April 30, 2021 Financial Government institutions agencies 3.98% 0.37% Foreign institutions and individuals 18.57% Other juristic persons 43.66% Individuals 33.42% 4
Slide 6: Basic information
Basic information Stock code: 6005 Paid-in capital: NTD21.709bn Number of branches in Taiwan: 53 Number of employees: 2,010 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：Room 408-410, 4F, Poly Add：18F, New Shanghai Center Tower C, No. 1, Jinxiu Int'l Tower, No. 360, Pu Dong Road, Wuhou District, Chengdu, Nan Road, Pudong New Sichuan P.R. China Ar
Slide 8: Non-operating investments
Non-operating investments Data as of March 31, 2022 100% 100% 100% 56.58% 100% 100% 20% 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 for current loss for Dec 31, 2021 Mar 31, 2022 period 2021 JAN~MAR22 Taiwan Capital Futures Corp. NTD 2,104,376 6,248,364 490,039 6,429,648 154,884
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
che CAPITAL > Operation overview Cupital Cure wait 10 ait: BB+ LB
Slide 12: Financial data over the past three years
Financial data over the past three years (NTD Million) (NTD) Net income attributable to shareholders of the parent company 7,000 Consolidated net income 2.42 2.50 Consolidated net income before tax EPS 6,000 2.00 5,000 1.64 4,000 1.50 1.11 3,000 6,228 5,250 5,462 1.00 4,383 2,000 3,841 3,570 3,228 2
Slide 13: Consolidated balance sheet (summary)
Consolidated balance sheet (summary) (NTD’000) Item Dec 31, 2020 Dec 31, 2021 Current assets 146,258,737 185,983,038 Non-current assets 16,803,897 17,710,901 Total assets 163,062,634 203,693,939 Current liabilities 121,864,300 159,485,189 Non-current liabilities 2,523,604 2,735,166 Total liabilities
Slide 14: Consolidated comprehensive income statement (summary)
Consolidated comprehensive income statement (summary) (NTD’000) Item 2020 2021 Revenue 9,724,095 13,281,753 Operating expenses and costs 6,471,900 7,961,426 Operating income 3,252,195 5,320,327 Other income and expenses 1,130,505 907,182 Net income before tax 4,382,700 6,227,509 Income tax expense 5
Slide 15: Earnings breakdown by major business
Earnings breakdown by major business 2020 2021 60% 60% 50% 47% 40% 30% 27% 25% 20% 16% 10% 9% 10% 6% 0% 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 2021 2021 Market share in brokerage 4.22% 6 Market share in margin financing 5.73% 4 Trust business-AUM NTD12.378bn 5 Number of warrants issued 6,137 3 Value of warrants issued NTD56.8bn 3 Value of structured products issued N
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 Capital adequacy ratio Minimum capital adequacy ratio: 150% 500% 450% 400% 369% 360% 358% 349% 350% 334% 300% 250% 200% 150% 100% 50% 0% 12/31/2020 3/31/2021 6/30/2021 9/30/2021 12/31/2021 17
Slide 19: Ratings Fitch 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: MAR22 operating results
MAR22 operating results Unit: NTD’000 Entity MAR22 JAN~MAR22 Net income before tax 134,491 370,730 Net income 137,012 281,977 EPS (NTD) 0.06 0.13 Consolidated MAR22 JAN~MAR22 Net income before tax 176,496 469,970 Net income 167,657 349,070 ※ Unaudited 19
Slide 21: JAN~MAR22 earnings breakdown by major business
JAN~MAR22 earnings breakdown by major business JAN~MAR22 150% 137% 100% 50% 29% 5% 0% -50% -71% -100% Brokerage Proprietary trading & Underwriting & Non-operating Derivatives & Fixed Others investments income ※ Unaudited 20
Slide 22: Prospect and outlook
che CAPITAL > Prospect and outlook Cupital Cure wait 21 ait: BB+ LB
Slide 23: Business philosophy: Our vision, Our belief
Business philosophy Our vision Our belief • To create long-term and • The Capital Group in rewarding partnerships Chinese means "benefit with our clients by for many" which offering high value-added embodies our commitment financial services which to public interests and exceed client expectations c
Slide 24: Business development plans
Business development plans I. Enhance coordination and create synergies among affiliates such Capital Futures, Capital Investment Trust, Capital Insurance Advisory ,and Capital Insurance Agency. II. Integrate sub-brokerage financing, foreign exchange securities firms, subsidiary accounts for foreign
Slide 25: Business development plans (continued)
Business development plans(continued) IX. Seize the business opportunities of wealth management for high net worth clients and continue to develop new services and products available for them to diversify wealth management business with practical strategies and increase the amount of asset under man
Slide 26: List of awards
List of awards Capital Securities • 2022: received “Best Client Referral Award”, “Best Digital Smart System Award” and “Best Charity Promotion Award” in the 2022 Wealth Management Award organized by Wealth Magazine • 2022: received “Best Securities Firm Award” from Excellence Magazine in the 2021 Ex
Slide 27: 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. • Cooperated with New Taipei City Blind Welfare Association and provide massage service for employees. • Promoted “Capital Securities Lo
Slide 28: 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 29: Recent event
Recent event JAN22: Capital Securities’ industry-academia cooperation program with Soochow University on financial activities and practices in the capital market 28
Slide 30: Recent event
Recent event JAN22: Capital Securities’ industry-academia cooperation program with Soochow University: the final presentation and excellent presenters 29
Slide 31: Recent event
Recent event MAR22: received “Best Client Referral Award”, “Best Digital Smart System Award” and “Best Charity Promotion Award” in the 2022 Wealth Management Award organized by Wealth Magazine 30
Slide 32: Recent event
Recent event MAR22: received “Best Client Referral Award”, “Best Digital Smart System Award” and “Best Charity Promotion Award” in the 2022 Wealth Management Award organized by Wealth Magazine 31
Slide 33: Recent event
Recent event JAN22: received “Best Securities Firm Award” from Excellence Magazine in the 2021 Excellent Securities Firm Evaluation for Non-FHC securities firms 32
Slide 34: Recent event
Recent event DEC21: received ”Quality Award” from the Commercial Times in the 2021 Wealth Management and Trust Innovation Evaluation at the Trust Innovation Award 33
Slide 35: Thank you
che CAPITAL Thank you Cupital Cure wait 34 Bit: BA LB