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China CITIC Financial Asset Management Announces 2024 Annual Results Net Profit Attributable to Equity Shareholders Soars 444.6% to RMB9.62 billion
China CITIC Financial Asset Management Co., Ltd. (shortened as CITIC Financial AMC, Stock Code: 2799.HK) held 2024 Annual Results Presentation in Hong Kong on March 29, 2025. In 2024, the Company recorded a net profit attributable to equity shareholders of RMB9.62 billion, representing a remarkable year-on-year increase of 444.6%.
2024 is the first year for CITIC Financial AMC to stride onto the historical stage with a new brand and image. With the care and support of the Central Committee of the Communist Party of China and the State Council, as well as the guidance and assistance of superior departments such as the MOF, the PBOC and the National Financial Regulatory Administration, and under the strong leadership of the Party Committee of CITIC Group, CITIC Financial AMC has deeply implemented the guiding principles of the Central Financial Work Conference, and delivered outstanding performance by adhering to the overall working concept of “consolidating foundation, seeking progress while maintaining stability, and improving quality and efficiency”, achieving exceptional results across five key areas.
First, the profitability achieved qualitative changes. The revenue amounted to RMB112.77 billion, increased by 60% year-on-year, and the net profit attributable to equity holders of the Company was 5.4 times that of the previous year and is the best level in past six years. Second, the asset structure has undergone qualitative changes. Total assets increased steadily, reaching RMB984.329 billion at the end of 2024, an increase of RMB16.225 billion from the end of the previous year. And the asset allocation has continued to be focused on the core business, with the transfer of equity in six financial subsidiaries completed, leading to significant progress in streamlining the company's structure. The proportion of assets in the distressed asset management segment reached 86.7% at the end of 2024, an increase of 34.8 percentage points compared to the beginning of 2022. Third, the quality of assets has realized qualitative changes. The balance of distressed assets was reduced by 30% comparing with the beginning of the year, with impairment provisions for the year amounting to RMB92.8 billion, reflecting sustained efforts to resolve stock risks and further strengthen asset quality. The provision coverage ratio of the Company doubled as compared with the end of the previous year, exceeding regulatory requirements, and significantly enhancing the capacity to withstand risks. Fourth, the brand image has realized qualitative changes. The market value in 2024 increased by 62.5%, and the Company is included in seven Hang Seng benchmark indices. The investment attractiveness continued to increase. Lastly, the team has realized qualitative changes, presenting a revitalized appearance. The Company stepped up the selection of outstanding young cadres. A group of outstanding talents have emerged, giving the team a completely new appearance.
In 2024, CITIC Financial AMC capitalized on market opportunities by accelerating the transformation and upgrading of its core business while continuously optimizing its asset structure and sector allocation. This strategic focus yielded three key performance highlights characterized by “dual increases, dual improvements, and dual reductions”. The company achieved “dual increases” in both revenue and profits, with profitability surging significantly. The ROE for the year was 18.4%, representing an increase of 14.8 percentage points over the previous year. ROE, ROA, and earnings per share all reached their best levels in six years. Business mix and asset quality showed “dual improvements”, with new principal business deployments totaling RMB166.1 billion, 1.2 times the previous year’s volume, ranking first in the industry. The Company’s capital adequacy ratio stood at 15.69% as of the end of 2024, up 0.58 percentage points year-on-year. Meanwhile, operational and administrative expenses achieved “dual reductions”, demonstrating effective cost control measures.
CITIC Financial AMC has adhered to serving the “needs of the country” with “the capabilities of the Company”, based on the counter-cyclical adjustments and positioning of financial assistance, prevented and resolved risks, and effectively implemented the “Five Priority” on finance, so as to empower the high-quality development of the Chinese economy. The Company has not only presented a “report card of reform achievements” but more importantly demonstrated its “responsibility as a national financial pillar” through concrete actions. First, the Company acquired non-performing loans (NPLs) from commercial banks, achieving RMB180 billion in non-performing bank assets during 2024 and maintaining top-tier market share, with RMB150 billion accumulated from small and medium-sized banks over three years while providing valuation and restructuring solutions. Second, the Company expanded the channels for acquiring distressed assets and helped non-bank institutions, such as trust companies, wealth management products, securities firms, insurance asset managements and public funds, mitigate risks. Third, revitalizing real estate projects at risk, a new model of "CITIC - characterized industry - finance collaboration for distress resolution and risk mitigation" has been created, with a total of 66,000 units guaranteed for delivery, and paid RMB11.3 billion owed to upstream suppliers, thus promoting the stable and healthy development of the real estate market. Fourth, actively serving the real economy by providing targeted solutions in areas such as regional economic transformation, revitalization of low - efficiency assets, risk resolution for key enterprises, and infrastructure renewal. Supporting enterprise resumption and production, stabilizing employment, and maintaining social stability. Assisting state-owned enterprise reform, focusing on the revitalization of existing assets of central and local SOEs, and strongly supporting enterprises in reducing debt and enhancing core functions. Facilitating private enterprises resolve risks and achieve sustainable transformation. Lastly, CITIC Financial AMC actively drove industrial transformation and upgrading by supporting manufacturing enterprises in technological retrofitting, equipment renewal, and industrial chain integration, with focused efforts on strategic emerging industries, “Little Giant” SMEs, and breakthrough technologies to cultivate new quality productive forces.
In 2025, CITIC Financial AMC will forge ahead with the unwavering conviction of “sailing through winds and waves to reach new horizons”, steadfastly advancing toward the vision of becoming the industry benchmark. The Company will systematically enhance the competitive edge across four dimensions – strategic insight, operational philosophy, execution capabilities, and talent excellence – while cultivating the four defining characteristics of industry leadership: reinforcing its fiduciary commitment to preserve and enhance asset value; pursuing excellence in building a benchmark for China’s distressed asset management industry; developing proprietary methodologies to build core competencies in distressed asset resolution; and fostering a professional talent team anchored in loyalty, passion, integrity and accountability.
Looking forward, China CITIC Financial AMC will continue to be guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, thoroughly implement the principle of “finance for the people”, serve the national development agenda, and continuously enhance core business capabilities. The Company will continue to anchor the “One-Three-Five” strategic objectives, harness the momentum with soaring aspirations, entrepreneurship passion, indomitable resilience and accountable spirit, persistently contribute to the construction of a financial power and national rejuvenation!
