On March 27, CITIC held its 2025 annual results conference. Regarding market value, Deputy General Manager Fang Heying stated that during the "14th Five-Year Plan" period, CITIC has adhered to its core focus on value creation, continuously improved the company's fundamental development, and progressively strengthened market value management. "We have adopted a multi-pronged approach, balancing internal and external efforts, to drive results in market value," Fang noted. He pointed out that both CITIC's market value and price-to-book ratio have shown significant improvement.
"These achievements are due to the collective efforts across the entire group and the role of media coverage," Fang expressed gratitude to the media during the conference, describing media as a "bridge between CITIC and the market."
Reflecting on the past year, Fang highlighted that CITIC's market value has achieved five consecutive years of growth since its listing, with a cumulative increase exceeding 200%.
Fang summarized three key reasons for this performance. First, it benefits from improvements in the company's fundamentals. Second, it is aided by a favorable external environment. Third, it owes to the trust of investors.
"Investors' capital injections reflect both recognition of our past performance and confidence in our ability to deliver better results in the future. However, although CITIC's valuation has seen some recovery in recent years, the current price-to-book ratio may still be relatively low, leaving room for further improvement. We remain confident in enhancing market value," Fang stated.
Fang further elaborated that this confidence stems from three main aspects. The first is the quality of core assets.
Fang indicated that companies represented by banking and securities have maintained strong profitability and favorable dividend levels in recent years, earning market recognition. The banking segment has joined the top tier of joint-stock banks, while securities and trust businesses are industry leaders with distinct competitive advantages. The continuous valuation increase of these financial assets provides a solid foundation for CITIC's value revaluation. Additionally, the industrial sector has nurtured a group of outstanding leading enterprises with strong capabilities to leverage policies and adapt to market changes. Their operational performance continues to improve, accompanied by rising valuations. CITIC aims to develop more such leading companies and accelerate its layout in strategic emerging industries.
The second aspect is the unique advantage of integrated operations. CITIC possesses strengths in cross-cycle resilience, risk resistance, significant synergies, and global integrated operations.
The third aspect is the systematic approach to market value management. This includes effectively utilizing dividend tools to maintain stable and sustainable dividend payouts, and placing greater emphasis on feedback from the capital market by incorporating reasonable suggestions into management practices.
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