CITIC Securities and GTHT, among other brokerages, have released their semi-annual reports for the first half of 2026. While CITIC Securities still outperforms GTHT in revenue and net profit, its total assets, net assets, and net capital have now fallen below those of GTHT. Notably, its net capital stands at just 80% of GTHT's figure. In a brokerage industry where "capital scale dictates performance scale," GTHT holds a clear advantage in capital size.
Moreover, GTHT's domestic revenue for the first half of 2026 has already surpassed that of CITIC Securities. If GTHT continues to reduce the risk exposure of Haitong International Securities, its overseas revenue may also see growth. Looking at specific business lines, CITIC Securities still maintains its lead in investment banking fee income, asset management fee income, and investment gains for H1 2026, likely preserving its "industry leader" status in these areas. However, in brokerage commission income, net interest income, wealth management client numbers, and margin financing market share, CITIC Securities has already fallen behind GTHT, losing its top position in these segments. Should GTHT's integration proceed smoothly and synergies continue to materialize, its advantages in asset scale, client base, and margin financing share could gradually translate into profitability gains.
CITIC Securities' Net Capital is 80% of GTHT's
In the first half of 2026, CITIC Securities reported total revenue of RMB 49.692 billion, up 50% year-on-year, with net profit attributable to shareholders of RMB 23.343 billion, a 69.6% increase. During the same period, GTHT posted revenue of RMB 47.163 billion and net profit of RMB 20.260 billion, still trailing CITIC Securities by RMB 2-3 billion, though the gap has narrowed considerably. When examining domestic operations only, CITIC Securities' revenue for H1 2026 was RMB 37.904 billion, while GTHT recorded RMB 41.721 billion, meaning CITIC Securities has already ceded its "top spot" in this regard.
It is worth noting that GTHT's overseas business revenue remains lower than CITIC Securities's, partly due to risks associated with Haitong International Securities. However, data suggests that Haitong International's risk exposure has been significantly reduced. In the first half of this year, Haitong International Holdings (the parent of Haitong International Securities) generated revenue of HK$2.491 billion with a net loss of HK$563 million, a substantial narrowing of losses. If GTHT continues to shrink Haitong International's risk exposure, overseas revenue could grow, potentially challenging CITIC Securities' overall revenue leadership.
More critically, GTHT has overtaken CITIC Securities in total assets, net assets, and net capital. As of end-June 2026, GTHT's total assets stood at RMB 2.50 trillion versus CITIC Securities' RMB 2.47 trillion. GTHT's net assets reached RMB 373 billion, RMB 22 billion higher than CITIC Securities' RMB 351 billion. In terms of net capital (parent company basis), GTHT recorded RMB 226 billion, far exceeding CITIC Securities' RMB 181 billion, a lead of approximately 25%. In other words, CITIC Securities' net capital at end-H1 2026 was only 80% of GTHT's.
Research indicates that brokerages are typical capital-intensive industries, where net capital determines the "ammunition depot" for business expansion. The scale ceilings for heavy-capital businesses such as proprietary trading, margin financing, derivatives market-making, and STAR Market co-investment are directly linked to net capital. Theoretically, GTHT has greater room for expansion in these heavy-capital operations. In H1 2026, CITIC Securities' securities investment business revenue was RMB 19.854 billion, accounting for about 40% of total revenue. At end-H1 2026, CITIC Securities' proprietary equity securities and derivatives as a percentage of net capital stood at 39.96%, higher than GTHT's 24.71%. As equity proprietary trading scales up further, CITIC Securities may hit the regulatory ceiling earlier than GTHT.
Net capital serves as the last line of defense against extreme market shocks. The RMB 45 billion gap in net capital between CITIC Securities and GTHT implies that if markets experience a sharp downturn, GTHT could theoretically absorb larger investment losses with a more ample capital buffer. Although both leading brokerages far exceed regulatory requirements, the thickness of their safety margins differs. Conversely, CITIC Securities generates RMB 3 billion more in net profit with RMB 45 billion less net capital, suggesting either higher capital efficiency or a greater share of high-margin, asset-light business revenue.
Multiple Segment Metrics Lose the "Industry Leader" Title
Beyond total assets, net assets, net capital, and domestic revenue, CITIC Securities has also ceded the top position in several segment business metrics. In H1 2026, CITIC Securities' investment banking fee income was RMB 3.023 billion, surpassing GTHT's RMB 2.224 billion. Its asset management fee income reached RMB 7.182 billion, far exceeding GTHT's RMB 3.71 billion. Proprietary trading revenue (investment gains plus fair value changes minus investment income from associates and joint ventures) came in at RMB 26.927 billion for CITIC Securities, ahead of GTHT's RMB 23.851 billion. However, in brokerage commission income, net interest income, wealth management client numbers, and margin financing market share, CITIC Securities has fallen behind GTHT.
During H1 2026, CITIC Securities' brokerage commission income was RMB 9.856 billion, slightly below GTHT's RMB 9.942 billion. While the gap in commission income appears narrow, the difference in client numbers is substantial, with GTHT holding a significant lead. GTHT's semi-annual report shows its brokerage market share ranks first in the industry, with 40.89 million domestic clients at period-end, up 4% from the prior year-end, also ranking first. CITIC Securities' semi-annual report indicates its wealth management client base exceeded 18 million accounts by period-end, up 7% from year-end. The brokerage business is inherently "weather-dependent," closely tied to market turnover. In an environment with average daily equity fund turnover of RMB 2-3 trillion, a larger client base translates into greater trading volume conversion differences.
Moreover, client numbers serve not only as a source of brokerage income but also as the traffic gateway for all retail-facing businesses, including wealth management, margin financing, and financial product distribution. A smaller client base means fewer potential margin financing customers, product buyers, and advisory subscribers. In H1 2026, CITIC Securities' net interest income was RMB 1.756 billion, while GTHT recorded RMB 3.989 billion, a difference of more than double. A key component of net interest income is margin financing interest income. CITIC Securities earned RMB 5.135 billion in margin financing interest income during H1 2026, versus GTHT's RMB 5.777 billion. GTHT's semi-annual report reveals its margin financing balance reached RMB 296.1 billion at end-H1 2026, ranking first in market share, with the balance gap directly translating into interest income shortfalls.
Some analysts argue that clients are the "core asset" of retail brokerage business, serving as its "infrastructure." A lag in client numbers combined with lower margin financing penetration implies overall weakness in retail operations. Although GTHT currently leads in only a few retail metrics, a market perception is emerging that "GTHT has the most clients, the largest margin balance, and the most active app." If this perception solidifies, could CITIC Securities' "industry leader" brand halo fade, potentially affecting its ability to attract and retain high-net-worth clients?
Who Will Be the Future "Industry Leader"?
Based on H1 2026 data, CITIC Securities has defended its "profit leader" crown, but GTHT has surpassed it in total assets, net assets, net capital, and domestic revenue. The two brokerages have entered an unprecedented state of intense competition, with a revenue gap of only RMB 2.5 billion and a net profit gap of RMB 3 billion. More crucially, they are at different stages of their lifecycles. CITIC Securities has entered a phase of stable, high-quality development, while GTHT remains in the post-merger integration period, with its earnings potential not yet fully unlocked.
A significant growth driver for GTHT's first-half surge was STAR Market co-investment. Fair value gains swung from a loss of approximately RMB 3 billion in the prior-year period to a gain of nearly RMB 27 billion. Cumulative STAR Market co-investment reached nearly RMB 7 billion, ranking first in the industry. This serves as both a powerful offensive tool and the largest potential risk for GTHT. Valuation fluctuations on the STAR Market directly impact profits; the STAR Composite Index surged 54% in H1, benefiting GTHT, but if markets correct, these unrealized gains could evaporate. However, GTHT's STAR Market focus targets three leading industries—integrated circuits, biomedicine, and artificial intelligence—suggesting it is not a one-off speculative bet.
In terms of synergies, GTHT's parent company integration is largely complete, but subsidiary integration is still underway. If integration proceeds smoothly, synergies will continue to be released over the coming years; if it encounters resistance, overall performance could suffer. Capital efficiency remains one of CITIC Securities' moats—generating more profit with less capital. In the near term, CITIC Securities may retain its "leader" status across five key profitability metrics: revenue, net profit, investment banking, asset management, and internationalization. However, if GTHT's integration advances smoothly and synergies continue to materialize, its advantages in asset scale, client base, and margin financing share will gradually convert into profitability gains. Over the long term, GTHT could potentially overtake CITIC Securities in both revenue and net profit. Yet, CITIC Securities may also sustain its earnings leadership through M&A expansion, capital strengthening, or other means.
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