"The China-related business was the major factor behind a weaker performance in the first semester," according to the bank.
Haitong closed the first half of 2022 with a net loss of €4.5 million, down from a €3 million profit in the same period last year, according to a statement sent to the Securities and Exchange Commission (CMVM) on Wednesday.
The bank’s “net losses reached €4.5 million, with reversal of impairment and provisions in the same period amounting to €3.6 million,” reads the statement. Net operating income reached €21.7 million, down 51% from the same period last year.
“The China-related business was the major factor behind a weaker performance in the first semester, due to COVID-related lockdowns in several Chinese cities, which negatively affected M&A, DCM and Group transactions,” the bank explains.
Operating costs rose 6% in the first six months to €30.5 million. The negative operating result of €8.8 million contrasts with the €15.4 million recorded in the first half of 2021.
The bank expanded performing assets, with “total assets standing at €3.1 billion, 13.9% above the €2.7 billion reported by the end of 2021.”