What is a Davis Double Play?

Look at this: On the evening of August 28, GLMS SEC released its 2025 interim report.

The report shows that GLMS SEC achieved operating revenue of 40.11 billion yuan in the first half of the year, a year-over-year increase of 269.40%; net profit attributable to company shareholders reached 11.27 billion yuan, surging 1185.19% year-over-year.

From a business segment perspective, GLMS SEC's brokerage and wealth management business, as well as securities investment business, generated substantial operating revenue with particularly notable year-over-year growth.

The interim report revealed that GLMS SEC's business team in the first half of 2025 used dividend value stock allocation as a shield and carefully selected growth stocks as a spear, fully capitalizing on the market's upward trend since the second quarter. The company focused on allocating to non-ferrous metals, pharmaceuticals, military industry and other sectors, achieving high investment returns with yields significantly outperforming the CSI 300 Index.

Such large-scale strategic position increases are rare among current securities firms.

Net Profit Grows 11-fold

During the reporting period, GLMS SEC achieved operating revenue of 40.11 billion yuan, up 269.40% year-over-year; net profit attributable to company shareholders reached 11.27 billion yuan, up 1185.19% year-over-year.

As of June 30, 2025, GLMS SEC Group's total assets reached 185.397 billion yuan, an increase of 90.72% compared to December 31, 2024; equity attributable to company shareholders totaled 51.088 billion yuan, up 174.90% compared to December 31, 2024.

Investment Returns Make Major Contribution

Within operating revenue, net fee and commission income, investment gains and fair value changes showed particularly notable growth.

Specifically, investment gains and fair value changes reached 20.99 billion yuan, an increase of 17.22 billion yuan year-over-year, up 456.88%, mainly due to increased disposal gains from financial instruments and decreased fair value change gains from derivative financial instruments.

Net fee and commission income totaled 18.61 billion yuan, an increase of 10.74 billion yuan year-over-year, up 136.38%, primarily due to increased revenue from the company's brokerage and investment banking businesses.

Net interest income was 0.27 billion yuan, an increase of 1.16 billion yuan year-over-year, mainly due to expanded business scale after consolidating new subsidiaries.

Notable Growth in Brokerage & Wealth Management and Investment Businesses

Looking at main business segments by industry, brokerage and wealth management business, as well as securities investment business, generated substantial operating revenue with particularly notable year-over-year growth.

Brokerage and wealth management business achieved revenue of 11.95 billion yuan, up 215.76% year-over-year; investment banking business generated revenue of 5.44 billion yuan, up 214.94% year-over-year; asset management and investment business achieved revenue of 2.94 billion yuan, down 8.23% year-over-year; credit trading business generated revenue of 3.00 billion yuan, up 136.10% year-over-year; securities investment business achieved revenue of 16.87 billion yuan, surging 14052.11% year-over-year.

Key Allocation to Non-ferrous Metals, Pharmaceuticals, and Military Industry

Regarding equity proprietary trading (equity securities investment business), GLMS SEC's interim report shows they adhere to value investment principles, using fundamental research as their foundation while conducting business prudently while balancing risk and returns.

In the first half of 2025, the securities investment business adopted a barbell strategy, using dividend value stock allocation as a shield and carefully selected growth stocks as a spear, fully capitalizing on the market's upward trend since the second quarter. The company focused on allocating to non-ferrous metals, pharmaceuticals, military industry and other sectors, achieving high investment returns with yields significantly outperforming the CSI 300 Index.

For fixed income business, the company consistently maintains prudent investment principles centered on client needs. In investment trading, the company optimized portfolio structure and strictly controlled credit risk to achieve steady returns; as bond yields fluctuated at low levels, the company increased investment in market-making trading business, providing liquidity services to clients while achieving steady returns.

For equity derivatives business, the company continuously deepened product innovation to meet clients' investment and allocation needs in domestic markets. Quantitative investment business maintains its absolute return positioning, strengthens risk control, and focuses on investment research capability building and strategy iteration. Market-making business (in preparation) focuses on fulfilling social responsibility, actively applying for stock option market-making business qualifications and listed securities market-making trading business qualifications to provide quality liquidity to the market.

117,600 New Customers Added

For brokerage and wealth management business, during the reporting period, GLMS SEC continued advancing the transformation from buy-side advisory to broad wealth management, establishing tiered service systems and business models for different client categories.

For retail clients, the company uses fund advisory and other tools, determines strategic combinations based on market trends, and guides long-term asset allocation; for high-net-worth clients, the company transforms sales models, creates diversified customized combination strategies, enhances assets' ability to withstand volatility, and improves comprehensive return levels.

Meanwhile, the company expands traffic channels through new trading models and intelligent trading service tools; for institutional clients, starting from meeting their comprehensive needs, the company optimizes client risk-return levels through diversified strategies via fund advisory, institutional wealth management platforms and other methods.

During the reporting period, client scale continued growing with 117,600 new customers added, bringing cumulative total customers to 3.4559 million; the company's financial product sales scale (excluding cash management products) reached 87.02 billion yuan, with financial product holdings of 31.436 billion yuan at period end. As of the reporting period end, fund advisory assets under management totaled 9.708 billion yuan.