Jinyong Investment (01328) is pleased. The profit attributable to shareholders is expected to increase by about 500% to 530% year-on-year from HK$176 million to HK$185 million

According to the Zhitong Finance App, Jinyong Investment (01328) announced that it is expected that the Group will obtain a profit attributable to the Company's equity holders of about HK$176 million to HK$185 million for the six months ending June 30, 2026 (this period), an increase of about 500% to 530% over the 6 months ended June 30, 2025 (same period last year). The sharp increase in profits is due to: (i) the increased return on investment received by the Group from companies that invest in artificial intelligence (AI) and incorporate AI into products to accelerate the innovation cycle and enhance a better customer experience; and (ii) the Group's use of AI in investment management business, which not only improves investment research and investment decision-making capabilities, but also drives an increase in investment service returns.

The company will continue to use AI to empower and optimize all of its business segments, including investment decisions, risk management and portfolio construction, thereby gradually transforming the company from a traditional diversified asset management institution to an AI-driven asset management technology solution and service provider.

According to the directors, the increase in profit attributable to equity holders of the Company during the period was mainly due to the net effect of the following: (i) The net fair value profit from direct investments under the SDI segment that are recorded as profit and loss at fair value increased from HK$23.5 million in the same period last year to approximately HK$115 million to HK$130 million in the current period; (ii) the net fair value profit margin from strategic investments under the SDI division recorded profit and loss at fair value in the same period last year. The Hong Kong dollar increased to approximately HK$52 million during the period to Between HK$62 million; (iii) income from investment management services under the IM segment increased from HK$11.6 million in the same period last year to around HK$20 million to HK$21 million in the current period; (iv) the profit attributable to associated companies increased from HK$6.2 million in the same period last year to between HK$20 million and HK$30 million during the current period; and (v) operating expenses increased from HK$18.1 million to HK$32 million in the current period, mainly due to revaluation losses on confirmed intangible assets.