CHINA DEVELOPMENT FINANCIAL HOLDING CORPORATION KGI SECURITIES CO. LTD.
CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended December 31, 2023 and 2022
With Independent Auditors' Report
The reader is advised that these consolidated financial statements have been prepared originally in Chinese. In the event of a conflict between these financial statements and the original Chinese version or difference in interpretation between the two versions, the Chinese language financial statements shall prevail.
安永聯合會計師事務所
11012 台北市基隆路一段333號9樓 | Tel: 886 2 2757 8888 |
9F, No. 333, Sec. 1, Keelung Road | Fax: 886 2 2757 6050 |
Taipei City, Taiwan, R.O.C. | www.ey.com/tw |
English Translation of a Report Originally Issued in Chinese
Independent Auditors' Report
To KGI Securities Co. Ltd.
Opinion
We have audited the accompanying consolidated balance sheets of KGI Securities Co. Ltd. (the "Company") and its subsidiaries as of December 31, 2023 and 2022, and the related consolidated statements of comprehensive income, changes in equity and cash flows for the years ended December 31, 2023 and 2022, and notes to the consolidated financial statements, including the summary of significant accounting policies (together "the consolidated financial statements").
In our opinion, based on the reports of our audits, the consolidated financial statements referred to above present fairly, in all material respects, the consolidated financial position of the Company and its subsidiaries as of December 31, 2023 and 2022, and their consolidated financial performance and cash flows for the years ended December 31, 2023 and 2022, in conformity with the requirements of the Regulations Governing the Preparation of Financial Reports by Securities Firms, Regulations Governing the Preparation of Financial Reports by Futures Commission Merchants, International Financial Reporting Standards, International Accounting Standards, Interpretations developed by International Financial Reporting Committee, or the former Standing Interpretations Committee as endorsed and became effective by Financial Supervisory Commission of the Republic of China.
Basis for Opinion
We conducted our audits in accordance with the Regulations Governing Financial Statement Audit and Attestation Engagements of Certified Public Accountants and the Standards on Auditing of the Republic of China. Our responsibilities under those standards are further described in the Auditors' Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are independent of the Company and its subsidiaries in accordance with the Norm of Professional Ethics for Certified Public Accountant of the Republic of China (the "Norm"), and we have fulfilled our other ethical responsibilities in accordance with the Norm. Based on the reports of our audits, we believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Key Audit Matters
Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of consolidated financial statements for the year ended December 31, 2023. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.
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Assessment of Goodwill Impairment
The Company and subsidiaries perform impairment test annually on goodwill generated from business combination. Due to the complexity of testing assessment, management's subjective judgement to related assumptions, and significant goodwill amount as of December 31, 2023 to the consolidated financial statements, we considered the assessment of goodwill impairment as a key audit matter. Our audit procedures include, but not limited to, obtaining the self-assessment report from management and the impairment report prepared by external expert, and reviewing related assumptions used in calculating future cash flows in those reports. In addition, we use our firm's internal valuation expert to review the methods (such as discounted cash flow method) and the parameters (such as discounted rate) used in the impairment report to assist us to assess the methods and assumptions of goodwill impairment testing mentioned above. We also assessed the adequacy of disclosures for goodwill in Note V and Note VI.17.
Valuation of Derivative Instruments
The Company and subsidiaries invest in different types of derivative instrument assets and liabilities. As of December 31, 2023, the carrying amount of derivative instrument assets and liabilities measured at fair value is significant to the consolidated financial statement. Except for those classified as level 1, the fair value of other derivative instruments cannot be retrieved from active markets. Management therefore used valuation technique to determine the fair value. Level 2 derivative instruments are valued using parameters that are available or observable from an active market. The inputs of level 3 are not based on observable inputs from an active market. Since different valuation techniques and assumptions may have significant effect on the estimates of fair value, we considered the valuation of derivative instruments as a key audit matter. Our audit procedures include, but not limited to, assessing and testing the design and execution of the internal control regarding valuation, and reviewing management's verification on fair value and authorization process of valuation models. In addition, we used our firm's internal valuation expert to revaluate derivative instruments on a sampling basis, and compared the outcomes with the one from management to assess if the difference is within acceptable range. We also assessed the adequacy of disclosures for valuation of derivative instruments in Note V and Note XII.
Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements
Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with the requirements of the Regulations Governing the Preparation of Financial Reports by Securities Firms, Regulations Governing the Preparation of Financial Reports by Futures Commission Merchants, International Financial Reporting Standards, International Accounting Standards, Interpretations developed by International Financial Reporting Committee, or the former Standing Interpretations Committee as endorsed and became effective by Financial Supervisory Commission of the Republic of China and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.
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In preparing the consolidated financial statements, management is responsible for assessing the ability to continue as a going concern of the Company and its subsidiaries, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company and its subsidiaries or to cease operations, or has no realistic alternative but to do so.
Those charged with governance, including audit committee or supervisors, are responsible for overseeing the financial reporting process of the Company and its subsidiaries.
Auditor's Responsibilities for the Audit of the Consolidated Financial Statements
Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with auditing standards generally accepted in the Republic of China will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.
As part of an audit in accordance with the Standards on Auditing of the Republic of China, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:
- Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control of the Company and its subsidiaries.
- Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
- Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the ability to continue as a going concern of the Company and its subsidiaries. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company and its subsidiaries to cease to continue as a going concern.
- Evaluate the overall presentation, structure and content of the consolidated financial statements, including the accompanying notes, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
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6. Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Company and its subsidiaries to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.
From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of consolidated financial statements for the year ended December 31, 2023 and are therefore the key audit matters. We describe these matters in our auditor's report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.
Others
We have audited and expressed an unqualified opinion including the Other Matter paragraph on the parent company only financial statements of the Company as of and for the years ended December 31, 2023 and 2022.
Hsu, Jung-Huang
Fuh, Wen-Fun
Ernst & Young, Taiwan
March 8, 2024
Notice to Readers
The accompanying consolidated financial statements are intended only to present the financial position, results of operations and cash flows in accordance with accounting principles and practices generally accepted in the Republic of China and not those of any other jurisdictions. The standards, procedures and practices to audit such consolidated financial statements are those generally accepted and applied in the Republic of China.
Accordingly, the accompanying consolidated financial statements and report of independent accountants are not intended for use by those who are not informed about the accounting principles or auditing standards generally accepted in the Republic of China, and their applications in practice. As the financial statements are the responsibility of the management, Ernst & Young cannot accept any liability for the use of, or reliance on, the English translation or for any errors or misunderstandings that may derive from the translation.
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English Translation of Consolidated Financial Statements Originally Issued in Chinese
KGI SECURITIES CO. LTD. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
December 31, 2023 and 2022
(Expressed in New Taiwan Thousand Dollars)
ASSETS | 12/31/2023 | 12/31/2022 | ||
CURRENT ASSETS | ||||
Cash and cash equivalents (Note VI.1, VI.29 and VII) | $22,481,269 | $34,754,408 | ||
Financial assets measured at fair value through profit or loss-current | 80,576,206 | 72,711,109 | ||
(Note VI.2, VI.21, VII and VIII) | ||||
Financial assets measured at fair value through other comprehensive income-current | 33,286,087 | 34,712,250 | ||
(Note VI.3, VI.29 and VII) | ||||
Hedging financial assets-current (Note VI.5) | 237,236 | 486,019 | ||
Investment in bonds with reverse repurchase agreements (Note VI.6) | 13,142,589 | 8,487,952 | ||
Securities margin loans receivable (Note VI.7, VI.29 and VII) | 35,366,006 | 24,298,551 | ||
Refinancing margin | 26,587 | 14,189 | ||
Refinancing deposits receivable | 29,472 | 11,515 | ||
Trading securities receivable (Note VI.29) | 15,684,774 | 9,216,479 | ||
Customer margin accounts (Note VI.8, VI.29 and VII) | 53,729,655 | 58,934,382 | ||
Futures commission merchant receivable (Note VI.9, VI.29 and VII) | 46 | 2 | ||
Stock borrowing collateral price | 124,896 | 2,254,232 | ||
Security lending deposits (Note VI.29) | 39,929,058 | 34,978,194 | ||
Accounts receivable (Note VI.10, VI.29 and VII) | 55,923,415 | 29,820,216 | ||
Prepayments | 149,257 | 152,964 | ||
Current tax assets | 21,766 | 2,227 | ||
Other current assets (Note VI.29, VII and VIII) | 38,181,131 | 36,416,578 | ||
Total Current Assets | 388,889,450 | 347,251,267 | ||
NON-CURRENT ASSETS | ||||
Financial assets measured at fair value through profit or loss-non-current (Note VI.2) | 3,999,597 | 3,533,579 | ||
Financial assets measured at fair value through other comprehensive income-non-current | 11,076,173 | 8,692,888 | ||
(Note VI.3 and VI.29) | ||||
Financial assets measured at amortized cost-non-current (Note VI.4 and VIII) | 148,736 | - | ||
Investments accounted for using the equity method (Note VI.11) | 2,803,433 | 2,735,582 | ||
Property and equipment (Note VI.12, VII and VIII) | 5,472,310 | 5,472,546 | ||
Right-of-use assets (Note VI.13 and VII) | 1,108,102 | 1,438,739 | ||
Investment property (Note VI.14, VII and VIII) | 405,986 | 270,382 | ||
Intangible assets (Note VI.15) | 7,103,214 | 7,170,537 | ||
Deferred tax assets | 471,379 | 502,142 | ||
Other non-current assets (Note VI.16, VI.29 and VII) | 3,553,938 | 4,002,721 | ||
Total Non-Current Assets | 36,142,868 | 33,819,116 | ||
TOTAL ASSETS | $425,032,318 | $381,070,383 | ||
(Continue on next page) | ||||
The accompanying notes are an integral part of the consolidated financial statements.
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(Continue from previous page)
English Translation of Consolidated Financial Statements Originally Issued in Chinese
KGI SECURITIES CO. LTD. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
December 31, 2023 and 2022
(Expressed in New Taiwan Thousand Dollars)
LIABILITIES AND EQUITY | 12/31/2023 | 12/31/2022 | ||
CURRENT LIABILITIES | ||||
Short-term borrowings (Note VI.18) | $17,638,644 | $13,229,271 | ||
Commercial papers payable (Note VI.19 and VII) | 16,100,445 | 12,169,751 | ||
Financial liabilities measured at fair value through profit or loss-current | 28,256,989 | 39,021,587 | ||
(Note VI.20 and VII) | ||||
Hedging financial liabilities-current (Note VI.5) | 86,799 | 55,091 | ||
Liabilities for bonds with repurchase agreements (Note VI.22) | 87,713,610 | 72,822,911 | ||
Short sale margins | 2,285,843 | 3,757,562 | ||
Payables for short sale collateral received | 8,971,558 | 13,081,611 | ||
Guarantee deposit received from security lending | 50,538,859 | 42,013,408 | ||
Futures customers' equity (Note VII) | 51,454,981 | 59,152,076 | ||
Equity for each customer in the account (Note VI.23) | 12,648,551 | 3,000,099 | ||
Accounts payable (Note VI.24 and VII) | 66,004,055 | 44,591,917 | ||
Amounts received in advance | 48,136 | 762 | ||
Amounts collected for other parties | 2,411,450 | 3,130,343 | ||
Other payables (Note VII) | 5,326,112 | 4,164,260 | ||
Other financial liabilities-current | 1,839,716 | 2,821,037 | ||
Current tax liabilities (Note VII) | 2,030,771 | 2,253,860 | ||
Current portion of long-term liabilities (Note VI.25) | 2,600,000 | - | ||
Lease liabilities-current (Note VI.13, VI.29 and VII) | 349,455 | 471,957 | ||
Other current liabilities | 163,820 | 196,438 | ||
Total Current Liabilities | 356,469,794 | 315,933,941 | ||
NON-CURRENT LIABILITIES | ||||
Bonds payable (Note VI.25) | 6,300,000 | 8,900,000 | ||
Liabilities reserve-non-current (Note VI.27) | 224,970 | 212,504 | ||
Lease liabilities-non-current (Note VI.13, VI.29 and VII) | 796,262 | 995,673 | ||
Deferred tax liabilities | 1,063,169 | 1,239,457 | ||
Other non-current liabilities | 598,339 | 569,793 | ||
Total Non-Current Liabilities | 8,982,740 | 11,917,427 | ||
Total Liabilities | 365,452,534 | 327,851,368 | ||
EQUITY | ||||
Capital stock abstracted (Note VI.28) | 18,174,785 | 18,787,366 | ||
Common stock | ||||
Capital reserve (Note VI.28) | 7,355,031 | 7,207,268 | ||
Retained earnings (Note VI.28) | ||||
Legal reserve | 8,262,019 | 7,868,582 | ||
Special reserve | 21,032,655 | 19,160,154 | ||
Unappropriated earnings | 7,247,406 | 3,934,370 | ||
Other equity | ||||
Exchange differences resulting from translating the financial statements | (766,775) | (809,116) | ||
of a foreign operation | (1,745,973) | (2,948,912) | ||
Unrealized gain or loss on financial assets measured at fair value through | ||||
other comprehensive income | ||||
Equity attributable to owners of the parent company | 59,559,148 | 53,199,712 | ||
Non-controlling interests (Note VI.28) | 20,636 | 19,303 | ||
Total Equity | 59,579,784 | 53,219,015 | ||
TOTAL LIABILITIES AND EQUITY | $425,032,318 | $381,070,383 | ||
The accompanying notes are an integral part of the consolidated financial statements.
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English Translation of Consolidated Financial Statements Originally Issued in Chinese
KGI SECURITIES CO. LTD. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
For the Years Ended December 31, 2023 and 2022
(Expressed in New Taiwan Thousand Dollars except for Earnings Per Share)
For the Years Ended December | |||
REVENUES | 2023 | 2022 | |
Brokerage handling fee revenue (Note VI.29 and VII) | $13,383,785 | $11,738,610 | |
Revenue from borrowed securities | 2,051,774 | 1,614,946 | |
Revenue from underwriting business (Note VI.29) | 819,084 | 572,466 | |
Revenue from wealth management services-net | 297,760 | 274,337 | |
Gains/(losses) on disposal of trading securities-net (Note VI.29 and VII) | 4,088,322 | (2,988,898) | |
Revenue from providing agency service for stock affairs (Note VII) | 266,820 | 249,935 | |
Interest income (Note VI.29 and VII) | 6,749,742 | 4,094,918 | |
Dividend income (Note VI.3) | 1,955,201 | 705,720 | |
Gains/(losses) on trading securities measured at fair value through profit or loss-net (Note VI.29 and VII) | 1,211,268 | (2,865,340) | |
Gains/(losses) on covering of securities borrowing and short sales of bonds with reverse repurchase | (832,993) | 1,603,833 | |
agreements-net (Note VI.29 and VII) | |||
Gains/(losses) on securities borrowing and short sales of bonds with reverse repurchase agreements measured | (466,477) | 821,720 | |
at fair value through profit or loss-net | |||
Realized gains/(losses) on financial assets measured at fair value through other comprehensive income | 124,839 | (76,737) | |
-debt instrument investments | |||
Gains/(losses) on warrants issued-net (Note VI.21) | (227,496) | 2,295,553 | |
Gains/(losses) on derivative financial product-futures-net (Note VI.21) | (721,049) | 7,637 | |
Gains/(losses) on derivative financial product-GTSM-net (Note VI.21 and VII) | (1,418,726) | 2,548,492 | |
Expected credit impairment (losses) or gains on reversal (Note VI.29) | (176,462) | (55,387) | |
Other operating revenue (Note VI.29 and VII) | 1,346,561 | 160,393 | |
Total Revenues | 28,451,953 | 20,702,198 | |
COSTS AND EXPENSES | |||
Brokerage handling fee expenses | (2,089,086) | (1,952,060) | |
Dealing handling fee expenses | (49,369) | (46,142) | |
Refinancing handling fee expenses | (1,231) | (681) | |
Financial costs (Note VI.29 and VII) | (6,907,194) | (2,203,139) | |
Losses on trading of borrowed securities | (154,935) | (261,131) | |
Futures commission expenses | (142,714) | (135,817) | |
Settlement and clearing service expenditures | (393,345) | (480,300) | |
Other operating costs | (878,046) | (770,488) | |
Employee benefits expenses (Note VI.25, VI.29 and VII) | (8,575,178) | (6,767,939) | |
Depreciation and amortization (Note VI.29 and VII) | (1,091,077) | (1,042,447) | |
Other operating expenses (Note VI.29 and VII) | (5,284,760) | (5,025,262) | |
Total Costs and Expenses | (25,566,935) | (18,685,406) | |
INCOME FROM OPERATIONS | 2,885,018 | 2,016,792 | |
NON-OPERATING INCOME OR COSTS | |||
Share of the profit or loss of associates and joint ventures accounted for using the equity method | 271,566 | 298,786 | |
Other income and costs (Note VI.29 and VII) | 4,957,650 | 2,139,132 | |
Total Non-Operating Income or Costs | 5,229,216 | 2,437,918 | |
INCOME BEFORE INCOME TAX | 8,114,234 | 4,454,710 | |
INCOME TAX EXPENSES (Note VI.31) | (767,816) | (824,506) | |
NET INCOME | 7,346,418 | 3,630,204 | |
OTHER COMPREHENSIVE INCOME (Note VI.30) | |||
Not to be reclassified subsequently to profit or loss | |||
Remeasurements of defined benefit plans | (101,773) | 300,411 | |
Unrealized valuation gains/(losses) from equity instrument investments measured at fair value through | (28,340) | 237,612 | |
other comprehensive income | |||
Share of other comprehensive income of associates and joint ventures accounted for using the equity method | 930 | 5,162 | |
Income tax relating to components that will not be reclassified (Note VI.31) | 4,725 | (103,056) | |
To be reclassified subsequently to profit or loss | |||
Exchange differences resulting from translating the financial statements of a foreign operation | 43,245 | 1,413,426 | |
Unrealized valuation gains/(losses) from debt instrument investments measured at fair value through | 1,254,247 | (2,771,470) | |
other comprehensive income | |||
Share of other comprehensive income of associates and joint ventures accounted for using the equity method | (860) | 2,548 | |
Income tax relating to components that will be reclassified (Note VI.31) | (22,071) | 136,663 | |
Total Other Comprehensive Income-Net of Tax | 1,150,103 | (778,704) | |
TOTAL COMPREHENSIVE INCOME | $8,496,521 | $2,851,500 | |
NET INCOME ATTRIBUTABLE TO: | |||
Owners of the parent company | $7,343,512 | $3,627,566 | |
Non-controlling interests (Note VI.28) | $2,906 | $2,638 | |
TOTAL COMPREHENSIVE INCOME ATTRIBUTABLE TO: | |||
Owners of the parent company | $8,493,432 | $2,848,743 | |
Non-controlling interests (Note VI.28) | $3,089 | $2,757 | |
EARNINGS PER SHARE (Note VI.32) | |||
Net income attributable to owners of the parent company | $3.97 | $1.61 |
The accompanying notes are an integral part of the consolidated financial statements.
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Items
Balance, January 1, 2022
Appropriations and distribution of 2021 retained earnings:
Legal reserve
Special reserve
Cash dividends
Other changes in capital reserve
Net income for the year ended December 31, 2022
Other comprehensive income for the year ended December 31, 2022 Total comprehensive income
Cash refund capital reduction Share-based payment transaction Changes in non-controlling interests
Disposal of investments in equity instruments at fair value through other comprehensive income Other (Note)
Balance, December 31, 2022
Balance, January 1, 2023
Appropriations and distribution of 2022 retained earnings:
Legal reserve
Special reserve
Cash dividends
Net income for the year ended December 31, 2023
Other comprehensive income for the year ended December 31, 2023
Total comprehensive income
Share-based payment transaction
Changes in non-controlling interests
Other (Note)
Balance, December 31, 2023
Note: Reduction of capital except cash
English Translation of Consolidated Financial Statements Originally Issued in Chinese
KGI SECURITIES CO. LTD. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY For the Years Ended December 31, 2023 and 2022
(Expressed in New Taiwan Thousand Dollars)
Equity Attributed to Owners of the Parent Company | |||||||||||||||||||
Retained Earnings | Other Equity | ||||||||||||||||||
Unrealized Gains | |||||||||||||||||||
Exchange | /(Losses) on | ||||||||||||||||||
Differences Resulting | Financial Assets | ||||||||||||||||||
from Translating the | Measured at Fair | ||||||||||||||||||
Financial Statements | Value through Other | ||||||||||||||||||
Unappropriated | of a Foreign | Comprehensive | Non-controlling | Total | |||||||||||||||
Common Stock | Capital Reserve | Legal Reserve | Special Reserve | Earnings | Operation | Income | Total | Interests | Equity | ||||||||||
$32,995,978 | $7,706,245 | $6,591,910 | $13,934,409 | $12,766,719 | $(2,225,039) | $(447,362) | $71,322,860 | $18,747 | $71,341,607 | ||||||||||
- | - | 1,276,672 | - | (1,276,672) | - | - | - | - | - | ||||||||||
- | - | - | 5,225,745 | (5,225,745) | - | - | - | - | - | ||||||||||
- | - | - | - | (6,264,302) | - | - | (6,264,302) | - | (6,264,302) | ||||||||||
- | (735,698) | - | - | - | - | - | (735,698) | - | (735,698) | ||||||||||
- | - | - | - | 3,627,566 | - | - | 3,627,566 | 2,638 | 3,630,204 | ||||||||||
- | - | - | - | 202,503 | 1,415,923 | (2,397,249) | (778,823) | 119 | (778,704) | ||||||||||
- | - | - | - | 3,830,069 | 1,415,923 | (2,397,249) | 2,848,743 | 2,757 | 2,851,500 | ||||||||||
(4,897,759) | - | - | - | - | - | - | (4,897,759) | - | (4,897,759) | ||||||||||
- | 101,670 | - | - | - | - | - | 101,670 | - | 101,670 | ||||||||||
- | - | - | - | - | - | - | - | (2,201) | (2,201) | ||||||||||
- | - | - | - | 104,301 | - | (104,301) | - | - | - | ||||||||||
(9,310,853) | 135,051 | - | - | - | - | - | (9,175,802) | - | (9,175,802) | ||||||||||
$18,787,366 | $7,207,268 | $7,868,582 | $19,160,154 | $3,934,370 | $(809,116) | $(2,948,912) | $53,199,712 | $19,303 | $53,219,015 | ||||||||||
$18,787,366 | $7,207,268 | $7,868,582 | $19,160,154 | $3,934,370 | $(809,116) | $(2,948,912) | $53,199,712 | $19,303 | $53,219,015 | ||||||||||
- | - | 393,437 | - | (393,437) | - | - | - | - | - | ||||||||||
- | - | - | 1,872,501 | (1,872,501) | - | - | - | - | - | ||||||||||
- | - | - | - | (1,668,432) | - | - | (1,668,432) | - | (1,668,432) | ||||||||||
- | - | - | - | 7,343,512 | - | - | 7,343,512 | 2,906 | 7,346,418 | ||||||||||
- | - | - | - | (96,106) | 42,341 | 1,203,685 | 1,149,920 | 183 | 1,150,103 | ||||||||||
- | - | - | - | 7,247,406 | 42,341 | 1,203,685 | 8,493,432 | 3,089 | 8,496,521 | ||||||||||
- | 88,053 | - | - | - | - | - | 88,053 | - | 88,053 | ||||||||||
- | - | - | - | - | - | - | - | (1,756) | (1,756) | ||||||||||
(612,581) | 59,710 | - | - | - | - | (746) | (553,617) | - | (553,617) | ||||||||||
$18,174,785 | $7,355,031 | $8,262,019 | $21,032,655 | $7,247,406 | $(766,775) | $(1,745,973) | $59,559,148 | $20,636 | $59,579,784 |
The accompanying notes are an integral part of the consolidated financial statements.
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English Translation of Consolidated Financial Statements Originally Issued in Chinese
KGI SECURITIES CO. LTD. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS For the Years Ended December 31, 2023 and 2022 (Expressed in New Taiwan Thousand Dollars)
For the Years Ended December 31 | |||
2023 | 2022 | ||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Income before income tax | $8,114,234 | $4,454,710 | |
Adjustments | |||
Income and expenses having no effect on cash flows | |||
Depreciation | 821,312 | 775,566 | |
Amortization | 269,765 | 266,881 | |
Expected credit impairment losses or (gains) on reversal | 176,462 | 55,387 | |
Interest expense | 6,907,194 | 2,203,139 | |
Interest income | (10,395,136) | (5,464,828) | |
Dividend income | (2,191,477) | (925,444) | |
Share-based payment transactions | 88,053 | 101,670 | |
Share of the profit or loss of associates and joint ventures accounted for using the equity method | (271,566) | (298,786) | |
(Gains)/losses on disposal of property and equipment | (27,632) | (16,174) | |
(Gains)/losses on disposal of investment property | - | (17,506) | |
Others | (414,393) | (1,843) | |
Changes in operating assets and liabilities: | |||
Changes in operating assets: | (7,690,076) | 2,779,063 | |
Financial assets measured at fair value through profit or loss-current | |||
Financial assets measured at fair value through other comprehensive income-current | 2,985,386 | (13,937,949) | |
Investment in bonds with reverse repurchase agreements | (4,654,639) | 5,214,803 | |
Securities margin loans receivable | (11,236,273) | 14,792,376 | |
Refinancing margin | (12,398) | (12,174) | |
Refinancing deposits receivable | (17,957) | (9,838) | |
Trading securities receivable | (6,470,762) | (1,937,751) | |
Customer margin accounts | 5,204,722 | (6,970,401) | |
Futures commission merchant receivable | (44) | (95) | |
Stock borrowing collateral price | 2,129,336 | (1,662,581) | |
Security lending deposits | (4,950,862) | 5,721,419 | |
Accounts receivable | (25,887,996) | 10,871,663 | |
Prepayments | 1,821 | (46,174) | |
Other current assets | (1,773,692) | 19,815,396 | |
Financial assets measured at fair value through profit or loss-non-current | (466,018) | 136,084 | |
Financial assets measured at fair value through other comprehensive income-non-current | (2,620,802) | (1,664,029) | |
Changes in operating liabilities: | (10,764,598) | 2,552,700 | |
Financial liabilities measured at fair value through profit or loss-current | |||
Liabilities for bonds with repurchase agreements | 14,890,699 | 13,719,270 | |
Short sale margins | (1,471,719) | 1,027,218 | |
Payables for short sale collateral received | (4,110,053) | 555,828 | |
Guarantee deposit received from security lending | 8,525,451 | (5,406,102) | |
Futures customers' equity | (7,697,095) | 9,026,688 | |
Accounts payable | 21,163,164 | (12,355,198) | |
Amounts received in advance | 47,374 | (1,645) | |
Amounts collected for other parties | (716,462) | (20,778,126) | |
Other payables | 1,220,199 | (1,504,047) | |
Other financial liabilities-current | (981,321) | (412,393) | |
Other current liabilities | 9,615,834 | 2,771,808 | |
Liabilities reserve-non-current | 12,466 | 5,643 | |
Other non-current liabilities | (72,156) | (203,210) | |
Cash provided by/(used in) operating activities | (22,721,655) | 23,221,018 | |
Interest received | 10,044,056 | 4,478,379 | |
Dividend received | 1,929,998 | 703,241 | |
Interest paid | (6,652,573) | (1,679,477) | |
Income tax received/(paid) | (1,149,427) | (1,471,840) | |
Net cash provided by/(used in) operating activities | (18,549,601) | 25,251,321 |
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The accompanying notes are an integral part of the consolidated financial statements.
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CDFH – China Development Financial Holding Corp. published this content on 09 April 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 12 April 2024 07:31:05 UTC.
