CITIC Securities: Overall A-share interim report is still at the bottom, going abroad is an important clue beyond expectations.

The Citic Securities report stated that by 2025, the overall A-share report is still in a bottoming out phase, with non-financial sectors showing steady growth in revenue and ROE. In Q2 2025, the net profit growth rates of all A-shares/financial/non-financial sectors were +1.5%/+5.8%/-1.9% year-on-year, still showing low volatility characteristics. In terms of net profit structure, the industrial sector was mainly affected by falling commodity prices, with declining profits in the consumer sector, while the TMT sector saw the fastest profit growth, matching market trends. The increase in financial profits mainly came from securities firms. Despite facing the impact of tariffs, exchange rate gains and cash flow pressures, the overseas operations of a group of representative companies have significantly boosted overall revenue and profit margins, indicating that going global is an important clue for outperforming expectations in the A-share report.