Western Securities' new borrowings exceed 40% of prior year net assets

Western Securities Co. Ltd. has disclosed that its cumulative new borrowings for the period ending October 31, 2025, have exceeded 40% of its net assets at the end of the previous year. As of December 31, 2024, the company's audited net assets were 290.15 bn yuan, with borrowings totaling 369.98 bn yuan. By October 31, 2025, total borrowings increased to 487.49 bn yuan, representing cumulative new borrowings of 117.51 bn yuan, which accounts for 40.50% of the net assets at the end of 2024.

The increase in borrowings primarily stems from other borrowings, which rose by 104.86 bn yuan (36.14% of prior year's net assets) due to increased interbank lending, repurchase agreements, and income certificates. Additionally, corporate bonds and short-term financing notes contributed to an 11.60 bn yuan increase (4.00% of prior year's net assets) in corporate bond balances, while bank loans increased by 1.05 bn yuan (0.36% of prior year's net assets), mainly from short-term loans.

Western Securities stated that these new borrowings comply with relevant laws and regulations and are part of normal operating activities. The company maintains a stable financial condition, servicing all debts on time, and believes these new borrowings will not adversely affect its operations or debt-servicing capability. Investors should note that all financial data, except for year-end 2024 figures, are unaudited.