27-03-2020, 11:40 AM
(27-03-2020, 09:15 AM)karlmarx Wrote: CSS took a HK$450m impairment on their loans to margin accounts, for their securities broking business. This is almost half of their total loans to margin accounts.
I'm not sure if they are doing this to manage their profits/dividends, or they actually provided margin facilities for (a lot of) stocks which went bust.
Without the impairment, CSS' FY19 results would have been similar to its FY18 results. Given the HK protests and trade war that occurred during FY19, the results are considerably satisfactory.
https://www1.hkexnews.hk/listedco/listco...600874.pdf
The stock market did reasonably well from jul 2019 to dec 2019, so if there's any impairment to margin accounts, it is hard to understand.