What happened
In the first half of 2026, 43 listed brokerages reported combined revenue of 364.71 billion yuan, up 44.80% year-on-year, and net profit of 155.37 billion yuan, up 49.07%, according to Wind data.
The growth was mainly driven by active market trading, with brokerage and proprietary investment contributing most of the increase, as noted by Zhao Ran, chief analyst at CSC Financial.
Several brokerages accelerated capital increases to Hong Kong subsidiaries, with international business becoming a new growth driver.
Why it matters
The performance highlights the sector's reliance on market conditions, but also shows structural shifts toward wealth management and international expansion.
International business is emerging as a second growth curve for top brokerages, potentially enhancing profitability and valuation.
The sector's low valuation and high growth suggest it may be in a recovery phase, not at a peak, offering attractive risk-reward.
Key facts
43 listed brokerages saw revenue up 44.80% and net profit up 49.07% in H1 2026.
Stock and fund trading volume reached 376.16 trillion yuan, up 136.30% year-on-year.
IPO fundraising totaled 70.574 billion yuan, up 88.93%.
What to watch next
Market trading activity and sci-tech equity investment remain key variables for H2 performance.
International business expansion and wealth management concentration could provide long-term support.
The brokerage sector's PB is around 1.17 times, at about 30% percentile over three years, indicating potential upside.