XML 76 R26.htm IDEA: XBRL DOCUMENT v3.20.1

Segment Information

12 Months Ended

Dec. 31, 2019

Segment Information

Segment Information

18. Segment Information

The Group uses the management approach to determine operating segments. The management approach considers the internal organization and reporting used by the Group’s chief operating decision maker (“CODM”) for making decisions, allocating resources and assessing performance. The Group’s CODM has been identified as the chief executive officer, who reviews consolidated results when making decisions about allocating resources and assessing performance of the Group.

The Group believes it operates in three reportable segments: wealth management, asset management and, lending and other financial service. The Group’s CODM does not review balance sheet information of the segments.

​

Segment information of the Group’s business is as follow:

​

​	​	​	​	​	​	​	​	​
​	​	Year Ended December 31, 2017 (Amount in Thousands)
​	​	​	​	​	​	Lending	​	​
​	​	Wealth Management	​	Assets Management	​	and Other	​	​
​	​	Business	​	Business	​	Businesses	​	Total
​		RMB		RMB		RMB		RMB
Revenues:
One-time commissions		539,938		1,087		—		541,025
Recurring service fees		577,544		27,548		—		605,092
Performance-based income		84,105		2,389		—		86,494
Other service fees		70,390		10,712		113,971		195,073
Total revenues from others		1,271,977		41,736		113,971		1,427,684
One-time commissions		560,047		1,012		—		561,059
Recurring service fees		300,352		502,409		—		802,761
Performance –based income		9,019		45,483		—		54,502
Total revenues from funds Gopher manages		869,418		548,904		—		1,418,322
Total revenues		2,141,395		590,640		113,971		2,846,006
Less: VAT related surcharges		(15,128)		(2,599)		(1,371)		(19,098)
Net revenues		2,126,267		588,041		112,600		2,826,908
Operating cost and expenses:
Compensation and benefits
Relationship Manager Compensation		(611,550)		(4)		(4,510)		(616,064)
Performance Fee Compensation		—		(11,291)		—		(11,291)
Other Compensation		(463,370)		(190,032)		(126,615)		(780,017)
Total compensation and benefits		(1,074,920)		(201,327)		(131,125)		(1,407,372)
Selling expenses		(295,798)		(9,271)		(15,393)		(320,462)
General and administrative expenses		(146,122)		(70,618)		(30,045)	​	(246,785)
Provision for doubtful accounts	​	—	​	—	​	(2,093)	​	(2,093)
Other operating expenses		(77,490)		(27,773)		(42,055)		(147,318)
Government subsidies		49,008		23,848		1,300		74,156
Total operating cost and expenses		(1,545,322)		(285,141)		(219,411)		(2,049,874)
Income (loss) from operations		580,945		302,900		(106,811)		777,034

​

​

​	​	​	​	​	​	​	​	​
​	​	Year Ended December 31, 2018 (Amount in Thousands)
​	​	​	​	​	​	Lending	​	​
​	​	Wealth Management	​	Assets Management	​	and Other	​	​
​	​	Business	​	Business	​	Business	​	Total
​		RMB		RMB		RMB		RMB
Revenues:
One-time commissions		731,424		1,585		—		733,009
Recurring service fees		571,782		22,074		—		593,856
Performance-based income		42,570		531		—		43,101
Other service fees		113,570		8,225		240,091		361,886
Total revenues from others		1,459,346		32,415		240,091		1,731,852
One-time commissions		292,899		2,085		—		294,984
Recurring service fees		564,228		618,465		—		1,182,693
Performance –based income		1,739		98,794		—		100,533
Total revenues from funds Gopher manages		858,866		719,344		—		1,578,210
Total revenues		2,318,212		751,759		240,091		3,310,062
Less: VAT related surcharges		(12,206)		(3,228)		(5,020)		(20,454)
Net revenues		2,306,006		748,531		235,071		3,289,608
Operating cost and expenses:						​		​
Compensation and benefits
Relationship Manager Compensation		(631,234)		—		(2,365)		(633,599)
Performance Fee Compensation		—		(21,175)		—		(21,175)
Other Compensation		(534,516)		(251,923)		(122,979)		(909,418)
Total compensation and benefits		(1,165,750)		(273,098)		(125,344)		(1,564,192)
Selling expenses		(367,589)		(22,200)		(22,931)		(412,720)
General and administrative expenses		(164,802)		(80,873)		(34,400)	​	(280,075)
Provision for doubtful accounts	​	—	​	—	​	688	​	688
Other operating expenses		(54,291)		(25,310)		(89,767)		(169,368)
Government subsidies		53,620		6,148		2,815		62,583
Total operating cost and expenses		(1,698,812)		(395,333)		(268,939)		(2,363,084)
Income (loss) from operations		607,194		353,198		(33,868)		926,524

​

​

​	​	​	​	​	​	​	​	​
​	​	Year Ended December 31, 2019 (Amount in Thousands)
​	​	​	​	​	​	Lending	​	​
​	​	Wealth Management	​	Assets Management	​	and Other	​	​
​	​	Business	​	Business	​	Businesses	​	Total
​		RMB		RMB		RMB		RMB
Revenues:
One-time commissions		688,652	​	2,208	​	—	​	690,860
Recurring service fees		520,013	​	4,679	​	—	​	524,692
Performance-based income		23,333	​	104	​	—	​	23,437
Other service fees		222,912	​	4,274	​	295,772	​	522,958
Total revenues from others		1,454,910	​	11,265	​	295,772	​	1,761,947
One-time commissions		239,409	​	1,399	​	—	​	240,808
Recurring service fees		635,437	​	685,336	​	—	​	1,320,773
Performance –based income		97	​	89,551	​	—	​	89,648
Total revenues from funds Gopher manages		874,943	​	776,286	​	—	​	1,651,229
Total revenues		2,329,853	​	787,551	​	295,772	​	3,413,176
Less: VAT related surcharges		(10,574)	​	(3,971)	​	(6,819)	​	(21,364)
Net revenues		2,319,279	​	783,580	​	288,953	​	3,391,812
Operating cost and expenses:						​		​
Compensation and benefits
Relationship Manager Compensation		(625,044)	​	—	​	—	​	(625,044)
Performance Fee Compensation		—	​	(31,283)	​	—	​	(31,283)
Other Compensation		(607,336)	​	(248,612)	​	(98,495)	​	(954,443)
Total compensation and benefits		(1,232,380)	​	(279,895)	​	(98,495)	​	(1,610,770)
Selling expenses		(287,541)	​	(26,661)	​	(17,144)	​	(331,346)
General and administrative expenses		(194,908)	​	(71,805)	​	(29,779)	​	(296,492)
Provision for doubtful accounts	​	(121,572)	​	(3,800)	​	(5,351)	​	(130,723)
Other operating expenses		(103,846)	​	(25,978)	​	(66,969)	​	(196,793)
Government subsidies		58,704	​	15,878	​	14,696	​	89,278
Total operating cost and expenses		(1,881,543)	​	(392,261)	​	(203,042)	​	(2,476,846)
Income from operations		437,736	​	391,319	​	85,911	​	914,966

​

The following table summarizes the Group’s revenues generated by the different geographic location.

​

​	​	​	​	​	​	​	​	​
​	​	Year Ended December 31, 2017 (Amount in Thousands)
​	​	​	​	​	​	Lending	​	​
​	​	Wealth Management	​	Assets Management	​	and Other	​	​
​	​	Business	​	Business	​	Businesses	​	Total
​		RMB		RMB		RMB		RMB
Mainland of China		1,788,135	​	398,428	​	113,971	​	2,300,534
Hong Kong		353,260	​	192,212	​	—	​	545,472
Total revenues		2,141,395	​	590,640	​	113,971	​	2,846,006

​

​	​	​	​	​	​	​	​	​
​	​	Year Ended December 31, 2018 (Amount in Thousands)
​	​	​	​	​	​	Lending	​	​
​	​	Wealth Management	​	Assets Management	​	and Other	​	​
​	​	Business	​	Business	​	Businesses	​	Total
​		RMB		RMB		RMB		RMB
Mainland of China		1,750,754	​	565,137	​	240,091	​	2,555,982
Hong Kong		565,061	​	185,990	​	—	​	751,051
Others		2,397	​	632	​	—	​	3,029
Total revenues		2,318,212	​	751,759	​	240,091	​	3,310,062

​

​

​	​	​	​	​	​	​	​	​
​	​	Year Ended December 31, 2019 (Amount in Thousands)
​	​	​	​	​	​	Lending	​	​
​	​	Wealth Management	​	Assets Management	​	and Other	​	​
​	​	Business	​	Business	​	Businesses	​	Total
​		RMB		RMB		RMB		RMB
Mainland of China		1,494,742	​	676,837	​	295,772	​	2,467,351
Hong Kong		633,168	​	99,957	​	—	​	733,125
Others		201,943	​	10,757	​	—	​	212,700
Total revenues		2,329,853	​	787,551	​	295,772	​	3,413,176

​

Substantially all of the Group’s revenues are derived from, and its assets are located in the mainland of China and Hong Kong.

X

- References

No definition available.

+ Details

Name:	us-gaap_SegmentReportingAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration

X

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-URI http://asc.fasb.org/topic&trid=2134510

+ Details

Name:	us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration