Everbright's annual profit dented by CSRC fine

Everbright Securities Co Ltd said its parent and asset management subsidiary had combined net profit of 142.7 million yuan ($23 million) in November, but a fine imposed by the China Securities Regulatory Commission over an Aug 16 trading glitch will dent the brokerage's profit in 2013, analysts said.

The CSRC determined the Aug 16 trading glitch was insider trading by the brokerage when the benchmark index shot up 5.6 percent for a brief time that day.

The brokerage's net profit in the first half was 811 million yuan, a 2.2 percent year-on-year decrease.

Judging by the brokerage's net profit in the first 11 months of 2013, the 523 million yuan fine, which was five times what the brokerage gained in the trading glitch, may account for a large portion of the brokerage's annual gain and severely dent its profit in 2013, analysts said.

The brokerage's 2012 annual profit was 1.03 billion yuan.