Q: How did the results compare vs. expectations?
   
A: H116 net profit was Rmb860m (-69.7% YoY), equivalent to 52% of our full-yearestimate and largely in line with what we expected.
   
Q: What were the most noteworthy areas in the results?
   
A: Investment banking (IB) posted operating profit of Rmb803m in H116, up 54% YoY.
   
IB accounted for 47% of overall revenue and 82% of profit, making it the company'sbiggest profit source. Given the recent management changes, we are cautious on its IBsegment. Brokerage revenue fell 63% YoY in H1 (peers: -65%), while brokeragemarket share dropped 3.97% YoY. Asset management revenue fell 89% YoY (peers:+25%). Investment income fell 87% YoY (peers: -73%). Squeezed by contractingmargin debt and rising debt costs, net interest income was negative, at -Rmb22.13m.
   
Q: Has the company's outlook/guidance changed?
   
A: With A-share market activity unlikely to recover quickly, we continue to think a rapidrebound in the company's earnings would be challenging.
   
Q: How would we expect investors to react?
   
A: We think investors could react negatively to the weaker-than-peer performanceacross multiple business lines and management reshuffling.