SHANGHAI, Aug. 27, 2025 /PRNewswire/ -- Noah Holdings Limited ("Noah" or the "Company") (NYSE: NOAH and HKEX: 6686), a leading and pioneer wealth management service provider offering comprehensive one-stop advisory services on global investment and asset allocation primarily for global Chinese high-net-worth investors, today announced its unaudited financial results for the second quarter of 2025.
Starting from the fourth quarter of 2024, the Company has adopted a refined segment reporting structure to disclose net revenue by each domestic and overseas business segment. The Company believes that this reporting structure better reflects its recent operational adjustments and organizational restructuring, providing investors with a clearer understanding of the financial performance and strategic progress of each business segment. Historical financial information of the corresponding periods in 2024 has been recast to conform to the new structure, and additional business information is provided for comparison purposes.
SECOND QUARTER 2025 FINANCIAL HIGHLIGHTS
Net revenues for the second quarter of 2025 were RMB629.5 million (US$87.9 million), a 2.2% increase from the corresponding period in 2024, mainly due to an increased distribution of overseas private secondary products and domestic private secondary products. Net revenues increased by 2.4% from the first quarter of 2025, primarily due to an increase in revenue contributed by distribution of investment products.Net revenues from overseas for the second quarter of 2025 were RMB296.7 million (US$41.4 million), compared with RMB278.6 million for the corresponding period in 2024, primarily due to an increase in net revenues from overseas investment products. Net revenues decreased by 2.5% from the first quarter of 2025, primarily due to a decrease in one-time commissions generated from distribution of overseas insurance products.Income from operations for the second quarter of 2025 was RMB161.0 million (US$22.5 million), a 20.2% increase from the corresponding period in 2024, primarily due to a 2.2% increase in net revenues and a decrease in one-off expense Gopher paid to one of its funds as general partner.Net income attributable to Noah shareholders for the second quarter of 2025 was RMB178.6 million (US$24.9 million), a 79.0% increase from the corresponding period in 2024, primarily due to a 2.2% increase in net revenues and an increase in the fair value of the funds that Gopher manages and co-invested in.Non-GAAP[1] net income attributable to Noah shareholders for the second quarter of 2025 was RMB189.0 million (US$26.4 million), a 78.2% increase from the corresponding period in 2024.
SECOND QUARTER 2025 OPERATIONAL UPDATES
Wealth Management Business
Noah offers global investment products and provides value-added services to global Chinese high-net-worth investors in its wealth management business. Noah primarily distributes private equity, private secondary, mutual funds and other products denominated in RMB, USD and other currencies.
Total number of registered clients as of June 30, 2025 was 464,631, a 1.2% increase from June 30, 2024, and a 0.3% increase from March 31, 2025. Among such clients, the number of overseas registered clients as of June 30, 2025 was 18,967, a 13.0% increase from June 30, 2024 and a 4.2% increase from March 31, 2025.Total number of active clients[2] who transacted with us during the second quarter of 2025 was 9,160, a 6.1% increase from the second quarter of 2024, and a 3.8% increase from the first quarter of 2025. Among such clients, the number of overseas active clients who transacted with us during the second quarter of 2025 was 3,650, a 12.5% increase from the second quarter of 2024, and a 7.9% increase from the first quarter of 2025.Aggregate value of investment products distributed during the second quarter of 2025 was RMB17.0 billion (US$2.4 billion), a 17.7% increase from the second quarter of 2024, mainly due to a 44.4% increase in distribution of private secondary products. Among such products distributed, Noah distributed RMB8.3 billion (US$1.2 billion) of overseas investment products, a 5.1% increase from the second quarter of 2024, mainly due to a 10.3% increase in distribution of private secondary products.
The aggregate value of investment products distributed, categorized by product type, is as follows:
Three months ended June 30,
2024
2025
(RMB in billions, except percentages)
Mutual fund products
8.5
59.0 %
9.2
54.1 %
Private secondary products
4.1
28.7 %
6.0
35.3 %
Private equity products
1.1
7.7 %
1.0
5.9 %
Other products[3]
0.7
4.6 %
0.8
4.7 %
All products
14.4
100.0 %
17.0
100.0 %
The aggregate value of investment products distributed, categorized by geography, is as follows：
Type of products in Mainland China
Three months ended June 30,
2024
2025
(RMB in billions, except percentages)
Mutual fund products
5.0
77.1 %
5.7
65.5 %
Private secondary products
1.2
18.9 %
2.8
32.2 %
Other products
0.3
4.0 %
0.2
2.3 %
All products in Mainland China
6.5
100.0 %
8.7
100.0 %
Type of overseas products
Three months ended June 30,
2024
2025
(RMB in billions, except percentages)
Mutual fund products
3.5
44.2 %
3.5
42.2 %
Private secondary products
2.9
36.7 %
3.2
38.6 %
Private equity products
1.1
13.9 %
1.0
12.0 %
Other products
0.4
5.2 %
0.6
7.2 %
All Overseas products
7.9
100.0 %
8.3
100.0 %
Coverage network in mainland China included 12 cities as of June 30, 2025, compared with 15 cities as of June 30, 2024 and 11 cities as of March 31, 2025, primarily due to the continued streamlining of the Company's domestic coverage network.Aggregate number of overseas relationship managers was 152 as of June 30, 2025, a 34.5% increase from June 30, 2024, and a 16.0% increase from March 31, 2025.
Asset Management Business
Our asset management business is conducted through Gopher Asset Management Co., Ltd. ("Gopher Asset Management" or "Gopher"), a leading multi-asset manager in mainland China, and Olive Asset Management Co., Ltd. ("Olive Asset Management" or "Olive"), as the overseas asset management brand focused on providing global investment solutions with offices in Hong Kong, Japan and the United States. Gopher Asset Management and Olive Asset Management develop and manage assets ranging from private equity, real estate, public securities to multi-strategies investments denominated in RMB, USD and other currencies.
Total assets under management as of June 30, 2025 remained relatively stable at RMB145.1 billion (US$20.3 billion), compared with RMB154.0 billion as of June 30, 2024 and RMB149.3 billion as of March 31, 2025. Mainland China assets under management as of June 30, 2025 were RMB103.7 billion (US$14.5 billion), compared with RMB114.9 billion as of June 30, 2024 and RMB106.6 billion as of March 31, 2025. Overseas assets under management as of June 30, 2025 were RMB41.4 billion (US$5.8 billion), compared with RMB39.1 billion as of June 30, 2024 and RMB42.7 billion as of March 31, 2025.
Total assets under management, categorized by investment type, are as follows:
Investment type
As of
March 31,
2025
Growth
Allocation/
Redemption[4]
As of
June 30,
2025
(RMB billions, except percentages)
Private equity
130.4
87.4 %
0.2
1.3
129.3
89.1 %
Public securities[5]
9.4
6.3 %
1.6
1.7
9.3
6.4 %
Real estate
5.1
3.4 %
-
0.5
4.6
3.2 %
Multi-strategies
3.9
2.6 %
-
2.0
1.9
1.3 %
Others
0.5
0.3 %
-
0.5
-
-
All Investments
149.3
100.0 %
1.8
6.0
145.1
100.0 %
Total assets under management, categorized by geography, are as follows:
Mainland China
Investment type
As of
March 31,
2025
Growth
Allocation/
Redemption
As of
June 30,
2025
(RMB billions, except percentages)
Private equity
97.3
91.2 %
-
0.8
96.5
93.1 %
Public securities
5.3
5.0 %
0.2
0.4
5.1
4.9 %
Real estate
1.2
1.1 %
-
0.5
0.7
0.7 %
Multi-strategies
2.3
2.2 %
-
0.9
1.4
1.3 %
Others
0.5
0.5 %
-
0.5
-
-
All Investments
106.6
100.0 %
0.2
3.1
103.7
100.0 %
Overseas
Investment type
As of
March 31,
2025
Growth
Allocation/
Redemption
As of
June 30,
2025
(RMB billions, except percentages)
Private equity
33.1
77.5 %
0.2
0.5
32.8
79.3 %
Public securities
4.1
9.6 %
1.4
1.3
4.2
10.1 %
Real estate
3.9
9.1 %
-
-
3.9
9.4 %
Multi-strategies
1.6
3.8 %
-
1.1
0.5
1.2 %
All Investments
42.7
100.0 %
1.6
2.9
41.4
100.0 %
Other Businesses
Noah's other businesses mainly include providing clients with additional comprehensive services and investment products.
Ms. Jingbo Wang, Co-founder and Chairwoman of Noah Holdings, commented, "We are pleased to report that Noah has made steady progress in navigating through a challenging period in the wealth management industry. This quarter, we have seen a recovery in both profitability and revenue, reflecting the positive impact of our strategic initiatives. Our operational income saw a solid 20.2% year-on-year growth, while non-GAAP net profit surged by an impressive 78.2% year-on-year, contributed by strong growth in the distribution of investment products and an uptick in management fees. Additionally, our international revenue continues to grow, now representing nearly 50% of total net revenues, reinforcing the effectiveness of our global expansion strategy. As we continue to work toward strengthening our position in the market, we recognize that the broader economic environment presents uncertainties, and we remain vigilant in managing these challenges. Our focus remains on executing our strategy to drive long-term, sustainable growth while maintaining prudent oversight of market conditions to deliver steady returns for our shareholders."
SECOND QUARTER 2025 FINANCIAL RESULTS
Net Revenues
Net revenues for the second quarter of 2025 were RMB629.5 million (US$87.9 million), a 2.2% increase from the corresponding period in 2024, mainly due to an increase in distribution of overseas private secondary products and domestic private secondary products.
Net Revenues under the segmentation adopted in Q4 2024 is as follows:
(RMB millions,
except percentages)
Q2 2024
Q2 2025
YoY Change
Domestic public securities[6]
116.8
131.8
12.8 %
Domestic asset management[7]
198.1
177.1
(10.6 %)
Domestic insurance[8]
11.7
7.2
(38.7 %)
Overseas wealth management[9]
150.6
129.4
(14.1 %)
Overseas asset management[10]
97.1
108.3
11.5 %
Overseas insurance and comprehensive
services[11]
30.9
59.0
90.9 %
Headquarters
10.6
16.7
57.3 %
Total net revenues
615.8
629.5
2.2 %
Domestic public securities is the business that distributes mutual funds and private secondary products. Net revenues for the second quarter of 2025 were RMB131.8 million (US$18.4 million), a 12.8% increase from the corresponding period in 2024, primarily due to an increase in one-time commissions generated from distribution of private secondary products.Domestic asset management is the business that manages RMB-denominated private equity funds and private secondary products. Net revenues for the second quarter of 2025 were RMB177.1 million (US$24.7 million), a 10.6% decrease from the corresponding period in 2024, primarily due to decreases in recurring service fees and performance-based income generated from private equity products.Domestic insurance is the business that distributes insurance products, consisting mainly of life and health insurance products. Net revenues for the second quarter of 2025 were RMB7.2 million (US$1.0 million), a 38.7% decrease from the corresponding period in 2024, mainly due to a decrease in distribution of domestic insurance products.Overseas wealth management is the business that provides offline and online wealth management services. Net revenues for the second quarter of 2025 were RMB129.4 million (US$18.1 million), a 14.1% decrease from the corresponding period in 2024, mainly due to a decrease in allocated commission gained from distribution of overseas insurance products.Overseas asset management is the business that manages USD-denominated private equity funds and private secondary products. Net revenues for the second quarter of 2025 were RMB108.3 million (US$15.1 million), a 11.5% increase from the corresponding period in 2024, due to an increase in net revenues contributed by private equity investment products managed by Olive.Overseas insurance and comprehensive services is the business that provides comprehensive overseas services such as insurance, trust services and other services. Net revenues for the second quarter of 2025 were RMB59.0 million (US$8.2 million), a 90.9% increase from the corresponding period in 2024, mainly due to an increase in allocated commission gained from distribution of overseas insurance products by commission-only brokers.Headquarters reflects revenue generated from corporate operations at the Company's headquarters in Shanghai as well as administrative costs and expenses that were not directly allocated to the aforementioned six business segments. Net revenues during the second quarter of 2025 were RMB16.7 million (US$2.3 million), compared with RMB10.6 million for the corresponding period in 2024, primarily due to an increase in the value-added services Noah offers to its high-net-worth clients.
Operating Costs and Expenses
Operating costs and expenses for the second quarter of 2025 were RMB468.5 million (US$65.4 million), a 2.8% decrease from the corresponding period in 2024. Operating costs and expenses for the second quarter of 2025 primarily consisted of (i) compensation and benefits of RMB299.3 million (US$41.8 million); (ii) selling expenses of RMB62.3 million (US$8.7 million); (iii) general and administrative expenses of RMB71.2 million (US$9.9 million); (iv) provision for credit losses of RMB41.2 million (US$5.8 million); (v) other operating expenses of RMB8.6 million (US$1.2 million); and (vi) income gained from government subsidies of RMB14.1 million (US$2.0 million).
Operating costs and expenses for Domestic public securities for the second quarter of 2025 were RMB23.9 million (US$3.3 million), a 57.4% decrease from the corresponding period in 2024, primarily due to a decrease in relationship manager compensation and an increase in government subsidies.Operating costs and expenses for Domestic asset management for the second quarter of 2025 were RMB22.0 million (US$3.1 million), a 72.4% decrease from the corresponding period in 2024, primarily due to a decrease in one-off expense Gopher paid to one of its funds as general partner.Operating costs and expenses for Domestic insurance for the second quarter of 2025 were RMB14.8 million (US$2.1 million), a 60.3% decrease from the corresponding period in 2024, primarily due to a decrease in our domestic insurance business activities.Operating costs and expenses for Overseas wealth management for the second quarter of 2025 were RMB101.6 million (US$14.2 million), a 10.5% decrease from the corresponding period in 2024, primarily due to a decrease in other compensations.Operating costs and expenses for Overseas asset management for the second quarter of 2025 were RMB35.7 million (US$5.0 million), a 55.6% increase from the corresponding period in 2024, primarily due to the increase in relationship manager compensation.Operating costs and expenses for Overseas insurance and comprehensive services for the second quarter of 2025 were RMB29.3 million (US$4.1 million), a 42.4% increase from the corresponding period in 2024, primarily driven by higher costs relating to overseas insurance business.Operating costs and expenses for Headquarters for the second quarter of 2025 were RMB241.2 million (US$33.7 million), a 58.9% increase from the corresponding period in 2024, primarily due an increase in provision for credit losses related to the suspended lending business.
Income(loss) from operations
Income(loss) from operations under the segmentation adopted in Q4 2024 is as follows:
(RMB millions,
except percentages)
Q2 2024
Q2 2025
YoY Change
Domestic public securities
60.7
107.8
77.8 %
Domestic asset management
118.4