China's top brokerage reports slight profit decline

BEIJING - CITIC Securities, China's biggest brokerage firm, reported a decline in its first-quarter profit, according to a statement the company filed to the Shanghai Stock Exchange.

Net profit for the company decreased 4.28 percent year-on-year to 4.08 billion yuan ($582.83 million) in the first quarter.

Operating revenue stood at 12.85 billion yuan during the period, jumping 22.14 percent from a year ago, the statement showed.

Analysts said the profit decline was probably due to the acquisition of a smaller money-losing brokerage Guangzhou Securities.

CITIC Securities said earlier that its purchase of Guangzhou Securities would significantly strengthen its competitiveness in the country's southern provinces, with revenues in those areas expected to more than double.