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      NOAH HOLDINGS LIMITED ANNOUNCES UNAUDITED PRELIMINARY FINANCIAL RESULTS FOR THE FOURTH QUARTER AND FULL YEAR 2021


      News provided by

      Noah Holdings Limited

      Mar 14, 2022, 16:30 ET

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      SHANGHAI, March 14, 2022 /PRNewswire/ -- Noah Holdings Limited ("Noah" or the "Company") (NYSE: NOAH), a leading and pioneer wealth management service provider in China offering comprehensive one-stop advisory services on global investment and asset allocation primarily for high net worth investors, today announced its unaudited preliminary[1] financial results for the fourth quarter of 2021 and the full year ended December 31, 2021.

      FOURTH QUARTER 2021 FINANCIAL HIGHLIGHTS

      • Net revenues for the fourth quarter of 2021 were RMB1,260.1 million (US$197.7 million), a 32.2% increase from the corresponding period in 2020, and a 38.6% increase compared with third quarter of 2021, mainly due to increases in one-time commissions.

      (RMB millions,

      except percentages)

      Q4 2020


      Q4 2021


      YoY Change

      Wealth management

      643.2


      969.3


      50.7%

      Asset management

      306.0


      273.8


      (10.5%)

      Other businesses

      4.0


      17.0


      325.5%

      Total net revenues

      953.2


      1,260.1


      32.2%

      • Income from operations for the fourth quarter of 2021 was RMB132.3 million (US$20.8 million), a 60.6% decrease from the corresponding period in 2020, due to our budgeted continuing strategic investments on talents and client experiences in 2021 and provision for credit loss for our lending business in the fourth quarter of 2021.

      (RMB millions,

      except percentages)

      Q4 2020


      Q4 2021


      YoY Change

      Wealth management

      206.3


      183.6


      (11.0%)

      Asset management

      151.8


      80.8


      (46.8%)

      Other businesses

      (22.6)


      (132.1)


      481.9%

      Total income from operations

      335.5


      132.3


      (60.6%)

      • Net income attributable to Noah shareholders for the fourth quarter of 2021 was RMB281.3 million (US$44.1 million), compared to net loss attributable to Noah shareholders of RMB1,573.5 million from the corresponding period in 2020, due to the recognition of a one-off settlement expense related to the settlement plan for investors of certain credit funds involving Camsing announced on August 25, 2020 (the "Camsing settlement") in the amount of RMB1,828.9 million in 2020, and a 3.0% increase compared with the third quarter of 2021.
      • Non-GAAP[2] net income attributable to Noah shareholders for the fourth quarter of 2021 was RMB289.6 million (US$45.4 million), a 10.3% increase from the corresponding period in 2020, and a 1.9% increase from the third quarter of 2021.

      [1] As of the date hereof, the Company is still in the process of reviewing the financial results of the funds of funds we manage and invest in as the general partner or manager.  Any changes in the fair value of those investments could affect the income from equity in affiliates, net income, net income attributable to Noah shareholders, income per ADS and the balance of investments in affiliates in Noah's consolidated financial statements. If there will be any fair value adjustments associated with the above, which have not been included in these unaudited preliminary financial results in this press release, the Company will include such adjustments in the audited consolidated financial statements in its Form 20-F for the fiscal year 2021 and subsequent reporting if necessary.

      [2] Noah's Non-GAAP financial measures are its corresponding GAAP financial measures excluding the effects of all forms of share-based compensation, non-recurring settlement expense and net of relevant tax impact, if any. See "Reconciliation of GAAP to Non-GAAP Results" at the end of this press release.

      FULL YEAR 2021 FINANCIAL HIGHLIGHTS

      • Net revenues in the full year 2021 were RMB4,293.1 million (US$673.7 million), a 29.9% increase from the full year 2020, mainly due to increases in one-time commissions, recurring service fees as well as performance-based income.

      (RMB millions,

      except percentages)

      FY 2020


      FY 2021


      YoY Change

      Wealth management

      2,366.3


      3,194.9


      35.0%

      Asset management

      875.5


      1,041.5


      19.0%

      Other businesses

      64.0


      56.7


      (11.4%)

      Total net revenues

      3,305.8


      4,293.1


      29.9%

      • Income from operations in the full year 2021 was RMB1,198.9 million (US$188.1 million), a 4.7% decrease from the full year 2020, due to budgeted continuing strategic investments on talents and client experiences in 2021 as well as less selling and general and administrative expense incurred in 2020 due to the pandemic. We also recorded provision for credit loss for our lending business in 2021.

      (RMB millions,

      except percentages)

      FY 2020


      FY 2021


      YoY Change

      Wealth management

      817.5


      921.5


      12.7%

      Asset management

      459.8


      485.2


      5.5%

      Other businesses

      (18.8)


      (207.8)


      1,004.8%

      Total income from operations

      1,258.5


      1,198.9


      (4.7%)

      • Net income attributable to Noah shareholders in the full year 2021 was RMB1,314.1 million (US$206.2 million), compared to net loss attributable to Noah shareholders of RMB745.2 million from the full year 2020, due to the recognition of a one-off settlement expense related to the Camsing settlement in the amount of RMB1,828.9 million in 2020.
      • Non-GAAP net income attributable to Noah shareholders in the full year 2021 was RMB1,372.7 million (US$215.4 million), a 21.5% increase from the full year 2020.

      FOURTH QUARTER AND FULL YEAR 2021 OPERATIONAL UPDATES

      Wealth Management Business

      We offer investment products and provide value-added services to high net worth investors in China and overseas for our wealth management business. Noah primarily distributes private equity, private secondary, mutual funds and other products denominated in RMB and other currencies.

      • Total number of registered clients as of December 31, 2021 was 411,981, a 14.2% increase from December 31, 2020 and a 1.4% increase compared with September 30, 2021.
      • Total number of active clients[3] which excluded mutual fund-only clients during the fourth quarter of 2021 was 3,575, a 32.1% decrease from the corresponding period in 2020, affected by volatile market condition. Counting in mutual fund-only clients, the total number of clients who transacted with us during the fourth quarter of 2021 was 17,456, a 10.5% decrease from the corresponding quarter of 2020. Total number of active clients which excluded mutual fund-only clients during the full year 2021 was 12,831, a 5.5% increase from the full year 2020, and total number of active clients counting in mutual fund-only clients during the full year 2021 was 42,764, a 25.0% increase from the full year 2020.
      • Aggregate value of investment products distributed during the fourth quarter of 2021 was RMB21.0 billion (US$3.3 billion), a 1.3% decrease from the corresponding period in 2020, mainly due to a volatile market conditions in the quarter.

      Product type

      Three months ended December 31,


      2020


      2021


      (RMB in billions, except percentages)

      Mutual fund products

      7.2


      34.0%


      10.2


      48.5%

      Private secondary products

      8.0


      37.4%


      6.7


      31.6%

      Private equity products

      5.2


      24.3%


      3.0


      14.5%

      Other products[4]

      0.9


      4.3%


      1.1


      5.4%

      All products

      21.3


      100.0%


      21.0


      100.0%

      • Aggregate value of investment products distributed during the full year 2021 was RMB97.2 billion (US$15.3 billion), a 2.6% increase from the full year 2020, due to an increase in the distribution of private secondary products.

      Product type

      Twelve months ended December 31,


      2020

      2021


      (RMB in billions, except percentages)






      Mutual fund products

      38.0

      40.1%

      37.1

      38.2%

      Private secondary products

      35.2

      37.1%

      37.8

      38.9%

      Private equity products

      17.9

      18.9%

      18.1

      18.6%

      Other products

      3.6

      3.9%

      4.2

      4.3%

      All products

      94.7

      100.0%

      97.2

      100.0%

      • Coverage network in mainland China included 84 cities as of December 31, 2021, compared with 81 cities as of September 30, 2021, and 80 cities as of December 31, 2020.
      • Number of relationship managers was 1,316 as of December 31, 2021, a 0.5% decrease from September 30, 2021, and a 6.9% increase from December 31, 2020.

      [3] "Active clients" for a given period refers to registered high net worth clients who purchase investment products distributed or provided by Noah during that given period, excluding clients who transacted only on our online mutual fund platform.

      [4] "Other products" refers to other investment products, which includes insurance products, multi-strategies products and others.

      Asset Management Business

      Our asset management business is conducted through Gopher Asset Management Co., Ltd. ("Gopher Asset Management"), a leading multi-asset manager in China with overseas offices in Hong Kong and the United States. Gopher Asset Management develops and manages assets ranging from private equity, real estate, public securities to multi-strategy investments denominated in RMB and other currencies. 

      • Total assets under management as of December 31, 2021 remained relatively stable in the amount of RMB156.0 billion (US$24.5 billion), compared with September 30, 2021 and grew 2.1% from December 31, 2020.

      Investment type

      As of
      September 30,
      2021


      Growth


      Allocation/

      Redemption


      As of
      December 31,
      2021


      (RMB billions, except percentages)

      Private equity

      130.4


      83.5%


      2.3


      1.8


      130.9


      83.9%

      Public securities[5]

      11.1


      7.1%


      1.2


      1.1


      11.2


      7.2%

      Real estate

      7.4


      4.7%


      0.1


      0.9


      6.6


      4.3%

      Multi-strategies

      5.8


      3.8%


      0.2


      0.1


      5.9


      3.8%

      Others

      1.4


      0.9%


      -


      -


      1.4


      0.8%

      All Investments

      156.1


      100.0%


      3.8


      3.9


      156.0


      100.0%



      Investment type

      As of
      December 31,
      2020


      Growth


      Allocation/

      Redemption


      As of
      December 31,
      2021


      (RMB billions, except percentages)

      Private equity

      117.7


      77.0%


      15.3


      2.1


      130.9


      83.9%

      Public securities

      9.8


      6.4%


      5.4


      4.0


      11.2


      7.2%

      Real estate

      12.7


      8.3%


      0.3


      6.4


      6.6


      4.3%

      Multi-strategies

      7.1


      4.6%


      1.0


      2.2


      5.9


      3.8%

      Others[6]

      5.5


      3.7%


      -


      4.1


      1.4


      0.8%

      All Investments

      152.8


      100.0%


      22.0


      18.8


      156.0


      100.0%

      [5] The allocation/redemption of public securities also includes market appreciation or depreciation.

      [6] Since the first quarter of 2021, we reclassified all remaining mezzanine financing products linked to corporate merger and acquisitions and buy outs from credit to private equity in the amount of RMB4.7 billion, considering its nature is more akin to equity than credit. We have also revised the comparative period presentation to conform to current period presentation.

      Other Businesses

      Our other businesses segment has been transitioned to "Noah Digital International", and to provide more comprehensive services and investment products to our clients.

      Ms. Jingbo Wang, co-founder and CEO of Noah, said, "Despite the market volatilities we experienced, Noah delivered record high net revenues in the fourth quarter of 2021. Total net revenues rose by 29.9% year-on-year, supported by higher one-time commissions, recurring service fees and performance based income. Our internal strategic investments into digitalization, talent acquisition and client services were all in line with the budget, and helped the Group to report a non-GAAP net income of RMB1.4 billion for the full year, exceeding the higher end of the guidance we had expected. Our clients remained active, with the number of total active clients increased by 25.0% year-on-year in 2021, and I am very happy to see the number of diamond card and black card clients grew 18.2% in 2021, indicating the positive results of our upgraded Noah Triangle client service model and our "client-centric" reform. I remain confident in Noah's capabilities and that our reform will help to gain more market share and core clients, as well as set a solid structural foundation for long-term growth."

      FOURTH QUARTER 2021 FINANCIAL RESULTS

      Net Revenues

      Net revenues for the fourth quarter of 2021 were RMB1,260.1 million (US$197.7 million), a 32.2% increase from the corresponding period in 2020, primarily driven by increased one-time commissions, recurring service fees and other service fees, and partially offset by decreased performance-based income.

      • Wealth Management Business
        • Net revenues from one-time commissions for the fourth quarter of 2021 were RMB472.0 million (US$74.1 million), a 100.2% increase from the corresponding period in 2020 due to an increase in insurance products distributed in fourth quarter of 2021.
        • Net revenues from recurring service fees for the fourth quarter of 2021 were RMB417.0 million (US$65.4 million), a 40.3% increase from the corresponding period in 2020. The increase was primarily due to accumulated effect of investment products previously distributed.
        • Net revenues from performance-based income for the fourth quarter of 2021 were RMB47.7 million (US$7.5 million), compared with RMB80.9 million from the corresponding period of 2020, primarily due to a decrease in performance-based income from public securities products.
        • Net revenues from other service fees for the fourth quarter of 2021 were RMB32.6 million (US$5.1 million), a 11.2% increase from the corresponding period in 2020.
      • Asset Management Business
        • Net revenues from recurring service fees for the fourth quarter of 2021 were RMB141.1 million (US$22.1 million), a 1.7% increase from the corresponding period in 2020. The increase was primarily due to an increase in assets under management.
        • Net revenues from performance-based income for the fourth quarter of 2021 were RMB125.4 million (US$19.7 million), remained relatively stable compared with the corresponding period in 2020, primarily generated from offshore private equity funds.
      • Other Businesses
        • Net revenues for the fourth quarter of 2021 were RMB17.0 million (US$2.7 million), compared with RMB4.0 million in the corresponding period in 2020.

      Operating Costs and Expenses

      Operating costs and expenses for the fourth quarter of 2021 were RMB1,127.8 million (US$177.0 million), a 82.6% increase from the corresponding period in 2020. Operating costs and expenses primarily consisted of compensation and benefits of RMB731.2 million (US$114.7 million), selling expenses of RMB139.9 million (US$22.0 million), general and administrative expenses of RMB148.0 million (US$23.2 million), provision of credit losses of RMB100.9 million (US$15.8 million) and other operating expenses of RMB19.6 million (US$3.1 million).

      • Operating costs and expenses for the wealth management business for the fourth quarter of 2021 were RMB785.7 million (US$123.3 million), a 79.8% increase from the corresponding period in 2020 primarily due to an increase in compensation and benefits, selling expenses and general and administrative expenses.
      • Operating costs and expenses for the asset management business for the fourth quarter of 2021 were RMB193.0 million (US$30.3 million), a 25.2% increase from the corresponding period in 2020, primarily due to an increase in selling expenses and provision for credit losses.
      • Operating costs and expenses for other businesses for the fourth quarter of 2021 were RMB149.0 million (US$23.4 million), a 458.9% increase from the corresponding period in 2020, primarily due to a provision of credit loss of RMB85.6 million for loan receivables.

      Operating Margin

      Operating margin for the fourth quarter of 2021 was 10.5%, compared with 35.2% for the corresponding period in 2020.

      • Operating margin for the wealth management business for the fourth quarter of 2021 was 18.9%, compared with 32.1% for the corresponding period in 2020, due to continuously budgeted investments into the acquisition and retaining of talents, as well as the upgrade of client experiences and multiple systems.
      • Operating margin for the asset management business for the fourth quarter of 2021 was 29.5%, compared with 49.6% for the corresponding period in 2020 due to continuously budgeted investments in client events activity and talents.
      • Loss from other businesses for the fourth quarter of 2021 was RMB132.1 million (US$20.7 million), compared with RMB22.7 million in the corresponding period of 2020 due to increased provision for credit losses.

      Investment Income

      Investment Income for the fourth quarter of 2021 was RMB3.5 million (US$0.5 million), compared with investment loss of RMB109.4 million for the corresponding period in 2020. The loss in 2020 was primarily due to an impairment of certain long-term investment.

      Income Tax Expenses

      Income tax expenses for the fourth quarter of 2021 were RMB35.3 million (US$5.5 million), a 28.8% increase from the corresponding period in 2020, primarily due to higher taxable income. 

      Income from Equity in Affiliates

      Income from equity in affiliates for the fourth quarter of 2021 was RMB160.5 million (US$25.2 million), compared with RMB39.8 million in the corresponding period in 2020. The increase was primarily due to fair value increase of the underling investments of the funds that we manage. We are still reviewing the financial results of the funds of funds we manage and invest in as the general partner or manager. Although we do not anticipate material variance barring unexpected fluctuations in the portfolio companies' performance, any potential changes in fair value of those investments could affect the income from equity in affiliates.

      Net Income

      • Net Income
        • Net income for the fourth quarter of 2021 was RMB273.9 million (US$43.0 million), compared to net loss of RMB1,572.9 million from the corresponding period in 2020.
        • Net margin for the fourth quarter of 2021 was 21.7%, compared with negative net margin for the corresponding period in 2020.
        • Net income attributable to Noah shareholders for the fourth quarter of 2021 was RMB281.3 million (US$44.1 million), compared to net loss attributable to Noah shareholders of RMB1,573.5 million from the corresponding period in 2020.
        • Net margin attributable to Noah shareholders for the fourth quarter of 2021 was 22.3%, compared with negative for the corresponding period in 2020.
        • Net income attributable to Noah shareholders per basic and diluted ADS for the fourth quarter of 2021 was RMB4.18 (US$0.66) and RMB4.16 (US$0.65), respectively, compared with net loss attributable to Noah shareholders per basic and diluted ADS of RMB24.92, for the corresponding period in 2020.
      • Non-GAAP Net Income Attributable to Noah Shareholders
        • Non-GAAP net income attributable to Noah shareholders for the fourth quarter of 2021 was RMB289.6 million (US$45.4 million), a 10.3% increase from the corresponding period in 2020.
        • Non-GAAP net margin attributable to Noah shareholders for the fourth quarter of 2021 was 23.0%, down from 27.5% for the corresponding period in 2020.
        • Non-GAAP net income attributable to Noah shareholders per diluted ADS for the fourth quarter of 2021 was RMB4.28 (US$0.67), up from RMB4.13 for the corresponding period in 2020.

      FULL YEAR 2021 FINANCIAL RESULTS

      Net Revenues

      Net revenues for the full year 2021 were RMB4,293.1 million (US$673.7 million), a 29.9% increase from the full year 2020, primarily due to an increase in one-time commissions, recurring service fees and performance-based income, and partially offset by a decrease in other service fees. 

      • Wealth Management Business
        • Net revenues from one-time commissions for 2021 were RMB1,174.6 million (US$184.3 million), a 54.1% increase from 2020, primarily due to more insurance products that we distributed.
        • Net revenues from recurring service fees for 2021 were RMB1,461.8 million (US$229.4 million), a 14.4% increase from 2020. The increase was primarily due to the cumulative effect of investment products with recurring service fees previously distributed.
        • Net revenues from performance-based income for 2021 were RMB466.6 million (US$73.2 million), a 128.5% increase from 2020, primarily due to an increase in performance-based income from public securities products.
        • Net revenues from other service fees for 2021 were RMB91.9 million (US$14.4 million), a 25.2% decrease from 2020, primarily due to less service fees recorded from lending business since we significantly reduced this business since the second half year of 2019.
      • Asset Management Business
        • Net revenues from recurring service fees for 2021 were RMB636.4 million (US$99.9 million), a 0.9% decrease from 2020.
        • Net revenues from performance-based income for 2021 were RMB313.6 million (US$49.2 million), a 71.1% increase from 2020, primarily due to an increase in performance-based income from private equity fund products.
      • Other Businesses
        • Net revenues for 2021 were RMB56.7 million (US$8.9 million), a 11.4% decrease from 2020.

      Operating costs and expenses

      Operating costs and expenses for 2021 were RMB3,094.2 million (US$485.5 million), a 51.1% increase from the full year 2020. Operating costs and expenses for the full year 2021 primarily consisted of compensation and benefits of RMB2,168.9 million (US$340.3 million), selling expenses of RMB437.1 million (US$68.6 million), general and administrative expenses of RMB383.3 million (US$60.2 million), provision for credit losses of RMB113.0 million (US$17.7 million) and other operating expenses of RMB107.8 million (US$16.9 million).

      • Operating costs and expenses for the wealth management business for 2021 were RMB2,273.4 million (US$356.7 million), a 46.8% increase from 2020, primarily due to an increase in compensation and benefits, as well as selling expenses.
      • Operating costs and expenses for the asset management business for 2021 were RMB556.2 million (US$87.3 million), a 33.8% increase from 2020, primarily due to an increase in compensation and benefits, as well as selling expenses.
      • Operating costs and expenses for other businesses for 2021 were RMB264.6 million (US$41.5 million), a 219.5% increase from 2020, primarily due to an increase in provision for credit losses.

      Operating Margin

      Operating margin for the full year 2021 was 27.9%, compared to 38.1% for the full year 2020.

      • Operating margin for the wealth management business for 2021 was 28.8%, compared to 34.5% for 2020, mainly due to continuously budgeted investments in our talents and client experiences as well as less expenses incurred in 2020 due to the COVID-19 pandemic.
      • Operating margin for the asset management business for 2021 was 46.6%, compared to 52.5% for 2020, due to less expenses incurred in 2020 due to the COVID-19 pandemic.
      • Loss from other businesses for 2021 was RMB207.8 million (US$32.6 million), compared with RMB18.8 million for 2020 due to increased provision of credit losses.

      Investment Income

      Investment income for the full year 2021 was RMB65.4 million (US$10.3 million), compared with investment loss of RMB86.4 million for the full year 2020. The investment loss was primarily due to an impairment of certain long-term investment.

      Income Tax Expenses

      Income tax expenses for the full year 2021 were RMB293.9 million (US$46.1 million), a 13.7% increase from the full year 2020 due to higher taxable income.

      Income from Equity in Affiliates

      Income from equity in affiliates for the full year 2021 was RMB302.0 million (US$47.4 million), compared with RMB100.3 million in the corresponding period in 2020. The increase was primarily due to fair value increase of the underling investments of the funds that we manage. We are still reviewing the financial results of the funds of funds we manage and invest in as the general partner or manager. Although we do not anticipate material variance barring unexpected fluctuations in the portfolio companies' performance, any potential changes in fair value of those investments could affect the income from equity in affiliates.

      Net Income

      • Net Income
        • Net income for the full year 2021 was RMB1,306.1 million (US$205.0 million), compared with net loss of RMB743.5 million from the full year 2020.
        • Net margin for the full year 2021 was 30.4%, compared with negative net margin for the full year 2020.
        • Net income attributable to Noah shareholders for the full year 2021 was RMB1,314.1 million (US$206.2 million), compared to net loss attributable to Noah shareholders of RMB745.2 million for the full year 2020.
        • Net margin attributable to Noah shareholders for the full year 2021 was 30.6%, compared with negative for the full year 2020.
        • Net income attributable to Noah shareholders per basic and diluted ADS for the full year 2021 was RMB19.56 (US$3.07) and RMB19.45 (US$3.05), respectively, compared with net loss attributable to Noah shareholders per basic and diluted ADS of RMB12.01, for the full year 2020.
      • Non-GAAP Net Income Attributable to Noah Shareholders
        • Non-GAAP net income attributable to Noah shareholders for the full year 2021 was RMB1,372.7 million (US$215.4 million), a 21.5% increase from the full year 2020.
        • Non-GAAP net margin attributable to Noah shareholders for the full year 2021 was 32.0%, down from 34.2% for the full year 2020.
        • Non-GAAP net income attributable to Noah shareholders per diluted ADS for the full year 2021 was RMB20.32 (US$3.19), up from RMB18.12 for the full year 2020.

      BALANCE SHEET AND CASH FLOW

      As of December 31, 2021, the Company had RMB3,404.6 million (US$534.2 million) in cash and cash equivalents, compared with RMB5,005.2 million as of December 31, 2020 and RMB2,829.5 million as of September 30, 2021.

      Net cash inflow from the Company's operating activities during the fourth quarter of 2021 was RMB659.2 million (US$103.4 million), compared to RMB568.3 million in the corresponding period in 2020. Net cash inflow from the Company's operating activities during the full year 2021 was RMB1,521.8 million (US$238.8 million), compared to RMB796.3 million during the full year 2020, the variance was mainly due to an increase in net income.

      Net cash outflow from the Company's investing activities during the fourth quarter of 2021 was RMB67.4 million (US$10.6 million), compared to net cash inflow of RMB189.5 million in the corresponding period in 2020. Net cash outflow from the Company's investing activities during the full year 2021 was RMB2,572.1 million (US$403.6 million), compared to net cash inflow of RMB352.6 million during the full year 2020, due to cash payment for the acquisition of our new headquarter in 2021.

      Net cash inflow from the Company's financing activities was RMB20.9 million (US$3.3 million) in the fourth quarter of 2021, compared to net cash outflow of RMB255.4 million in the corresponding period in 2020, primarily due to the share repurchase program that started in December 2020. Net cash outflow from the Company's financing activities during the full year 2021 was RMB513.1 million (US$80.5 million), compared to RMB371.4 million cash outflow during the full year 2020. The cash outflow for both 2020 and 2021 was mainly due to the share repurchase program that lasted from December 2020 till February 2021.

      NOTE TO FINANCIAL INFORMATION

      As of the date of this press release, we are still in the process of reviewing the financial results of the funds of funds we manage and invest in as the general partner or manager.  Any changes in the fair value of those investments could affect the income from equity in affiliates, net income, net income attributable to Noah shareholders, income per ADS and the balance of investments in affiliates in our consolidated financial statements. While not included in the unaudited preliminary fourth quarter 2021 financial results in this press release, we will include any such fair value adjustments in the audited consolidated financial statements in our 2021 Form 20-F and will make a subsequent announcement when our review concludes, as appropriate.

      2022 FORECAST

      Although the pandemic continued to impact the distribution of offshore insurance products and the market remain volatile, the Company is happy to see a growing demand in domestic insurance products, a higher performance based income from PE/VC products we previously distributed, a stabilized AUM after a successful standardization transformation, as well as an increase in diamond and black card clients. Therefore, we are reasonably optimistic about the growth in the number of core clients, net revenues as well as take rate in 2022. Meanwhile, we remain committed to our investments in technology, investment research capabilities and talents to realize growth potentials and capture market opportunities. Given the above considerations, the non-GAAP net income attributable to Noah shareholders for the full year 2021 will be in the range of RMB1.45 billion to RMB1.55 billion. This forecast reflects management's current business outlook and is subject to further change.

      CONFERENCE CALL

      Senior management will host a combined English and Chinese language conference call to discuss the Company's fourth quarter and full year 2021 unaudited financial results and recent business activities.

      The conference call may be accessed with the following details:

      Conference call details



      Date/Time:

      Monday, March 14, 2022 at 8:00 p.m., U.S. Eastern Time

      Tuesday, March 15, 2022 at 8:00 a.m., Hong Kong Time

      Dial in details:


      - United States Toll Free

      +1 888-317-6003

      - Mainland China Toll Free

      4001-206-115

      - Hong Kong Toll Free

      800-963-976

      - International

      +1-412-317-6061

      Conference Title:

      Noah Holdings 4Q21 Earnings Conference Call

      Participant Password:

      6337898

      A telephone replay will be available starting approximately one hour after the end of the conference call until March 22, 2022 at +1-877-344-7529 (US Toll Free) or +1-412-317-0088 (International Toll). The replay access code is 1095282.

      A live and archived webcast of the conference call will be available at Noah's investor relations website under the Announcements & Events section at http://ir.noahgroup.com.

      DISCUSSION ON NON-GAAP MEASURES       

      In addition to disclosing financial results prepared in accordance with U.S. GAAP, the Company's earnings release contains non-GAAP financial measures excluding the effects of all forms of share-based compensation, non-recurring settlement expense and net of tax impact, if any. See "Reconciliation of GAAP to Non-GAAP Results" at the end of this press release.

      The non-GAAP financial measures disclosed by the Company should not be considered a substitute for financial measures prepared in accordance with U.S. GAAP. The financial results reported in accordance with U.S. GAAP and reconciliation of GAAP to non-GAAP results should be carefully evaluated. The non-GAAP financial measures used by the Company may be prepared differently from and, therefore, may not be comparable to similarly titled measures used by other companies.

      When evaluating the Company's operating performance in the periods presented, management reviewed the foregoing non-GAAP net income attributable to Noah shareholders and per diluted ADS and non-GAAP net margin attributable to Noah shareholders to supplement U.S. GAAP financial data. As such, the Company's management believes that the presentation of the non-GAAP financial measures provides important supplemental information to investors regarding financial and business trends relating to its results of operations in a manner consistent with that used by management.  

      ABOUT NOAH HOLDINGS LIMITED

      Noah Holdings Limited (NYSE: NOAH) is a leading and pioneer wealth management service provider in China offering comprehensive one-stop advisory services on global investment and asset allocation primarily for high net worth investors. In the full year 2021, Noah distributed RMB97.2 billion (US$15.3 billion) of investment products. Through Gopher Asset Management, Noah had assets under management of RMB156.0 billion (US$24.5 billion) as of December 31, 2021.

      Noah's wealth management business primarily distributes diversified investment products denominated in RMB and other currencies. Noah delivers customized financial solutions to clients through a network of 1,316 relationship managers across 84 cities in mainland China, and serves the international investment needs of its clients through offices in Hong Kong, Taiwan, New York, Silicon Valley and Singapore. As a leading alternative multi-asset manager in China, Gopher Asset Management develops and manages assets ranging from private equity, public securities, real estate, multi-strategy to other investments denominated in Renminbi and other currencies. The Company also provides other businesses.

      For more information, please visit Noah at ir.noahgroup.com.

      FOREIGN CURRENCY TRANSLATION

      In this announcement, the unaudited financial results for the fourth quarter of 2021 and full year ended December 31, 2021 are stated in RMB. This announcement contains currency conversions of certain RMB amounts into US$ at specified rates solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to US$ are made at a rate of RMB6.3726 to US$1.00, the effective noon buying rate for December 30, 2021 as set forth in the H.10 statistical release of the Federal Reserve Board.

      SAFE HARBOR STATEMENT

      This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "confident" and similar statements. Among other things, the outlook for 2022 and quotations from management in this announcement, as well as Noah's strategic and operational plans, contain forward-looking statements. Noah may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about Noah's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause Noah's actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: its goals and strategies; its future business development, financial condition and results of operations; the expected growth of the wealth management and asset management market in China and internationally; its expectations regarding demand for and market acceptance of the products it distributes; investment risks associated with investment products distributed to Noah's investors, including the risk of default by counterparties or loss of value due to market or business conditions or misconduct by counterparties; its expectations regarding keeping and strengthening its relationships with key clients; relevant government policies and regulations relating to its industries; its ability to attract and retain qualified employees; its ability to stay abreast of market trends and technological advances; its plans to invest in research and development to enhance its product choices and service offerings; competition in its industries in China and internationally; general economic and business conditions in China; and its ability to effectively protect its intellectual property rights and not to infringe on the intellectual property rights of others. Further information regarding these and other risks is included in Noah's filings with the U.S. Securities and Exchange Commission, including its annual reports on Form 20-F. All information provided in this press release and in the attachments is as of the date of this press release, and Noah does not undertake any obligation to update any such information, including forward-looking statements, as a result of new information, future events or otherwise, except as required under the applicable law.

      Contacts:

      Noah Holdings Limited
      Sonia Han
      Tel: +86-21-8035-9221
      [email protected]

      -- FINANCIAL AND OPERATIONAL TABLES FOLLOW --

      Noah Holdings Limited

      Condensed Consolidated Balance Sheets

      (unaudited)


      As of


      September 30,


      December 31,


      December 31,


      2021


      2021


      2021


      RMB'000


      RMB'000


      USD'000

      Assets







      Current assets:








      Cash and cash equivalents

      2,829,481


      3,404,603


      534,257



      Restricted cash

      3,227


      510


      80



      Short-term investments

      108,313


      92,803


      14,563



      Accounts receivable, net

      504,113


      808,029


      126,797



      Loans receivable, net

      634,774


      595,766


      93,489



      Amounts due from related parties

      594,047


      451,389


      70,833



      Other current assets

      209,933


      163,710


      25,690



      Total current assets

      4,883,888


      5,516,810


      865,709


      Long-term investments, net

      665,237


      668,572


      104,914


      Investment in affiliates

      1,296,559


      1,402,083


      220,017


      Property and equipment, net

      2,619,768


      2,580,935


      405,005


      Operating lease right-of-use assets, net

      242,660


      223,652


      35,096


      Deferred tax assets

      223,803


      335,905


      52,711


      Other non-current assets

      171,114


      161,832


      25,395

      Total Assets

      10,103,029


      10,889,789


      1,708,847







      Liabilities and Equity







      Current liabilities:








      Accrued payroll and welfare expenses

      514,420


      946,547


      148,534



      Income tax payable

      105,132


      190,260


      29,856



      Deferred revenues

      103,807


      63,631


      9,985



      Contingent liabilities

      444,935


      433,345


      68,001



      Other current liabilities

      529,049


      649,255


      101,882



      Total current liabilities

      1,697,343


      2,283,038


      358,258


      Operating lease liabilities, non-current

      155,882


      130,956


      20,550


      Deferred tax liabilities

      239,536


      234,134


      36,741


      Other non-current liabilities

      113,670


      100,020


      15,695


      Total Liabilities 

      2,206,431


      2,748,148


      431,244


      Equity

      7,896,598


      8,141,641


      1,277,603

      Total Liabilities and Equity

      10,103,029


      10,889,789


      1,708,847

      Noah Holdings Limited

      Condensed Consolidated Income Statements

      (unaudited)


      Three months ended 


      December 31,


      December 31,


      December 31,


      Change


      2020


      2021


      2021



      Revenues:

      RMB'000


      RMB'000


      USD'000



      Revenues from others:








      One-time commissions

      229,744


      472,566


      74,156


      105.7%

      Recurring service fees

      199,372


      214,835


      33,712


      7.8%

      Performance-based income

      81,488


      42,115


      6,609


      (48.3%)

      Other service fees

      39,361


      54,296


      8,520


      37.9%

      Total revenues from others

      549,965


      783,812


      122,997


      42.5%

      Revenues from funds Gopher manages:








      One-time commissions

      43,531


      9,886


      1,551


      (77.3%)

      Recurring service fees

      239,144


      346,747


      54,412


      45.0%

      Performance-based income

      126,382


      131,988


      20,712


      4.4%

      Total revenues from funds
         Gopher manages

      409,057


      488,621





      76,675

      19.5%

      Total revenues

      959,022


      1,272,433


      199,672


      32.7%

      Less: VAT related surcharges 

      (5,805)


      (12,379)


      (1,943)


      113.2%

      Net revenues

      953,217


      1,260,054


      197,729


      32.2%

      Operating costs and expenses:








      Compensation and benefits








      Relationship manager
      compensation








      (185,926)

      (382,160)

      (59,969)

      105.5%

      Others

      (259,872)


      (349,004)


      (54,766)


      34.3%

      Total compensation and
         benefits








      (445,798)

      (731,164)

      (114,735)

      64.0%

      Selling expenses

      (94,648)


      (139,906)


      (21,954)


      47.8%

      General and administrative
         expenses 








      (84,036)

      (148,015)

      (23,227)

      76.1%

      Reversal (Provision) for credit
         losses








      1,789

      (100,858)

      (15,827)

      N.A.

      Other operating expenses 

      (22,579)


      (19,644)


      (3,083)


      (13.0%)

      Government grants 

      27,518


      11,821


      1,855


      (57.0%)

      Total operating costs and
         expenses 








      (617,754)

      (1,127,766)

      (176,971)

      82.6%

      Income from operations 

      335,463


      132,288


      20,758


      (60.6%)

      Other income (expense):








      Interest income 

      22,537


      14,571


      2,287


      (35.3%)

      Investment (loss) income 

      (109,397)


      3,469


      544


      N.A.

      Settlement (expense) reversal

      (1,828,907)


      719


      113


      N.A.

      Other expense

      (5,033)


      (2,313)


      (363)


      (54.0%)

      Total other (expense) income 

      (1,920,800)


      16,446


      2,581


      N.A.

      (Loss) income before taxes and
         income from equity in
         affiliates

      (1,585,337)






      N.A.





      148,734

      23,339

      Income tax expense

      (27,430)


      (35,329)


      (5,544)


      28.8%

      Income from equity in affiliates

      39,836


      160,510


      25,188


      302.9%

      Net (loss) income 

      (1,572,931)


      273,915


      42,983


      N.A.

      Less: net income (loss)
         attributable to non-controlling
         interests












      576

      (7,397)

      (1,161)

      N.A.

      Net (loss) income attributable
         to Noah shareholders 

      (1,573,507)






      N.A.



      281,312

      44,144









      (Loss) income  per ADS, basic

      (24.92)


      4.18


      0.66


      N.A.

      (Loss) Income per ADS, diluted

      (24.92)


      4.16


      0.65


      N.A.









      Margin analysis:

      Operating margin

      35.2%


      10.5%


      10.5%



      Net margin

      (165.0%)


      21.7%


      21.7%











      Weighted average ADS
         equivalent[1]:

      Basic

      63,149,844


      67,348,790


      67,348,790



      Diluted

      63,149,844


      67,700,437


      67,700,437



      ADS equivalent outstanding at
         end of period








      61,088,680

      60,338,054

      60,338,054










      [1] Assumes all outstanding ordinary shares are represented by ADSs. Each ordinary share represents two ADSs.

      Noah Holdings Limited

      Condensed Consolidated Income Statements

      (unaudited)


      Twelve months ended 


      December 31,


      December 31,


      December 31,


      Change


      2020


      2021


      2021



      Revenues:

      RMB'000


      RMB'000


      USD'000



      Revenues from others:








      One-time commissions

      679,014


      1,130,894


      177,462


      66.5%

      Recurring service fees

      700,157


      913,700


      143,379


      30.5%

      Performance-based income

      180,529


      391,903


      61,498


      117.1%

      Other service fees

      196,151


      161,982


      25,419


      (17.4%)

      Total revenues from others

      1,755,851


      2,598,479


      407,758


      48.0%

      Revenues from funds Gopher
        manages:








      One-time commissions

      129,823


      140,522


      22,051


      8.2%

      Recurring service fees

      1,230,042


      1,195,309


      187,570


      (2.8%)

      Performance-based income

      208,996


      392,290


      61,559


      87.7%

      Total revenues from funds
         Gopher manages

      1,568,861







      1,728,121

      271,180

      10.2%

      Total revenues

      3,324,712


      4,326,600


      678,938


      30.1%

      Less: VAT related surcharges 

      (18,886)


      (33,506)


      (5,258)


      77.4%

      Net revenues

      3,305,826


      4,293,094


      673,680


      29.9%

      Operating costs and expenses:








      Compensation and benefits








      Relationship manager
      compensation








      (613,999)

      (920,896)

      (144,509)

      50.0%

      Others

      (890,013)


      (1,247,984)


      (195,836)


      40.2%

      Total compensation and
         benefits








      (1,504,012)

      (2,168,880)

      (340,345)

      44.2%

      Selling expenses

      (271,692)


      (437,131)


      (68,595)


      60.9%

      General and administrative
         expenses 








      (277,879)

      (383,321)

      (60,151)

      37.9%

      Provision for credit losses

      (8,083)


      (112,959)


      (17,726)


      1,297.5%

      Other operating expenses 

      (99,040)


      (107,844)


      (16,923)


      8.9%

      Government grants 

      113,356


      115,939


      18,193


      2.3%

      Total operating costs and
         expenses 








      (2,047,350)

      (3,094,196)

      (485,547)

      51.1%

      Income from operations 

      1,258,476


      1,198,898


      188,133


      (4.7%)

      Other income (expense):








      Interest income 

      67,317


      71,866


      11,277


      6.8%

      Investment (loss) income 

      (86,369)


      65,426


      10,267


      N.A.

      Settlement expenses

      (1,828,907)


      (19,908)


      (3,124)


      (98.9%)

      Other income (expense)

      4,164


      (18,240)


      (2,862)


      N.A.

      Total other (expense) income 

      (1,843,795)


      99,144


      15,558


      N.A.

      (Loss) Income before taxes and
         income from equity in
         affiliates

      (585,319)






      N.A.





      1,298,042

      203,691

      Income tax expense

      (258,460)


      (293,940)


      (46,126)


      13.7%

      Income from equity in affiliates

      100,257


      301,979


      47,387


      201.2%

      Net (loss) income 

      (743,522)


      1,306,081


      204,952


      N.A.

      Less: net income (loss)
         attributable to non-controlling
         interests












      1,703

      (8,050)

      (1,263)

      N.A.

      Net (loss) income attributable
         to Noah shareholders 

      (745,225)






      N.A.

      1,314,131

      206,215









      (Loss) income per ADS, basic

      (12.01)


      19.56


      3.07


      N.A.

      (Loss) income per ADS, diluted

      (12.01)


      19.45


      3.05


      N.A.









      Margin analysis:

      Operating margin

      38.1%


      27.9%


      27.9%



      Net margin

      (22.5%)


      30.4%


      30.4%











      Weighted average ADS equivalent[1]:

      Basic

      62,040,878


      67,171,636


      67,171,636



      Diluted

      62,040,878


      67,563,546


      67,563,546



      ADS equivalent outstanding at
         end of period








      61,088,680

      60,338,054

      60,338,054










      [1] Assumes all outstanding ordinary shares are represented by ADSs. Each ordinary share represents two ADSs.

      Noah Holdings Limited

      Condensed Comprehensive Income Statements

      (unaudited)


      Three months ended 




      December 31,


      December 31,


      December 31,


      Change


      2020


      2021


      2021




      RMB'000


      RMB'000


      USD'000



      Net (loss) income

      (1,572,931)


      273,915


      42,983


      N.A.

      Other comprehensive income, net of tax:








      Foreign currency translation adjustments

      (98,385)


      (14,094)


      (2,212)


      (85.7%)

      Fair value fluctuation of available for sale
      Investment (after tax)

      -


      (243)


      (38)


      N.A.

      Comprehensive (loss) income

      (1,671,316)


      259,578


      40,733


      N.A.

      Less: Comprehensive income (loss)
      attributable to non-controlling interests

      469


      (7,366)


      (1,156)


      N.A.

      Comprehensive (loss) income
      attributable to Noah
      shareholders

      (1,671,785)


      266,944


      41,889


      N.A.





















      Noah Holdings Limited

      Condensed Comprehensive Income Statements

      (unaudited)


      Twelve months ended 




      December 31,


      December 31,


      December 31,


      Change


      2020


      2021


      2021




      RMB'000


      RMB'000


      USD'000



      Net (loss) income

      (743,522)


      1,306,081


      204,952


      N.A.

      Other comprehensive income, net of tax:








      Foreign currency translation adjustments

      (176,910)


      (60,851)


      (9,549)


      (65.6%)

      Fair value fluctuation of available for sale
      Investment (after tax)

      771


      -


      -


      N.A.

      Comprehensive (loss) income

      (919,661)


      1,245,230


      195,403


      N.A.

      Less: Comprehensive income (loss)
      attributable to non-controlling interests

      1,727


      (8,001)


      (1,256)


      N.A.

      Comprehensive (loss) income
      attributable to Noah
      shareholders

      (921,388)


      1,253,231


      196,659


      N.A.











      Noah Holdings Limited

      Supplemental Information

      (unaudited)


      As of




      December 31,
      2020


      December 31,
      2021


      Change







      Number of registered clients 

      360,637


      411,981


      14.2%

      Number of relationship managers 

      1,231


      1,316


      6.9%

      Number of cities in mainland China under 
         coverage

      80


      84


      5.0%








      Three months ended




      December 31,
      2020


      December 31,
      2021


      Change


      (in millions of RMB, except number of active clients and percentages)

      Number of active clients

      5,268


      3,575


      (32.1%)

      Number of active clients including mutual
        
      fund-only clients

      19,501


      17,456


      (10.5%)

      Transaction value:






      Private equity products

      5,172


      3,041


      (41.2%)

      Private secondary products

      7,977


      6,659


      (16.5%)

      Mutual fund products

      7,240


      10,207


      41.0%

      Other products

      930


      1,136


      22.2%

      Total transaction value

      21,319


      21,043


      (1.3%)








      Twelve months ended




      December 31,
      2020


      December 31,
      2021


      Change


      (in millions of RMB, except number of active clients and percentages)

      Number of active clients

      12,161


      12,831


      5.5%

      Number of active clients including mutual
        
      fund-only clients

      34,213


      42,764


      25.0%

      Transaction value:






      Private equity products

      17,876


      18,069


      1.1%

      Private secondary products

      35,162


      37,776


      7.4%

      Mutual fund products

      37,981


      37,169


      (2.1%)

      Other products

      3,717


      4,189


      12.7%

      Total transaction value

      94,736


      97,203


      2.6%

      Noah Holdings Limited

      Segment Condensed Income Statements

       (unaudited)


               Three months ended December 31, 2021


      Wealth
      Management

       Business


      Asset
      Management

      Business


      Other
      Businesses


      Total


      RMB'000


      RMB'000


      RMB'000


      RMB'000









      Revenues:








      Revenues from others








      One-time commissions

      472,566


      -


      -


      472,566

      Recurring service fees

      214,835


      -


      -


      214,835

      Performance-based income

      42,115


      -


      -


      42,115

      Other service fees

      32,814


      -


      21,482


      54,296

      Total revenues from others

      762,330


      -


      21,482


      783,812

      Revenues from funds Gopher manages








      One-time commissions

      2,488


      7,398


      -


      9,886

      Recurring service fees

      204,919


      141,828


      -


      346,747

      Performance-based income

      5,905


      126,083


      -


      131,988

      Total revenues from funds Gopher
         manages 

      213,312


      275,309


      -


      488,621

      Total revenues

      975,642


      275,309


      21,482


      1,272,433

      Less: VAT related surcharges

      (6,358)


      (1,496)


      (4,525)


      (12,379)

      Net revenues

      969,284


      273,813


      16,957


      1,260,054

      Operating costs and expenses:








      Compensation and benefits








      Relationship managers

      (371,788)


      (10,372)


      -


      (382,160)

      Others

      (204,386)


      (127,455)


      (17,163)


      (349,004)

      Total compensation and benefits

      (576,174)


      (137,827)


      (17,163)


      (731,164)

      Selling expenses

      (112,287)


      (19,709)


      (7,910)


      (139,906)

      General and administrative
        expenses

      (103,142)


      (22,247)


      (22,626)


      (148,015)

      Provision for credit losses

      (2,691)


      (12,574)


      (85,593)


      (100,858)

      Other operating expenses

      (2,507)


      (687)


      (16,450)


      (19,644)

      Government grants

      11,101


      13


      707


      11,821

      Total operating costs and expenses

      (785,700)


      (193,031)


      (149,035)


      (1,127,766)

      Income (loss) from operations

      183,584


      80,782


      (132,078)


      132,288

      Noah Holdings Limited


      Segment Condensed Income Statements


      (unaudited)





      Three months ended December 31, 2020



      Wealth
      Management
      Business


      Asset
      Management
      Business


      Other
      Businesses


      Total


      RMB'000


      RMB'000


      RMB'000


      RMB'000









      Revenues:








      Revenues from others








      One-time commissions

      229,418


      326


      -


      229,744

      Recurring service fees

      198,347


      1,025


      -


      199,372

      Performance-based income

      81,351


      137


      -


      81,488

      Other service fees

      29,484


      5,804


      4,073


      39,361

      Total revenues from others

      538,600


      7,292


      4,073


      549,965

      Revenues from funds Gopher
        manages








      One-time commissions

      7,710


      35,821


      -


      43,531

      Recurring service fees

      100,651


      138,493


      -


      239,144

      Performance-based income

      -


      126,382


      -


      126,382

      Total revenues from funds Gopher
        manages

      108,361


      300,696


      -


      409,057

      Total revenues

      646,961


      307,988


      4,073


      959,022

      Less: VAT related surcharges 

      (3,770)


      (1,957)


      (78)


      (5,805)

      Net revenues

      643,191


      306,031


      3,995


      953,217

      Operating costs and expenses:








      Compensation and benefits








      Relationship managers

      (185,471)


      -


      (455)


      (185,926)

      Others

      (120,349)


      (124,714)


      (14,809)


      (259,872)

      Total compensation and benefits

      (305,820)


      (124,714)


      (15,264)


      (445,798)

      Selling expenses

      (84,160)


      (9,822)


      (666)


      (94,648)

      General and administrative
        expenses 

      (58,837)


      (18,291)


      (6,908)


      (84,036)

      Provision for doubtful credit looses

      3,113


      (251)


      (1,073)


      1,789

      Other operating expenses

      (18,287)


      (1,435)


      (2,857)


      (22,579)

      Government grants 

      27,100


      316


      102


      27,518

      Total operating costs and expenses 

      (436,891)


      (154,197)


      (26,666)


      (617,754)

      Income (loss) from operations

      206,300


      151,834


      (22,671)


      335,463










      Noah Holdings Limited


      Segment Condensed Income Statements


      (unaudited)





      Twelve months ended December 31, 2021



      Wealth
      Management
      Business


      Asset
      Management
      Business


      Other
      Businesses


      Total


      RMB'000


      RMB'000


      RMB'000


      RMB'000









      Revenues:








      Revenues from others








      One-time commissions

      1,130,653


      241


      -


      1,130,894

      Recurring service fees

      912,506


      1,194


      -


      913,700

      Performance-based income

      391,903


      -


      -


      391,903

      Other service fees

      92,352


      1,390


      68,240


      161,982

      Total revenues from others

      2,527,414


      2,825


      68,240


      2,598,479

      Revenues from funds Gopher
        manages








      One-time commissions

      50,247


      90,275


      -


      140,522

      Recurring service fees

      557,094


      638,215


      -


      1,195,309

      Performance-based income

      77,218


      315,072


      -


      392,290

      Total revenues from funds Gopher
         manages

      684,559


      1,043,562


      -


      1,728,121

      Total revenues

      3,211,973


      1,046,387


      68,240


      4,326,600

      Less: VAT related surcharges 

      (17,076)


      (4,923)


      (11,507)


      (33,506)

      Net revenues

      3,194,897


      1,041,464


      56,733


      4,293,094

      Operating costs and expenses:








      Compensation and benefits








      Relationship managers

      (900,921)


      (19,975)


      -


      (920,896)

      Others

      (753,368)


      (430,059)


      (64,557)


      (1,247,984)

      Total compensation and benefits

      (1,654,289)


      (450,034)


      (64,557)


      (2,168,880)

      Selling expenses

      (354,128)


      (55,790)


      (27,213)


      (437,131)

      General and administrative
        expenses 

      (270,253)


      (70,686)


      (42,382)


      (383,321)

      Provision for credit losses

      (6,490)


      (13,275)


      (93,194)


      (112,959)

      Other operating expenses

      (53,616)


      (4,347)


      (49,881)


      (107,844)

      Government grants 

      65,368


      37,905


      12,666


      115,939

      Total operating costs and expenses 

      (2,273,408)


      (556,227)


      (264,561)


      (3,094,196)

      Income (loss) from operations

      921,489


      485,237


      (207,828)


      1,198,898











      Noah Holdings Limited


      Segment Condensed Income Statements


      (unaudited)





      Twelve months ended December 31, 2020



      Wealth
      Management
      Business


      Asset
      Management
      Business


      Other
      Businesses


      Total


      RMB'000


      RMB'000


      RMB'000


      RMB'000









      Revenues:








      Revenues from others








      One-time commissions

      677,726


      1,288


      -


      679,014

      Recurring service fees

      697,140


      3,017


      -


      700,157

      Performance-based income

      180,385


      144


      -


      180,529

      Other service fees

      123,458


      7,451


      65,242


      196,151

      Total revenues from others

      1,678,709


      11,900


      65,242


      1,755,851

      Revenues from funds Gopher
        manages








      One-time commissions

      88,520


      41,303


      -


      129,823

      Recurring service fees

      587,307


      642,735


      -


      1,230,042

      Performance-based income

      24,920


      184,076


      -


      208,996

      Total revenues from funds Gopher
        manages

      700,747


      868,114


      -


      1,568,861

      Total revenues

      2,379,456


      880,014


      65,242


      3,324,712

      Less: VAT related surcharges 

      (13,123)


      (4,521)


      (1,242)


      (18,886)

      Net revenues

      2,366,333


      875,493


      64,000


      3,305,826

      Operating costs and expenses:








      Compensation and benefits








      Relationship managers

      (613,101)


      -


      (898)


      (613,999)

      Others

      (486,668)


      (339,691)


      (63,654)


      (890,013)

      Total compensation and benefits

      (1,099,769)


      (339,691)


      (64,552)


      (1,504,012)

      Selling expenses

      (228,853)


      (34,302)


      (8,537)


      (271,692)

      General and administrative
        expenses 

      (197,511)


      (59,440)


      (20,928)


      (277,879)

      Provision for credit losses

      (3,785)


      (251)


      (4,047)


      (8,083)

      Other operating expenses

      (76,983)


      (6,443)


      (15,614)


      (99,040)

      Government grants 

      58,046


      24,443


      30,867


      113,356

      Total operating costs and expenses 

      (1,548,855)


      (415,684)


      (82,811)


      (2,047,350)

      Income (loss) from operations

      817,478


      459,809


      (18,811)


      1,258,476










      Noah Holdings Limited

      Supplement Revenue Information by Geography

       (unaudited)



      Three months ended December 31, 2021


      Wealth
      Management

       Business


      Asset
      Management

      Business


      Other
      Businesses


      Total


      RMB'000


      RMB'000


      RMB'000


      RMB'000









      Revenues:








      Mainland China

      849,846


      205,797


      21,482


      1,077,125

      Hong Kong

      116,154


      57,337


      -


      173,491

      Others

      9,642


      12,175


      -


      21,817

      Total revenues

      975,642


      275,309


      21,482


      1,272,433

      Noah Holdings Limited

      Supplement Revenue Information by Geography

       (unaudited)



      Three months ended December 31, 2020


      Wealth
      Management

       Business


      Asset
      Management

      Business


      Other
      Businesses


      Total


      RMB'000


      RMB'000


      RMB'000


      RMB'000









      Revenues:








      Mainland China

      513,690


      262,719


      4,073


      780,482

      Hong Kong

      114,285


      39,536


      -


      153,821

      Others

      18,986


      5,733


      -


      24,719

      Total revenues

      646,961


      307,988


      4,073


      959,022

      Noah Holdings Limited

      Supplement Revenue Information by Geography

       (unaudited)



      Twelve months ended December 31, 2021


      Wealth
      Management

       Business


      Asset
      Management

      Business


      Other
      Businesses


      Total


      RMB'000


      RMB'000


      RMB'000


      RMB'000









      Revenues:








      Mainland China

      2,479,576


      768,203


      68,240


      3,316,019

      Hong Kong

      629,587


      240,136


      -


      869,723

      Others

      102,810


      38,048


      -


      140,858

      Total revenues

      3,211,973


      1,046,387


      68,240


      4,326,600


      Twelve months ended December 31, 2020


      Wealth
      Management

       Business


      Asset
      Management

      Business


      Other
      Businesses


      Total


      RMB'000


      RMB'000


      RMB'000


      RMB'000









      Revenues:








      Mainland China

      1,787,611


      742,743


      65,242


      2,595,596

      Hong Kong

      452,810


      111,431


      -


      564,241

      Others

      139,035


      25,840


      -


      164,875

      Total revenues

      2,379,456


      880,014


      65,242


      3,324,712

      Noah Holdings Limited

      Reconciliation of GAAP to Non-GAAP Results

      (In RMB, except for per ADS data and percentages)

      (unaudited)


      Three months ended





      December 31,


      December 31,


      Change



      2020


      2021





      RMB'000


      RMB'000











      Net (loss) income attributable to Noah shareholders

      (1,573,507)


      281,312


      N.A.


      Adjustment for share-based compensation

      9,041


      12,435


      37.5%


      Add: settlement expense (reversal)

      1,828,907


      (719)


      N.A.


      Less: tax effect of adjustments

      1,985


      3,421


      72.3%


      Adjusted net income attributable to Noah shareholders
         (non-GAAP)

      262,456


      289,607


      10.3%









      Net margin attributable to Noah shareholders

      (165.1%)


      22.3%




      Non-GAAP net margin attributable to Noah shareholders

      27.5%


      23.0%











      Net (loss) income attributable to Noah shareholders per
         ADS, diluted

      (24.92)


      4.16


      N.A.


      Non-GAAP net income attributable to Noah shareholders
         per ADS, diluted

      4.13


      4.28


      3.6%









      Noah Holdings Limited

      Reconciliation of GAAP to Non-GAAP Results

      (In RMB, except for per ADS data and percentages)

      (unaudited)


      Twelve months ended





      December 31


      December 31


      Change



      2020


      2021





      RMB'000


      RMB'000











      Net (loss) income attributable to Noah shareholders

      (745,225)


      1,314,131


      N.A.


      Adjustment for share-based compensation

      59,789


      51,036


      (14.6%)


      Add: settlement expense

      1,828,907


      19,908


      (98.9%)


      Less: tax effect of adjustments

      13,821


      12,374


      (10.5%)


      Adjusted net income attributable to Noah shareholders
         (non-GAAP)

      1,129,650


      1,372,701


      21.5%









      Net margin attributable to Noah shareholders

      (22.5%)


      30.6%




      Non-GAAP net margin attributable to Noah shareholders

      34.2%


      32.0%











      Net (loss) income attributable to Noah shareholders per
         ADS, diluted

      (12.01)


      19.45


      N.A.


      Non-GAAP net income attributable to Noah shareholders
         per ADS, diluted

      18.12


      20.32


      12.2%









      SOURCE Noah Holdings Limited

      Modal title

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