SHANGHAI, Nov. 29,
2023 /PRNewswire/ -- Noah Holdings Limited
(the "Company," or "Noah") (NYSE: NOAH and HKEX: 6686), a leading
wealth management service provider in China offering comprehensive global investment
and asset allocation advisory services primarily for high-net-worth
investors, today announced that its Board of Directors (the
"Board") has adopted a new capital management and shareholder
return policy (the "Policy") where up to 50% the Company's non-GAAP
net income attributable to shareholders of the preceding financial
year will be allocated to a Corporate Actions Budget which will
serve various purposes, including dividend distribution and share
repurchases.
Dividend
Under the Policy, the Board has approved that no less than 35%
of the Company's non-GAAP net income attributable to shareholders
of the preceding financial year will be allocated toward dividends
to be distributed in each calendar year, subject to various
factors. The previous Policy stated that no less than 10% of the
Company's non-GAAP net income attributable to shareholders would be
used each calendar year.
Share Repurchase
Under the Policy, the remaining portion of the Corporate Actions
Budget may be utilized by the Company to repurchase its shares
under a share repurchase program. The share repurchases may be made
by the Company from time to time on the open market, through
open-market transactions in accordance with the applicable rules
and regulations. The timing, scale, and conditions of the share
repurchases will be subject to market conditions, share price,
corporate and regulatory requirements, and other factors.
The Board will consider and determine the specifics regarding
(i) the dividend payout ratio and the declaration and payment of
dividends for the fiscal year 2023, and (ii) the timing and scale
of adoption of any share repurchase program at the Board's fourth
quarter and fiscal year 2023 meeting which will held in
March 2024.
Ms. Jingbo Wang, the chairwoman
and chief executive officer of the Company, commented, "We are
optimistic about Noah's future and the wealth management industry,
and this significant expansion of our capital management and
shareholder return policy underscores this confidence. In addition
to elevating our benchmark dividend payout ratio, the new policy
will empower us to implement a share repurchase program, allowing
us to seize the opportunity presented by what we perceive as a
currently undervalued stock price. The Board has consistently
prioritized increasing shareholder value while promoting efficient
allocation of capital, and the adoption of this new policy will
enable us to reward the Shareholders while continuing to invest in
our ongoing expansion. This program has been made possible by our
strong balance sheet, robust liquidity position, and clear
consensus as to the investments we will need to make to facilitate
our global growth plan. We look forward to sharing more concrete
details on our capital return plans for the upcoming year following
our fourth quarter and fiscal year 2023 Board meeting next
March."
ABOUT NOAH HOLDINGS LIMITED
Noah Holdings Limited (NYSE: NOAH and HKEX:6686) 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. Noah is a Cayman Islands holding company and carries on
business in Hong Kong as Noah
Holdings Private Wealth and Asset Management Limited. In the first
nine months of 2023, Noah distributed RMB57.5 billion (US$7.9
billion) of investment products. Through Gopher Asset
Management, Noah had assets under management of RMB154.9 billion (US$21.2
billion) as of September 30,
2023.
Noah's wealth management business primarily distributes private
equity, private secondary, mutual fund and other products
denominated in RMB and other currencies. Noah's network covers
major cities in mainland China, as
well as offices in Hong Kong
(China), Taiwan (China), New
York, Silicon Valley and Singapore. A total of 1,408 relationship
managers across 59 cities provide customized financial solutions
for clients through this network, and meet their international
investment needs. The Company's wealth management business had
452,222 registered clients as of September
30, 2023. Through Gopher Asset Management, Noah manages
private equity, public securities, real estate, multi-strategy and
other investments denominated in RMB and other currencies. The
Company also provides other services.
For more information, please visit Noah at ir.noahgroup.com.
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. 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 reports to shareholders, in announcements, circulars or
other publications made on the website of The Stock Exchange of
Hong Kong Limited (the "Hong Kong Stock Exchange"), 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. These statements include, but are not limited to,
estimates regarding the sufficiency of Noah's cash and cash
equivalents and liquidity risk. 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 globally and 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 and the Hong Kong Stock
Exchange. 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
Melo Xi
Tel: +86-21-8035-8292
ir@noahgroup.com
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SOURCE Noah Holdings Limited