Net revenues for the third quarter of 2024 were RMB 683.7 million (US$97.4 million), an 8.8% decrease from the corresponding period in 2023. Despite this, income from operations increased by 79.7% sequentially to RMB 240.8 million (US$34.3 million), reaching an operating margin of 35.2%. This sequential growth was primarily due to cost control initiatives and efforts to optimize corporate structure.
Overseas net revenues were a significant driver, reaching RMB 376.9 million (US$53.7 million), marking a 28.9% year-over-year and 35.3% sequential increase. These overseas revenues accounted for over 55.1% of total net revenues during the quarter, underscoring the success of Noah's international expansion strategy. The company also unveiled new international brands: Ark Wealth Management, Olive Asset Management, and Glory Family Heritage.
Domestic market performance presented challenges, with Mainland China net revenues decreasing by 33.0% year-over-year to RMB 306.8 million (US$43.7 million). This was primarily due to an 89.9% decrease in domestic insurance product distribution and a 17.3% decrease in recurring service fees from RMB private equity products. However, overseas investment product revenue increased by 42.5% year-over-year.
As of September 30, 2024, Noah Holdings had RMB 3,435.8 million (US$489.6 million) in cash and cash equivalents. The company also announced a US$50 million share repurchase program in late August 2024, demonstrating a commitment to enhancing shareholder value. The team of overseas relationship managers expanded to 146, an 89.6% year-on-year increase, further strengthening global service capabilities.
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