Hong Kong Exchanges and Clearing (0388) said on Friday that its third-quarter net profit inched down 0.84 percent year-on-year to HK$4.86 billion, below market expectations of HK$5.03 billion.
Its revenue and other income increased 1 percent to HK$7.87 billion.
For the first three quarters, the city's brokerage operator posted best-ever revenue and other income and profit.
Nine-month revenue and other income jumped 12 percent to HK$24.57 billion, while profit grew 15 percent to HK$15.43 billion.
Core business revenue remained flat, as lower Cash Market and Southbound trading and clearing fees, together with lower net investment income from Margin Funds due to higher rebates to Clearing Participants, were largely offset by higher trading and clearing fees from increased Commodities Market and Northbound Stock Connect volumes, as well as higher listing fees.
Net investment income from corporate funds rose 39 percent to HK$353 million, reflecting higher investment returns in the third quarter and an exchange loss arising from the depreciation of the US dollar against the HK dollar over the same period last year.
Average daily turnover of the Stock Exchange recorded a decrease of 11 percent to HK$238.4 billion in the third quarter, while that of Stock Connect Northbound climbed 15 percent to 309.7 billion yuan (HK$363.84 billion). Southbound Trading of Stock Connect saw a 30 percent decline in average daily turnover to HK$107.3 billion during the period.
The initial public offerings on the exchange raised over HK$388.4 billion from 118 listings for the first nine months, more than double the amount raised over the same period last year and a record nine-month high, with Hong Kong ranking second in the world.
