Hong Kong Exchanges and Clearing (0388) posted a better-than-expected net profit in the first quarter as revenue hit a record high amid a renewed global interest in China opportunities.
Net profit for the quarter jumped 37 percent to HK$4.08 billion – slightly higher than estimates of HK$3.98 billion and breaking the previous record of HK$3.84 billion set during the first quarter of 2021 – the firm said in a filing on Wednesday.
Revenue and other income soared 32 percent to a new high of HK$6.86 billion in the quarter, driven by higher trading and clearing fees from higher volumes across the cash, derivatives and commodities markets, HKEX said.
Cash market headline average daily turnover, or ADT, reached a record quarterly high of HK$242.7 billion – more than double that of the same period last year and 30 percent higher than the fourth quarter of last year.
There were a total of 16 days that saw trading turnover exceeding HK$300 billion during the first quarter.
Average daily volume of derivatives contracts traded also hit a quarterly record high of 1,866 thousand contracts, up 24 percent year-on-year.
There was also increasing participation of mainland investors in offshore markets, resulting in record quarterly Southbound Stock Connect ADT of HK$109.9 billion.
Equity funds raised through initial public offerings were nearly four times that of the first quarter in 2024 and the number of active IPO applications increased to 120 as of the end of March, up from 84 a year ago, HKEX said.
STAFF REPORTER
