HKEX Q3 Profit Falls 0.8% as Daily Trading Volume Drops Over 10%
HK01 · 5 SOURCESabout 1 hour ago6 MIN
Summary
Hong Kong Exchanges and Clearing Limited (HKEX, stock code 388) reported a year-on-year decline of 0.8% in third-quarter net profit to 4.86 billion HKD, falling slightly short of market expectations of 5.03 billion HKD . Despite a significant 11% drop in average daily turnover, revenue and other income managed to rise 1.2% to 7.87 billion HKD . The exchange attributed the revenue resilience to strong growth in commodity trading and Stock Connect volumes, which offset declines in spot market and Southbound Trading fees . For the first nine months, HKEX achieved record-high profit of 15.43 billion HKD, representing a 14% increase year-on-year, while IPO fundraising reached 388.4 billion HKD, more than doubling from the previous year and marking the highest nine-month figure on record .
Key Points
- Average daily turnover on the Hong Kong stock market fell 11% year-on-year to 254.2 billion HKD in Q3, with a 12% decline quarter-on-quarter
- Southbound Trading (港股通) average daily turnover plummeted 30% year-on-year to 1,073 billion HKD, while Northbound Trading (滬深股通) surged 15% to 3,097 billion RMB
- The first nine months saw 118 new listings raising 388.4 billion HKD, up over 100% year-on-year and ranking Hong Kong second globally for IPO fundraising
- Post-listing fundraising by listed companies on HKEX also hit a record high of 5,728 billion HKD, up 25% year-on-year
- Operating expenses increased 8.1% due to higher staffing and information technology costs, while investment income from corporate funds rose 39% to 350 million HKD
Why It Matters
The mixed Q3 results underscore HKEX's ability to diversify revenue streams beyond traditional spot market trading, as commodity and cross-border trading volumes demonstrate the success of its multi-asset ecosystem strategy . The record-breaking IPO fundraising in the first nine months reinforces Hong Kong's position as a premier listing destination amid global market volatility, with CEO Chan Yut Ting (陳翊庭) expressing confidence in the exchange's long-term competitiveness through ongoing market reforms and new product launches .
The mixed Q3 results underscore HKEX's ability to diversify revenue streams beyond traditional spot market trading, as commodity and cross-border trading volumes demonstrate the success of its multi-asset ecosystem strategy . The record-breaking IPO fundraising in the first nine months reinforces Hong Kong's position as a premier listing destination amid global market volatility, with CEO Chan Yut Ting (陳翊庭) expressing confidence in the exchange's long-term competitiveness through ongoing market reforms and new product launches .