Daily Management Review

Hong Kong exchange operator HKEx cuts net profit by 13% in Q1


The operator of the Hong Kong Stock Exchange, Hong Kong Exchanges & Clearing Ltd. (HKEx), reported a 13% decrease in net profit in the first quarter of 2024 due to a decline in trading activity and a decrease in listings.

Jim Trodel via flickr
Jim Trodel via flickr
In a press release, the company stated that net profit for the January–March quarter was HK$2.97 billion ($379 million), which is less than the $3.408 billion it made during the same period last year.

On average, experts polled by LSEG put the value at $2.82 billion.

The revenue from core activities decreased by 7% to $4.657 billion, while overall revenue decreased by 6% to $5.201 billion. The $89.1 billion average daily turnover in equity trading was 22% less than the previous year.

From January to March, the Hong Kong Stock Exchange held 12 listings worth $4.8 billion, a 28% decrease from the same period last year. As of the end of March, 85 companies planned to undertake initial public offerings (IPOs) via the platform.

The most recent quarter had an 8% rise in HKEx operating expenses, reaching $1.411 billion.

source: asia.nikkei.com