HKEX(00388)2025-02-27 04:00Financial Performance - The total revenue for 2024 reached HKD 22,374 million, a 9% increase from HKD 20,516 million in 2023[9]. - The main business revenue was HKD 20,559 million, up 9% from HKD 18,941 million in the previous year[9]. - Shareholder profit attributable to shareholders increased by 10% to HKD 13,050 million from HKD 11,862 million in 2023[9]. - The basic earnings per share rose to HKD 10.32, a 10% increase compared to HKD 9.37 in 2023[9]. - The company reported an 18% increase in net investment income to HKD 1,748 million from HKD 1,487 million in 2023[9]. - The net profit attributable to shareholders for 2024 was 13.050 billion, a 10% increase from 11.864 billion in 2023[11]. - The total revenue and other income for the year 2024 reached a record high of HKD 224 billion, up 9% from 2023, leading to a record profit attributable to shareholders of HKD 131 billion, a 10% increase from 2023[21]. - The Group's net profit attributable to shareholders reached HKD 13.1 billion, a 10% increase from 2023[65]. - The total revenue and other income for 2024 reached 22,374 million, a 9% increase compared to 20,516 million in 2023[190]. - Operating profit for 2024 was 14,879 million, compared to 11,862 million in 2023, indicating a growth of 25%[190]. Trading Activity - In 2024, the average daily trading value of equity securities on the exchange reached 120.0 billion, a 29% increase from 93.2 billion in 2023[10]. - The average daily trading value of the Stock Connect (Shanghai and Shenzhen) reached 150.14 billion RMB in 2024, a 39% increase from 108.3 billion RMB in 2023[10]. - The average daily trading value of Hong Kong Stock Connect increased by 55% to 48.24 billion in 2024 from 31.1 billion in 2023[10]. - The average daily trading volume for fee-based transactions reached a new quarterly high, reflecting strong market activity[19]. - The average daily trading volume in the Hong Kong stock and derivatives market reached HKD 131.8 billion in 2024, a 26% increase from the previous year[39]. - The average daily trading volume in the derivatives market increased by 15%, reaching 1.6 million contracts[36]. - The average daily trading volume of ETPs reached a record high of HKD 18.9 billion in 2024, a 35% increase from HKD 14 billion in 2023[92]. - The average daily trading volume for stock options in 2024 was 720,297 contracts, an increase of 18% compared to 2023[132]. - The average daily trading volume for MSCI China A50 index futures reached 14,517 contracts, a 25% increase from 2023[135]. Market Expansion and New Initiatives - The company plans to open an office in Riyadh in 2025, marking a strategic expansion[5]. - The company has launched several new products, including the first virtual asset spot ETF in Asia on April 30[5]. - The company is focusing on enhancing its market structure and listing mechanisms to strengthen its position as a leading international financial center[4]. - The company expanded the range of eligible ETFs under the Stock Connect program, enhancing product and service diversity[23]. - The company is implementing a multi-year modernization plan for its cash platform to provide faster and more efficient post-trade services[26]. - The company plans to publish a white paper in the first half of 2025 to discuss suitable settlement cycles for the Hong Kong market[26]. - The Hong Kong Stock Exchange plans to enhance its market structure and infrastructure, with the first phase of lowering the minimum price fluctuation for eligible securities expected to start in mid-2025[46]. - The Hong Kong Stock Exchange launched a virtual asset index series in November 2024, supporting its goal to become a leading digital asset center in Asia[164]. Sustainability and ESG Efforts - The company aims to achieve carbon neutrality by the end of 2024 and has submitted science-based greenhouse gas reduction targets for verification[28]. - The company continues to enhance its market quality and sustainability efforts, maintaining strict regulatory standards and transparency[24]. - The Exchange's commitment to sustainable development includes a donation of HKD 86 million to various projects focused on financial education and environmental sustainability[30]. - The company established a new sustainability department in 2024 to enhance its sustainable development strategy[176]. - The company is committed to promoting ESG standards and has introduced climate information disclosure regulations aligned with IFRS S2, making Hong Kong the first market to implement such regulations through an exchange[48]. Operational Efficiency and Costs - The operating expenses for 2024 increased by 6% to 6.02 billion, primarily due to higher employee and IT costs[11]. - The Group's operating expenses increased by 6% to HKD 5.8 billion, primarily due to higher employee costs and IT expenses[65]. - Operating expenses increased by 10% to HKD 1,244 million, primarily due to hiring and salary adjustments[80]. - Employee-related expenses rose by HKD 322 million (9%) due to salary adjustments and strategic hiring[185]. - The Group plans to enhance market infrastructure and product offerings to maintain competitiveness and resilience in the face of macroeconomic challenges[66]. Investment and Financial Assets - The value of the Northbound Stock Connect portfolio increased by 11% to RMB 2.214 trillion by December 31, 2024[67]. - The total financial liabilities increased by 11% to 283,844 million in 2024 from 256,220 million in 2023[194]. - Financial assets totaled 303,984 million as of December 31, 2024, a 7% increase from 285,094 million in 2023[194]. - Cash and cash equivalents increased by 7% to 134,365 million in 2024 from 125,107 million in 2023[194]. - The external portfolio's fair value for diversified asset strategies reached 4,337 million HKD, reflecting a 6% increase from the previous year[196]. Regulatory and Compliance - Compliance monitoring actions included reviewing 66,074 issuer announcements in 2024, an increase from 62,578 in 2023[106]. - The number of enforcement cases handled in 2024 was 100, down from 123 in 2023[108]. - The number of complaints processed in 2024 was 880, slightly up from 845 in 2023[106]. - The number of monitoring actions taken regarding unusual stock price and trading volume changes was 7,050 in 2024, compared to 4,755 in 2023[106].