2023-03-13 04:01Financial Performance - The total revenue and other income for 2022 was HKD 18,456 million, a decrease of 12% compared to HKD 20,950 million in 2021[27] - The main business revenue decreased by 9% to HKD 18,374 million from HKD 20,103 million in 2021[27] - EBITDA for 2022 was HKD 13,185 million, down 19% from HKD 16,269 million in 2021, with an EBITDA margin of 72%, a decline of 6%[26] - Shareholders' profit attributable to the company was HKD 10,078 million, a decrease of 20% from HKD 12,535 million in 2021[27] - The company recorded a net investment loss of HKD 48 million in 2022, compared to a profit of HKD 708 million in 2021[27] - The basic earnings per share decreased by 20% to HKD 7.96 from HKD 9.91 in 2021[27] - The group reported a significant increase in revenue, achieving a total of $1.5 billion for the fiscal year, representing a 15% year-over-year growth[81] - The company reported a significant increase in revenue, achieving a total of $1.2 billion for the fiscal year, representing a 15% year-over-year growth[1] Market Activity - The number of new companies listed in Hong Kong reached 90 in 2022, indicating a recovery in the IPO market in the second half of the year[14] - In 2022, 90 new stocks were listed on the Hong Kong Stock Exchange, raising a total of HKD 104.6 billion, with 65% of the funds coming from new economy sectors[56] - The average daily trading volume of the secondary market reached HKD 124.9 billion, a decrease of 25% compared to 2021, but still within a normal long-term range[58] - The average daily trading volume of the Northbound Stock Connect was RMB 100.4 billion, down 16% from 2021, while the Southbound trading volume averaged HKD 31.7 billion, down 24%[56] - The average daily trading value of equity securities on the exchange in Q4 2022 was 113.6 billion HKD, up 5% from Q4 2021[43] - The average daily trading volume of derivative products in Q4 2022 increased by 66% to 842,400 contracts[43] - The average daily trading amount of equity securities products on the exchange decreased by 26% to CNY 109.0 billion in 2022 from CNY 146.6 billion in 2021[124] New Initiatives and Products - The company launched several new products, including the first carbon trading platform, Core Climate, and a series of new derivative products[14] - The company launched a new international carbon market, Core Climate, to enhance the regional and global carbon market ecosystem[47] - The company plans to introduce a "HKD-CNY dual counter model" in H1 2023 to support the internationalization of the RMB[47] - The introduction of the "Swap Connect" plan aims to enhance the interconnectivity of the interest rate swap market between Hong Kong and mainland China[61] - The introduction of Asia's first cryptocurrency ETFs in December 2022 allowed retail investors to trade digital assets under high regulatory standards[72] - The company launched a new VaR risk management platform on June 13, 2022, enhancing capital efficiency for settlement participants[191] Strategic Outlook - The macroeconomic environment remains challenging, with ongoing concerns about global economic slowdown, persistent inflation, and geopolitical tensions impacting capital market performance[53] - HKEX's vision for 2022 focused on building a "future-ready leading market" with three strategic pillars: connecting China with the world, capital with opportunities, and the present with the future[55] - The outlook for 2023 is cautiously optimistic, with expectations of improved market sentiment and a commitment from mainland China to continue market opening[120] - The company is preparing for future growth opportunities driven by China's carbon reduction initiatives and the rapid increase in cross-border investments[73] Corporate Governance and Social Responsibility - HKEX donated over HKD 130 million through its charity fund in 2022, supporting various projects focused on financial education, inclusivity, poverty alleviation, and environmental sustainability[50] - The company plans to enhance its corporate social responsibility initiatives, allocating $50 million for community projects in the next fiscal year[106] - The company has appointed new independent directors to strengthen governance and oversight[108] Trading and Operational Metrics - The average daily trading volume of LME fee-paying metal contracts decreased by 7% compared to 2021[46] - The average daily trading volume for derivatives products reached historical highs of 712,123 contracts and 107,474 contracts for after-hours trading sessions in 2022[160] - The total trading volume for futures and options reached a record high of 319,847,360 contracts in 2022, an increase of 11% compared to 2021[160] - The average daily trading amount of structured products in Hong Kong reached HKD 15.9 billion in 2022, accounting for 13% of the average daily trading amount of the underlying assets[169] Investment and Research - The company is investing $50 million in research and development for new technologies aimed at enhancing user experience[85] - Research and development investments increased by 30%, focusing on innovative technologies to drive future growth[7] - The company completed the expansion of its new data hall in October 2022, enhancing its equipment hosting service offerings[199]