Zhi Tong Cai Jing·2025-11-07 02:49Core Viewpoint - The company expects continued improvement in trading activity in the Hong Kong stock market, projecting total revenue and net profit growth for Hong Kong Exchanges and Clearing Limited (HKEX) in the coming years [1] Financial Performance - For the first nine months of 2025, the company reported total revenue and other income of HKD 218.5 billion, a year-on-year increase of 37%, and a net profit attributable to shareholders of HKD 134.2 billion, up 45% [2][3] - In Q3 2025, the company achieved revenue and other income of HKD 77.8 billion, reflecting a year-on-year increase of 45% and a quarter-on-quarter increase of 8%, with net profit of HKD 49.0 billion, up 56% year-on-year and 10% quarter-on-quarter [2] Segment Performance - The company reported significant growth across all business segments for the first nine months of 2025: - Trading and trading system usage fees reached HKD 78.31 billion, up 57% year-on-year, driven by record average daily trading (ADT) in the cash and derivatives markets [4] - Clearing and settlement fees totaled HKD 52.73 billion, a 66% increase year-on-year, due to record high average daily trading volumes in the Stock Connect program [4] - Listing fees amounted to HKD 12.68 billion, up 17% year-on-year, supported by strong capital raising activities in the Hong Kong stock market [4] - Net investment income was HKD 38.93 billion, a 4% increase year-on-year, with a decline in annualized investment yield for the company's funds [4] Market Outlook - The Hong Kong stock market is experiencing improved trading activity, which is expected to sustain the company's annual performance growth: - The cash market ADT reached HKD 2,564 billion for the first nine months of 2025, a 126% year-on-year increase, with northbound ADT at HKD 2,064 billion, up 67%, and southbound ADT at HKD 1,259 billion, up 229% [5] - The Exchange-Traded Products (ETP) market also showed positive trends, with ADT reaching HKD 378 billion, a 145% year-on-year increase [5] - The IPO market remained robust, with 69 companies listed on the main board, raising HKD 1,883 billion, a 239% increase year-on-year, and a strong pipeline of 297 IPO applications pending as of the end of Q3 2025 [5]