HKEX profit climbs 56% to $4.9b in Q3 on record market activity

Nine-month earnings were up 45% as revenue rises across trading platforms.

Hong Kong Exchanges and Clearing Limited (HKEX) reported a 56% profit increase to $4.9b in the third quarter, driven by record trading and clearing volumes across its cash and derivatives markets, according to its financial statement.

In the first nine months, profit rose by 45% to HK$13.4b, whilst revenue and other income expanded 37% to $21.9b. HKEX said growth was led by strong Stock Connect flows and active derivatives trading.

The exchange operator’s EBITDA margin improved to 81%, up from 74% a year earlier, despite a 7% rise in operating expenses from higher staff and technology costs.

Chief Executive Bonnie Y Chan said the results were underpinned by robust cross-border activity and a steady IPO pipeline, with 297 listings under review as of 30 September.