Hong Kong-based on-line brokerage Futu Holdings Restricted (Nasdaq: FUTU) introduced its second-quarter outcomes at this time (Tuesday), surpassing analyst expectations and prompting a rise to its full-year outlook.
The corporate reported a 25.9% year-over-year (YoY) improve in complete revenues to $400.7 million), pushed by robust development throughout its key enterprise segments. Web earnings rose 8.0% to $154.9 million, whereas non-GAAP adjusted web earnings grew 8.6% to $166.0 million.
This additionally marks a rise in comparison with the primary quarter of the present yr, when web revenue stood at $132.3 million, and revenues amounted to $331.3 million.
Futu’s shopper base continued to develop quickly, with paying shoppers growing 28.8% YoY to 2.04 million. The corporate added 155,000 new paying shoppers in Q2, representing a 167.8% improve from the identical interval final yr.
Leaf Hua Li, Futu’s Chairman and CEO
“Given the robust year-to-date momentum, we wish to increase our steerage once more to 550 thousand new paying shoppers in 2024,” stated Leaf Hua Li, Futu’s Chairman and CEO. This marks the second upward revision to the corporate’s full-year steerage.
Regardless of the robust top-line development, Futu’s working margin declined to 47.3% from 50.6% within the year-ago quarter, primarily because of elevated working bills as the corporate invested in analysis and improvement and advertising to assist its development initiatives.
Different Metrics Additionally Up
Whole shopper belongings reached a file HK$579.3 billion, up 24.3% YoY and 11.9% quarter-over-quarter, buoyed by strong web asset inflows and favorable market circumstances. The corporate’s margin financing and securities lending steadiness hit an all-time excessive of HK$43.8 billion, reflecting elevated shopper threat urge for food.
Buying and selling quantity surged 69.0% YoY to HK$1.62 trillion, with US shares accounting for the lion’s share at HK$1.24 trillion. The corporate benefited from heightened buying and selling exercise in AI-themed shares and meme shares.
Futu’s growth into new markets confirmed promising outcomes, with Hong Kong and Singapore each recording double-digit sequential development in new paying shoppers. The corporate just lately launched cryptocurrency buying and selling in these markets to diversify its choices.
The agency has additionally invested in Gravitation Fintech HK Restricted, the mum or dad firm of Airstar Financial institution, a licensed digital financial institution in Hong Kong. After a HK$440 million funding, the corporate holds an oblique 44.11% stake in Airstar Financial institution.
