Hong Kong Exchanges and Clearing soundly beats estimates with 20 per cent jump in net profit in third quarter

The Hong Kong Exchanges and Clearing on Wednesday reported a better-than-expected 20 per cent jump in its net profit during the third-quarter, after its largest listing reform in decades sparked an increase in market turnover and new listings.

HKEX, the local bourse operator and owner of the London Metal Exchange, said that its July-to-September quarter net profit stood at HK$2.44 billion (US$312 million), or HK$1.96 per share, up from HK$2.03 billion a year earlier.

The earnings beat consensus market estimates of a 4.8 per cent year-on-year growth in net profit to HK$2.13 billion for the third quarter, according to analysts polled by Bloomberg.

For the first nine months of this year, the HKEX reported net profit of HK$7.48 billion, or HK$6.03 per share, up 34 per cent from a net profit of HK$5.5 billion during the same period a year earlier.

The exchange operator is on track to achieve a full-year net profit increase of 25 per cent to HK$9.27 billion, according to consensus market estimates by Bloomberg.