FUTU HOLDINGS Reports Third Quarter FY2023 Earnings Results on November 24th 2023

🌥️Earnings Overview

On November 24 2023, FUTU HOLDINGS ($NASDAQ:FUTU) reported its earnings results for the third quarter of FY2023, which ended on September 30 2023. Total revenue increased 36.2% year-over-year to HKD 2650.4 million, while net income rose 44.6% to reach HKD 1091.5 million.

Stock Price

The stock opened at $60.0 and closed at $58.7, down by 1.1% from its last closing price of 59.4. The company attributed this success to growing demand for its online brokerage services and increased trading volumes in Chinese and US markets. The company also reported positive outlooks for the fourth quarter and beyond; management expects to continue to benefit from its expanding customer base and increased trading volumes, as well as continued investment in new technologies. Given the positive outlook and strong financial results, FUTU HOLDINGS had a successful third quarter and is expected to continue to grow in the coming quarters. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Futu Holdings. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Futu Holdings. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Futu Holdings. More…

Key Ratios Snapshot

Some of the financial key ratios for Futu Holdings are shown below. More…

Analysis

As GoodWhale, we have done an analysis of FUTU HOLDINGS‘ fundamentals. Our Star Chart shows that the company is strong in growth, medium in asset, profitability, and weak in dividend. We have classified FUTU HOLDINGS as a ‘gorilla’, meaning a company that possesses a strong competitive advantage that enables it to achieve stable and high revenue or earnings growth. Investors who are interested in such companies may be drawn to FUTU HOLDINGS due to its high health score of 10/10, which shows that the company has sound cash flows and debt and is capable of surviving any crisis with low risk of bankruptcy. More…

Peers

The competition between Futu Holdings Ltd and its competitors, Excalibur Global Financial Holdings Ltd, TOP Financial Group Ltd, and Interactive Brokers Group Inc, is fierce. As these companies strive to provide the best services and products to their customers, they must constantly be looking for new ways to stay ahead of the competition. Each company brings unique strengths and weaknesses to the table, making the competition even more dynamic.

– Excalibur Global Financial Holdings Ltd ($SEHK:08350)

Excalibur Global Financial Holdings Ltd is a financial services company with a market capitalization of 120M as of 2022. The company provides a range of services, including asset management, investment banking, and wealth management. Despite the company’s impressive portfolio of services, its Return on Equity (ROE) has been negative, registering -166.06%. This suggests that the company has not been able to generate sufficient profits to cover its investments. The company’s negative ROE may be caused by a number of factors, including a lack of liquidity or an overly aggressive investment strategy. Moving forward, Excalibur Global Financial Holdings Ltd will need to focus on increasing its profitability if it is to remain competitive in a highly competitive market.

– TOP Financial Group Ltd ($NASDAQ:TOP)

Top Financial Group Ltd is a publicly listed financial services provider based in Hong Kong. Founded in 1972, the company provides a range of services including retail banking, wealth management, corporate finance, online banking and securities trading to their customers. As of 2022, the company has a market capitalization of 164.38M and a return on equity (ROE) of 25.13%. The company’s market cap indicates its current share price multiplied by the total number of outstanding shares and provides a measure of the size of the company. The high ROE indicates that Top Financial Group is utilizing its resources efficiently and effectively to generate income. This is a strong indicator of the company’s financial health and performance in the market.

– Interactive Brokers Group Inc ($NASDAQ:IBKR)

Interactive Brokers Group Inc is a global electronic trading and financial services company. Founded in 1977, the company’s brokerage operations are supported by a network of 19 international subsidiaries and offer customers direct access to stocks, options, futures, forex, bonds, and funds worldwide from a single IBKR integrated account. As of 2022, the company has a market capitalization of 7.15 billion and a Return on Equity of 44.51%. This impressive market cap and high ROE reflect the company’s commitment to delivering superior value to its customers. Interactive Brokers Group Inc is a global leader in the electronic trading of securities and commodities, providing innovative technology and services to both retail and institutional investors.

Summary

FUTU HOLDINGS has had a strong quarter, with revenue climbing 36.2% and net income up 44.6%. This represents an impressive increase in profitability from the same period the previous year and indicates that investors are likely to benefit from this stock. Moreover, the company’s performance in areas such as mobile technology, online brokerages, and artificial intelligence suggests it is well-positioned for continued growth. As such, investors who are looking to capitalize on the current market trends could find FUTU HOLDINGS to be a good long-term investment.