EL7.AI
StocksMedium•6 November 2026•
3 min read

Hong Kong Exchange Profit Falls 1% to HK$4.86 Billion in Third Quarter

Key Facts

1HKEX profit attributable to shareholders fell 1% to HK$4.86 billion in the third quarter.
2Profit fell short of market expectations of HK$5.03 billion.
3Average daily turnover in the Main Board equities market fell 11% to HK$254.2 billion.
4Profit in the first nine months rose 15% to a record HK$15.43 billion.

Profit attributable to shareholders of Hong Kong Exchanges and Clearing, known as HKEX, fell 1% year over year to HK$4.86 billion in the three months ended Sept. 30, 2026, according to the company’s results coverage. Profit was below market expectations of HK$5.03 billion, according to The Standard. Revenue and other income, by contrast, rose 1% to HK$7.87 billion in the quarter. HKEX said lower trading and settlement fees in the cash market and from Southbound trading weighed on results. The figures highlight the contrast between the quarterly profit decline and record performance in the first nine months of the year.

Trading activity data showed average daily turnover in the Main Board equities market fell 11% year over year to HK$254.2 billion in the third quarter. Weaker cash-market activity was reflected in trading and settlement fees, which HKEX cited among the factors weighing on revenue. Trading and settlement fees related to Southbound Stock Connect trading also declined, according to the results statement as reported by The Standard. Elsewhere in revenue, the company said net investment income from margin funds fell because of higher rebates. It said commodity fees and Northbound Stock Connect activity, along with higher listing fees, offset some of the pressure.

The decline did not extend to all trading channels linked to the exchange: average daily turnover in Northbound Stock Connect trading rose 15% to 309.7 billion yuan in the third quarter, according to The Standard. That performance contrasted with the slowdown in the cash market and Southbound trading, which the company listed among the factors that reduced fees. Core business revenue was stable at HK$7.47 billion in the quarter, according to Investing.com’s coverage. Earnings before interest, taxes, depreciation and amortization also remained almost flat at HK$6.20 billion. However, the margin on those earnings narrowed by two percentage points to 79%.

Operating expenses rose 8% to HK$1.60 billion in the third quarter, with the coverage attributing the increase mainly to higher staff and IT costs. Higher expenses, stable core business revenue and lower cash-market turnover coincided in a quarter that ended with profit below the year-earlier level. For the first nine months of 2026, HKEX revenue and other income rose 12% to a record HK$24.57 billion. Profit also rose 15% to a record HK$15.43 billion, according to The Standard. Earnings before interest, taxes, depreciation and amortization increased 14% over the same period to HK$19.61 billion, while its margin widened one percentage point to 80%.

Hong Kong’s primary financing market remained active in the first nine months, with initial public offerings raising HK$388.4 billion from 118 listings, more than double the amount recorded a year earlier, according to The Standard. Hong Kong ranked second globally by IPO proceeds raised during the period. Post-listing financing reached a record HK$572.8 billion, up 25%, according to Investing.com. In trading on Friday, Nov. 6, HKEX shares fell 1.7% to HK$387.80, according to Investing.com. The Hang Seng Index was down 0.5% in the same session, leaving the stock’s decline steeper than the index’s, according to the coverage.