Hong Kong-based stockbroker Futu Holdings reported total revenue of $153 million in the fourth quarter of 2020, up 282% year on year, marking its fourth consecutive quarter of triple-digit growth.
On a non-GAAP basis, the company reported a net income of $71.31 million for the fourth quarter, up 1,021% year-over-year, according to the company's financial report released today.
Its net income was up 11.1 times year-over-year in the quarter to $68.7 million.
The total gross profit increased 321.4% year-over-year to $121.8 million, the company said.
Futu rose about 8 percent in pre-market trading.
Futu said its total number of paying clients increased 160.5% year-over-year to 516,721 as of December 31, 2020. The total number of registered clients increased 97.8% year-over-year to 1,419,734 as of December 31, 2020.
The total number of users increased 58.6% year-over-year to 11.9 million as of December 31, 2020, the company said, adding total client assets increased 227.3% year-over-year to HK$285.2 billion as of December 31, 2020.
Daily average client assets were HK$244.5 billion in the fourth quarter of 2020, an increase of 205.7% from the same period in 2019.
The total trading volume in the fourth quarter of 2020 increased 438.1% year-over-year to HK$1,210.0 billion, in which trading volume for US stocks was HK$783.6 billion, trading volume for Hong Kong stocks was HK$414.6 billion, and the trading volume for stocks under the Stock Connect was HK$11.7 billion.
The total trading volume in 2020 was HK$3,463.6 billion, representing a 296.9% growth year-over-year, it said.
Daily average revenue trades (DARTs) in the fourth quarter of 2020 increased 339.9% year-over-year to 462,261. DARTs in 2020 increased 213.8% to 331,105.
Margin financing and securities lending balance increased 307.3% year-over-year to HK$19.5 billion as of December 31, 2020.
"Futu I&E continues to be the go-to enterprise service partner. We had 105 IPO and IR clients as of year-end," said Leaf Hua Li, Futu’s Chairman, and Chief Executive Officer of the company.
"In the fourth quarter, 10 IPOs recorded over HK$10 billion in subscription, respectively, on our Futubull platform, including the US IPOs of Miniso and Lufax, and the HK IPOs of Pop Mart and JD Health. We also added 33 ESOP clients in the quarter, bringing our total ESOP client number to 159," Li said.
