Hong Kong Exchanges & Clearing (388N) AI Stock Analysis

Company Guidance

Management's guidance emphasized sustaining momentum and disciplined execution to build a multi‑asset ecosystem after a record H1 — H1 revenue and other income were HKD 16.7bn (+19% YoY), profit after tax HKD 10.6bn (+24%), EPS HKD 8.36 (+24%) and a first interim dividend of HKD 7.43/share (90% payout ex‑Foundation); headline ADT was HKD 283bn (+18% YoY) with Q2 a record HKD 289bn, Northbound ADT more than doubled YoY, derivatives volumes +6%, commodities volumes +18% (LME chargeable ADV a record half‑year high), ETPs contributed 17% of ADT (vs ~5% in 2021), companies listed since 2025 contributed >8% of headline ADT, IPO fundraising YTD USD 41bn (vs USD 37.5bn FY2025) and follow‑on fundraising YTD USD 50bn (vs USD 66bn FY2025); they warned H2 net investment income will likely remain affected by the revised margin rebate arrangements, fluctuating margin fund size and HKD interest rates after H1 net investment income of HKD 2.56bn (‑11% YoY; ‑21% ex a HKD 298m unlisted gain), and outlined near‑term execution plans — 5‑year CGB futures launched Aug 3 with more tenors expected, clearing houses to accept CGB as collateral before year‑end, planned FDR007 OTC contracts later this year (subject to approval), extensions to derivatives after‑hours toward the U.S. close and further Connect and product enhancements to drive growth.