Operational highlights of the unaudited financial results for the second quarter ended June 30, 2021: 

•During Q2, Futu’s total trading volume soared 104.3% year-over-year (「YoY」) to HK$1.3 trillion. The total trading volume for the first half of 2021 climbed to approximately HK$3.6 trillion, surpassing the total sum of 2020.  

•Total revenues in Q2 increased by 129.3% YoY to HK$1,576.9 million, achieving triple-digit growth for six consecutive quarters.

•Non-GAAP adjusted net income  was up 126.7% YoY to HK$550.4 million.

•The number of Futu users reached 15.5 million, an increase of 66.8% YoY; the number of registered clients reached 2.32 million an increase of 142.5% YoY; the number of Futu's paying clients reached 1 million an increase of 230.2% YoY, with nearly 80% of newly acquired clients originating from Hong Kong and other overseas markets

Futu Holdings Limited (「Futu」 or the 「Company」) (Nasdaq: FUTU), a leading, tech-driven online brokerage and wealth management platform, has announced its unaudited financial results for the second quarter ended June 30, 2021 (「Q2」).

In Q2, Futu's momentum in revenue growth remained strong with a 129.3% YoY increase to HK$1,576.9 million, reflecting triple-digit growth for six consecutive quarters. Non-GAAP adjusted net income also saw 126.7% YoY growth, reaching HK$550.4 million. 

Futu's total trading volume increased by 104.3% to HK$1.3 trillion this quarter. Thus far, Futu's total trading volume for the first half has reached approximately HK$3.6 trillion, surpassing the total of 2020. Daily average revenue trades (DARTs) increased by 105.4% YoY to 540,988.

Futu's three businesses maintained steady growth this quarter. Brokerage commission and handling charge income increased by 94.8% YoY to HK$797.7 million; Interest income reached HK$610.3 million, representing an increase of 193.6%; and other income (including wealth management, enterprise services, etc.) increased by 140.5% YoY to HK$168.8 million.

Futu continued to grow its user base by putting user experience and client first. As of Q2, Futu reached 15.5 million global users, representing a 66.8% increase YoY; the number of registered clients increased by 142.5% YoY to approximately 2.32 million; and the number of paying clients increased by 211 thousand, representing 230.2% growth YoY, reaching one million, about 80% percent of newly acquired paying clients resulted from the exponential growth Futu has realized in Hong Kong, Singapore and other overseas markets. 

Futu’s client retention rate remained strong at 98% during the first half of 2021. As of quarter end, total client assets hit a new high of HK$503.2 billion, representing a 253.5% increase YoY. Average client asset balance climbed to about HK$500,000, reflecting its competitive strengths in attracting high-quality investors. 

Outstanding business performance has further enhanced the company's prominence in the capital market. In Q2, the Company's stock was added to the MSCI Hong Kong Index and obtained an investment grade long-term issuer credit rating 「BBB-」 from S&P Global Ratings, becoming the first online broker in the Asia-Pacific region to have obtained this international rating.

Hong Kong paying clients surged by 270% YoY, Futu is popular among investors of all ages

In Hong Kong, Futu reinforced its leading position with its diverse investment products, convenient online account opening services, seamless investment experience and trusted reputation among investors of all ages. The number of paying clients in Hong Kong surged by 270% YoY, reflecting three-digit YoY growth for several consecutive quarters. During Hong Kong’s latest round of iBond subscription, Futu received massive support from the market with its one-stop online investing and wealth management edges, sharing 12% of total valid applications and 7.5% of the total subscription amount of bonds. During the iBond subscription period, Futu's office and moving truck were crowded with people queuing for account opening, reflecting the Company is sought-after among the general public in Hong Kong. 

Since its launching the moomoo app in Singapore in March, Futu has invested in product and service enhancements, including rolling out a local customer support hotline that allows users to stay connected with the market 24 hours a day on trading days and 12 hours per day on non-trading days. To better serve its growing client base, Futu continued to hire local talent to assist in carrying out its global expansion strategy. 

Now moomoo is already considered one of the fastest-growing online trading platforms in Singapore and will continue to focus on raising brand awareness among local retail investors and growing its user and client base. In the three months since launching in Singapore, Futu has amassed over 220,000 users and 100,000 paying clients. Now moomoo, has gained tremendous popularity among the local community in Singapore, consistently dominating the top three finance apps in both the App Store and Google Play. 

Futu I&E supported enterprises in their IPO journeys, serving 450 corporate clients to date

Our enterprise business, Futu I&E, continued to support corporate clients by connecting companies to investors throughout the entire IPO journey—from IPO distribution to IR & PR services, ESOP services, and building brand trust. As of quarter-end, Futu has provided IPO distribution and IR services to 186 companies, reflecting its competitive strengths in IPO distribution and capturing the upsurge of the IPO frenzy in Hong Kong.

Futu I&E participated in the underwriting or distribution of all HK$100-billion IPO listings and Chinese ADRs secondary listings in Hong Kong. As of this quarter, including JD Logistics Inc., Angelalign Technology Inc., Nayuki Holdings Ltd. and CARsgen Therapeutics Holdings Ltd. As of quarter-end, Futu I&E has provided ESOP solutions to 263 corporate clients from various sectors namely healthcare, consumer retail and leading technology, Futu I&E has become the preferred ESOP solutions provider in the market.

Futu Money Plus' partners climbed to 50, total client assets in wealth management increased to HK$13.8 billion

Thanks to the diverse product offering of Futu’s Money Plus—including transparent fund reports, an unparalleled investing experience and zero subscription fees—Futu’s wealth management business has continued to earn clients’ trust. As a result, Futu experienced significant growth, becoming a popular wealth management platform across Hong Kong and other markets. As of quarter-end, total client asset balance under Money Plus grew to HK$13.8 billion, up 59.2% YoY. This quarter, Futu’s wealth management business Money Plus partnered with 50 world-renowned asset managers, establishing seven new partnerships in Q2, including Goldman Sachs Asset Management, Eastspring Investments, UBS Asset Management, Principal Global Investors, Matthews Asia, Columbia Threadneedle Investments and Man Investments.

Futu Money Plus also upgraded its services to further enhance the fund investment experience. Most notably, Futu developed an auto-redemption feature for money market funds, which can be directly used for IPO subscription, trading stocks and funds, paying financing interests and currency exchanges and more seamlessly transitioning idle cash between investing and trading.

Mr. Leaf Hua Li, Futu's Founder, Chairman, CEO & Chairman of the Technology Committee, said, 」Futu is committed to deepening its presence in the Hong Kong market and has demonstrated its strengths in IPO distribution and IR services. As an international, tech-driven online brokerage, Futu puts the user experience and needs of its clients first. We are dedicated to driving innovation and providing more user-friendly and state-of-the-art FinTech services to global investors.」

He adds, 「Looking ahead, we are devoted to catering to the evolving needs of each market and looking forward to deepening our relationship with local industry partners in Singapore, while driving innovation within the FinTech industry. We are elated to have more talents with shared mindset joining the team, contributing to the growth of Fintech ecosystem. As more companies look to gain a foothold in the Hong Kong market, working with us will allow those enterprises to step into the spotlight, which will further amplify the value and advantages of the Hong Kong stock market.」