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    FUTU
    Earnings call· Dec 2025(Q4 FY25)

    Futu Holdings Q4 FY25 earnings call FUTU

    Mar 12, 2026 Source

    Executive summary

    Futu Holdings Q4 FY25 — Strong Client Acquisition and Diversified Trading Volume

    Futu Holdings delivered robust Q4 FY25 results, driven by strong client acquisition across established and newer markets, exceeding its full-year funded account guidance. While Hong Kong market volatility impacted local client growth and asset values, diversification into U.S. stock trading and wealth management offerings supported record trading volumes and asset inflows. The company continues to invest in AI and expand its product suite, aiming for continued growth in 2026 despite market uncertainties.

    Highlights

    5

    • Added over 950,000 net new funded accounts in 2025, surpassing full-year guidance by 19%.

    • Total funded accounts reached 3.4 million, up 40% year-over-year.

    • Total trading volume climbed to a record HKD 3.98 trillion, up 38% year-over-year.

    • Wealth management client assets reached HKD 179.6 billion, up 62% year-over-year.

    • Net income increased by 80% year-over-year to HKD 3.4 billion.

    Concerns

    4

    • Client growth in Hong Kong moderated sequentially in Q4 FY25 due to a sharp downturn in the local stock market.

    • Hong Kong stock trading volume contracted 31% quarter-over-quarter to HKD 821 billion in Q4 FY25.

    • Mark-to-market losses on clients' Hong Kong stock holdings weighed on overall client assets in Q4 FY25.

    • No share buybacks were conducted in Q4 FY25 despite an authorized USD 800 million program.

    Guidance & targets

    7
    CategoryTargetConfidence
    Net new funded accounts
    800,000
    high materiality
    High
    Net new funded accounts
    flattish quarter-over-quarter
    medium materiality
    Medium
    Trading volume
    flattish quarter-over-quarter
    medium materiality
    Medium
    Net asset inflows
    double-digit sequential increase
    high materiality
    High
    Total client assets
    increase modestly
    medium materiality
    Medium
    Blended commission rate
    flattish Q-on-Q
    low materiality
    Medium
    Client acquisition cost (CAC)
    HKD 2,500 to HKD 3,000
    medium materiality
    Medium

    Segment performance

    6
    SegmentRevenueYoYQoQMargin
    Hong Kong
    Client growth moderated sequentially in Q4 FY25 following a sharp downturn in the local stock market. Despite this, Hong Kong contributed the highest number of net funded accounts within the Futu Group in 2025, extending market leadership. Strong net asset inflow, particularly from high net worth clients, was observed.
    Net new funded accounts: high double-digit year-over-year increase in 2025Client growth: moderated sequentially in Q4 FY25Stock trading volume: HKD 821 billionStock trading volume growth: down 31% quarter-over-quarterContribution to group net funded accounts: highest in 2025Contribution to net asset inflow: strong, higher percentage from high net worth clientsClient assets: largest in terms of AUM breakdown
    		—high double-digit increasemoderated sequentially—
    Malaysia
    Significant share gain was observed, and momentum is expected to continue. Net new funded accounts recorded double-digit sequential growth in Q4 FY25, underpinned by strong client interest in U.S. stock trading and superior U.S. stock offerings. Launched Shariah-compliant gold tracker funds.
    Net new funded accounts growth: double-digit sequential growth in Q4 FY25Share gain: significantContribution to new client adds: over 50% collectively with Hong Kong in Q4 FY25
    		——double-digit sequential growth—
    Japan
    Solidified position as the #1 foreign securities firm with cumulative app downloads crossing 2 million. Net new funded accounts recorded double-digit sequential growth in Q4 FY25, driven by strong client interest in U.S. stock trading.
    Cumulative app downloads: crossed 2 million as of November last yearPosition: #1 foreign securities firmNet new funded accounts growth: double-digit sequential growth in Q4 FY25
    		——double-digit sequential growth—
    U.S.
    Rolled out offline marketing campaigns highlighting features for active traders. Average client assets recorded the fastest sequential increase. Auction contracts traded, stock, and crypto trading volume all posted double-digit sequential growth in Q4 FY25. Expanded crypto offerings.
    Average client assets growth: fastest sequential increase among all regionsAuction contracts traded volume growth: double-digit sequential growth in Q4 FY25Stock trading volume growth: double-digit sequential growth in Q4 FY25Crypto trading volume growth: double-digit sequential growth in Q4 FY25Crypto penetration among trading clients: risingCrypto offerings: expanded by adding more than 10 points in Q4 FY25
    		————
    Singapore
    Saw rising net outside flow contribution from high net worth clients. Crypto penetration among trading clients is rising. Introduced more Singapore equity funds and short-duration bond funds in response to growing client demand for portfolio diversification. Expanded crypto offerings.
    Net outside flow contribution: rising from high net worth clientsCrypto penetration among trading clients: risingCrypto offerings: expanded by adding more than 10 points in Q4 FY25New products: introduced more Singapore equity funds as well as short-duration bond funds
    		————
    Australia
    Moomoo was the most downloaded trading app in Australia in 2025, further solidifying its position.
    Moomoo app download ranking: most downloaded trading app in 2025
    		————

    Operational metrics

    38
    Total revenues
    HKD 6.4 billionup 45% year-over-year
    Q4 FY25

    Full year revenue was HKD 22.8 billion, up 68% year-over-year.

    Brokerage commission and handling charge income
    HKD 2.8 billionup 35% year-over-year but down 5% Q-o-Q
    Q4 FY25

    Blended commission rates moderated as clients traded more higher-priced U.S. stocks and options.

    Interest income
    HKD 3 billionup 50% year-over-year and flat Q-over-Q
    Q4 FY25

    Year-over-year increase driven by higher interest income from security borrowing and lending, banking deposits, and margin financing. Sequential stability due to offset between banking deposits/margin financing and security borrowing/lending.

    Other income
    HKD 630 millionup 79% year-over-year and 42% Q-o-Q
    Q4 FY25

    Year-over-year increase primarily from higher fund distribution service income and IPO subscription service charge income. Quarter-over-quarter increase mainly from higher enterprise public relationship service charge income and IPO subscription service charge income.

    Total cost
    HKD 729 milliondecrease of 6% from HKD 776 million in Q4 FY24
    Q4 FY25

    Total cost for the quarter.

    Brokerage commission and handling charge expenses
    HKD 141 millionup 26% year-over-year and down 12% Q-over-Q
    Q4 FY25

    Movement roughly in line with brokerage commission and handling charge income.

    Interest expenses
    HKD 437 milliondown 15% year-over-year and 8% Q-o-Q
    Q4 FY25

    Decrease mainly due to lower interest expenses associated with security borrowing and lending business.

    Processing and servicing costs
    HKD 150 millionflat year-over-year and down 6% Q-o-Q
    Q4 FY25

    Quarter-over-quarter decrease mostly driven by sequential decrease in cloud service fees.

    Total gross profit
    HKD 5.7 billionincrease of 56% from HKD 3.7 billion in Q4 FY24
    Q4 FY25

    Total gross profit for the quarter.

    Gross margin
    88.7%vs 82.5% in Q4 FY24
    Q4 FY25

    Gross margin for the quarter.

    Operating expenses
    HKD 1.6 billionup 9% year-over-year and down 8% Q-o-Q
    Q4 FY25

    Total operating expenses for the quarter.

    R&D expenses
    HKD 507 millionup 27% year-over-year and down 12% Q-o-Q
    Q4 FY25

    Year-over-year increase due to R&D headcount increase for crypto and AI. Quarter-over-quarter decrease due to bonus accrual in previous quarters.

    Selling and marketing expenses
    HKD 507 millionup 9% year-over-year and down 13% Q-o-Q
    Q4 FY25

    Year-over-year increase in line with net new funded accounts growth. Quarter-over-quarter decrease due to lower new client additions and client acquisition costs.

    G&A expenses
    HKD 549 milliondown 5% year-over-year and flat Q-o-Q
    Q4 FY25

    Year-over-year decrease primarily due to lower professional service expenses.

    Income from operations
    HKD 4.1 billionincreased 87% year-over-year and 6% Q-o-Q
    Q4 FY25

    Income from operations for the quarter.

    Operating margin
    64.4%from 50% in Q4 FY24
    Q4 FY25

    Operating margin increased due to strong top line growth and operating leverage.

    Net income
    HKD 3.4 billionincreased by 80% year-over-year and 5% Q-o-Q
    Q4 FY25

    Net income for the quarter.

    Net income margin
    52.3%as compared to 42.2% in Q4 FY24
    Q4 FY25

    Net income margin expanded for the quarter.

    Effective tax rate
    16.3%
    Q4 FY25

    Effective tax rate for the quarter.

    R&D headcount
    increased
    Q4 FY25

    Increased to support crypto and AI-related initiatives.

    Client acquisition cost (CAC)
    low end or lower than HKD 2,500-HKD 3,000 range
    Q1 FY26 (first 2 months)

    CAC for the first two months of Q1 FY26 is robust and potentially lower than the full-year objective.

    Chinese ADRs contribution to U.S. stock trading volume
    less than 10%roughly 10% in Q3 FY25
    Q4 FY25

    Contribution has been gradually decreasing structurally.

    Crypto penetration among trading clients
    rising to high single digit and low teen levels
    Q4 FY25

    Penetration rate for people trading crypto increased across Hong Kong, Singapore, and the U.S.

    Net asset inflow
    expected to be highest quarterly numberdouble-digit sequential increase
    Q1 FY26

    Expected to be a historic high for quarterly net asset inflow.

    Total client assets
    HKD 1.23 trillionup 66% year-over-year and flat quarter-over-quarter
    Q4 FY25

    Mark-to-market losses on Hong Kong stock holdings weighed on overall client assets.

    Margin financing and securities lending balance
    HKD 67.7 billionexpanded 7% sequentially
    Q4 FY25

    Underpinned by heightened U.S. stock margin trading activity and increased use of leverage from popular Hong Kong IPOs.

    Wealth management client assets
    HKD 179.6 billionup 62% year-on-year and 2% sequentially
    Q4 FY25

    Growth driven by broadened portfolio suite and product enhancements across markets.

    IPO distribution and IR clients
    600up 24% year-over-year
    Q4 FY25

    Reinforced standing as leading online broker for Hong Kong IPO distribution and subscription.

    Investment banking services to newly listed Hong Kong Main Board Company
    over half
    FY25

    Provided services to a significant portion of new listings.

    Full year subscription amount on platform
    49%
    FY25

    Represented 49% of the total public offering subscription amount.

    Hong Kong IPO subscribers on platform
    nearly 5xyear-over-year
    FY25

    Significant growth in subscribers for Hong Kong IPOs.

    Total trading volume
    HKD 3.98 trillionup 38% year-over-year and 2% quarter-over-quarter
    Q4 FY25

    Record total trading volume.

    U.S. stock trading turnover
    HKD 3 trillionup 17% sequentially
    Q4 FY25

    Driven by diversification into a broader range of sectors and AI value chain.

    Hong Kong stock trading volume
    HKD 821 billioncontracted 31% quarter-over-quarter
    Q4 FY25

    Impacted by investor appetite to China technology stocks and market correction.

    Crypto trading volume
    HKD 20 billion
    Q4 FY25

    Remained resilient despite market headwinds.

    Net new funded accounts
    230,000down 8% quarter-over-quarter, but up 9% year-over-year
    Q4 FY25

    Total net new funded accounts for the quarter. Full year 2025 added over 950,000 net new funded accounts, surpassing guidance by 19%.

    Total funded accounts
    3.4 millionup 40% year-over-year
    Q4 FY25

    Total funded accounts at quarter end.

    Share repurchase program
    USD 800 millionUSD 0 executed in Q4 FY25
    until Dec 2027

    Authorized share repurchase program, no buybacks conducted in Q4 FY25. Management will look for market opportunities.

    Product announcements

    4
    ProductTypeDetails
    Crypto offeringsexpansion
    Airstar Bank mutual funds and insurance productslaunch
    AI algo tradinglaunch
    AI chatbots and AI analysisexpansion

    Deals & partnerships

    2
    Xunce TechnologyOverall coordinator for IPO

    Assumed the role of overall coordinator for a high-profile Hong Kong IPO in Q4 FY25.

    Xiao NoodlesOverall coordinator for IPO

    Assumed the role of overall coordinator for a high-profile Hong Kong IPO in Q4 FY25.

    Risks & headwinds

    4
    Hong Kong stock market downturnQ4 FY25

    Hong Kong stock trading volume contracted 31% quarter-over-quarter to HKD 821 billion; Hansa Index down 5% Q-o-Q and Hansa Tech Index down 15% Q-o-Q in Q4 FY25

    Mitigation: Diversification into U.S. stock trading; increased trading interest in gold and other precious metals; strong net asset inflow from high net worth clients.

    Investor appetite for China technology stocksH2 FY25

    Weighed market correction in the second half of 2025

    Mitigation: Clients diversifying beyond large technology names into a broader range of sectors and across the AI value chain.

    Market volatility due to geopolitical tensions and macro headwindsQ1 FY26

    Impacted Q1 FY26, but client acquisition run rate remains robust

    Mitigation: Company remains confident in achieving 2026 funded accounts target; CAC objective set with flexibility for market volatility.

    Crypto market headwindsQ4 FY25

    Crypto trading volume remained resilient at approximately HKD 20 billion despite market headwinds

    Mitigation: Expanded crypto offerings in Singapore and U.S.; enriched market data and information around crypto; rising crypto penetration among trading clients.

    What to watch in Q1 FY26

    5

    Net new funded accounts

    2026
    Current950,000+ in FY25
    Target800,000 for 2026

    Why it matters

    This is a key growth driver for the business, indicating market penetration and client acquisition efficiency.

    We remain confident in our ability to acquire 800,000 net new funded accounts in 2026, supported by strong bottom-up growth opportunities across both our established markets and newer ones.

    Q&A highlights

    5

    What are the current trends for client growth, net asset inflow, trading velocity, and commission rates in Q1 FY26? Can you provide a breakdown of U.S. stock trading volume, specifically the contribution from Chinese ADRs?

    Management expects flattish QoQ net new funded accounts and trading volume in Q1 FY26, but a double-digit sequential increase in net asset inflows, potentially reaching a historic high. Total client assets are expected to increase modestly. The blended commission rate is flattish QoQ. Chinese ADRs contributed less than 10% to U.S. stock trading volume in Q4 FY25, a structural decrease.

    “Regarding the Chinese ADRs contribution for our U.S. stock trading volumes in the latest quarter, this portion is less than 10%.”

    asked by Peter Zhang from JPMorgan · answered by Arthur Chen

    3 min read6 chapters

    Detailed Narrative

    01

    Client Acquisition & Geographic Expansion

    Futu achieved strong client acquisition in 2025, adding over 950,000 net new funded accounts, exceeding its full-year guidance by 19%. Total funded accounts reached 3.4 million, a 40% year-over-year increase. Growth was broad-based, with Hong Kong and Malaysia being primary drivers. Japan solidified its position as the #1 foreign securities firm with over 2 million cumulative app downloads, and Moomoo was the most downloaded trading app in Australia in 2025. While Q4 FY25 saw moderation in Hong Kong client growth due to local market downturn, Japan and Malaysia recorded double-digit sequential growth.

    02

    Trading Volume & Diversification

    Total trading volume reached a record HKD 3.98 trillion in Q4 FY25, up 38% year-over-year and 2% quarter-over-quarter. U.S. equity markets were a significant driver, with turnover up 17% sequentially to HKD 3 trillion, as clients diversified beyond large technology names into broader sectors and the AI value chain. Hong Kong stock trading volume contracted 31% quarter-over-quarter to HKD 821 billion due to investor sentiment towards China technology stocks, partially offset by interest in gold and precious metals. Crypto trading volume remained resilient at approximately HKD 20 billion, with rising penetration across Hong Kong, Singapore, and the U.S.

    03

    Wealth Management Growth & Product Expansion

    Wealth management client assets grew to HKD 179.6 billion, up 62% year-over-year and 2% sequentially. This growth was supported by broadening the portfolio suite across key markets. In Hong Kong, high-dividend funds were enhanced, and minimum investment thresholds for structured products were lowered. Singapore saw the introduction of more equity and short-duration bond funds, while Malaysia launched Shariah-compliant gold tracker funds, meeting strong local demand.

    04

    Airstar Bank Strategy & Synergies

    Futu is focused on enhancing Airstar Bank's user experience and internal infrastructure. In Q4 FY25, the bank streamlined account opening, launched mutual funds and insurance products in its app, and introduced a desktop version. Internally, compliance and risk management capabilities were strengthened with an anti-money laundering system and AI-powered fraud detection. The long-term strategy for Airstar Bank is to generate meaningful synergies with Futu's existing business, with revenue streams expected to skew towards fee income from wealth management and associated activities.

    05

    Investment Banking Services & IPO Leadership

    Futu reinforced its standing as a leading online broker for Hong Kong IPO distribution and subscription. At quarter-end, the company had 600 IPO distribution and IR clients, a 24% year-over-year increase. In 2025, Futu provided investment banking services to over half of the newly listed Hong Kong Main Board companies, with its platform representing 49% of the total public offering subscription amount. The number of Hong Kong IPO subscribers on the platform grew nearly 5x year-over-year.

    06

    AI Integration & Strategic Priority

    AI is a company-level strategic priority, with assessments beginning in 2022 and ramped-up investment over recent quarters. Futu leverages AI to enhance investment opportunity discovery and information gathering, providing AI-generated daily/weekly reports, earnings summaries, and news. The company launched AI algo trading in Q4 FY25, allowing users to generate quantitative strategies with natural language. Asset class coverage for AI chatbots and analysis has expanded, and access to open cloud is offered via open API, leveraging years of development in market data and trading infrastructure.

    AI-generated summary of the company’s earnings call. Not investment advice.