UOB Kay Hian has reported earnings of $93 million for the six months ended June 30, up 22.4% from the year earlier period.
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Revenue for the same 1HFY2021 was $339.7 million, up from $269.5 million in the same period last year, thanks to a strong volume of trading activity.
“The market momentum of 2020 had carried into 1H 2021 and was fuelled largely by liquidity
flows under low interest rates from accommodative monetary policies,” states UOB Kay Hian in its earnings commentary.
However, it is warning of possible market risks looming, such as rising inflation, policy risks hurting tech companies in China.
And of course, the pandemic is still here, with the so-called Delta variant causing flare ups in cases.
“Therefore, the global economic recovery may occur at a slower pace and in turn moderate regional market trading volumes for the rest of 2021,” states the brokerage.
Nevertheless, it expects to “continue to operate profitably.”
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UOB Kay Hian closed Aug 11 at $1.60, down 0.62% for the day, up 12.68% year to date.
