By Sam Boughedda
Investing.com -- Futu Holdings Ltd (NASDAQ:FUTU) shares fell 10% Friday after reporting earnings before the bell that missed earnings expectations.
The online brokerage and wealth management platform reported revenue of $205.5 million and an adjusted net income of $68.4 million in the fourth quarter. Adjusted earnings per share were 42 cents. Both revenue and earnings missed analyst expectations.
The company's brokerage commission and handling charge income rose 19.3% to $109.9 million, with interest income increased 83.3% to $79.2 million.
However, other income, which includes wealth management and corporate services, was down 2.2% to $16.4 million on a year-over-year basis.
Futu's users increased 45.8% year-over-year to 17.40 million at the end of the quarter. Meanwhile, the total number of registered clients increased 93.8% year-over-year to 2.75 million, with the total number of paying clients rising 140.8% to 1.24 million.
Total trading volume was $157.2 billion in the fourth quarter.
Futu, which owns investing platform Moomoo and is backed by venture capital affiliates of Tencent, Sequoia Capital, said the Moomoo platform further increased its visibility in markets such as the U.S. and Singapore, during 2021.
Following the report, the company's shares fell more than 10%, adding to its losses in the last 12 months, hitting a low of $24.05