CLSA Premium Records Profit Again in H1 2023 as It Shifts Business Focus

CLSA Premium, a Hong Kong-focused Forex broker, released its unaudited interim results for the six months ended June 30, 2023 (H1 2023), recording the total income of HK$143.01 million, increasing by 15.74 times comparing to HK$8.54 million for the same period of last year.

Specifically, income from sale of good from healthcare business rose by 17.17 times from HK$7.6 million to HK$138.11 million, which contributed the most in the growth of income. Leveraged foreign exchange and other trading income dropped by 64.4% from HK$610K in H1 2022 to HK$217K.

Total expenses for the six months came in at HK$136.38 million, increasing by 4.39 times from HK$25.30 million in H1 2022.

Profit for the period from continuing operations totaled HK$5.32 million, comparing to loss of HK$17.14 million in the first six months in 2022.

As of June 30, 2023, total assets held the by the company amounted to HK$268.73 million, an increase of 5.4% compared to HK$283.47 million in the prior six months.

In an effort to regain profitability and strengthen the Group's financial standing, the management team of CLSA Premium has been looking for new opportunities. Starting from 2022, the broker has shift its focus on healthcare business. Besides, the company had suspended its operation in New Zealand and Australia​, and continue to take actions to cut costs. These combined efforts have simultaneously increased the total revenue by more than 10 times and the Group recorded a profit again in the 2023 Interim Period.

This May, CLSA Premium decided to suspend the operation of the Margin Dealing Business, which contained the group's margin dealing and the bullion trading business, citing 'limited prospect for the Margin Dealing Business to obtain new clients and to improve its performance'. In the same month, the broker received SEHK's guidance for the resumption of trading in its shares​. CLSA Premium stated that it is taking actions to deal with the substantive issues that led to its trading suspension and hopes to resume its shares trading as soon as possible.