SINGAPORE - Stock broker UOB-Kay Hian Holdings said its third quarter net profit fell by 26 per cent to $14.7 million.
Total revenue slumped by 9 per cent to $76.7 million for the three months to Sept 30, on the back of an 11.8 per cent drop in commission income $51.2 million.
UOB-Kay Hian said trading volumes in major regional markets where it operates remained low.
Interest income slipped 6.4 per cent to $19.6 million, owing to lower financing activities. Other operating revenue increased 11.7 per cent to $5.9 million , due to higher corporate finance activities.
Overall commission and personnel expenses fell due to lower business volume.
Commission expense dropped 2.2 per cent to $12.1 million, a smaller decrease relative to reduction in income, due to the conversion of employed dealers to remisiers.
Earnings per share fell to 1.87 cents from 2.56 cents previously while net asset value per share eased to 168.76 cents compared to 169.69 cents as at Dec 31.
Looking ahead, the stock broker expects investors to maintain a more risk adverse approach given the many prevailing uncertainties, including volatile currency fluctuations.
"We therefore expect trading volume to remain low," it noted.
UOB-Kay Hian shares ended unchanged at $1.31.