UP Fintech Holding Ltd. Q3 FY2025 earnings call

• In the third quarter, Tiger achieved impressive performance with all revenue segments and profit showing encouraging growth. Total revenue reached USD 175.2 million. • All licensed entities achieved profitability, with net income attributable to UP Fintech at USD 53.8 million, up 30% from the previous quarter. • Added 31,500 new funded accounts in the third quarter, with Singapore and Hong Kong as key growth markets. • Client assets reached a new high of USD 61 billion, with over 60% of net asset inflow from Singapore and Hong Kong. • Refined product features, such as waiving Singapore Exchange quarterly custody fee and introducing Japanese market derivative services in Hong Kong. • 2B business maintained strong momentum, with other revenue doubling quarter-over-quarter. • Tiger AI usage saw rapid growth, with user numbers nearly fivefold year-over-year.

Total revenue reached USD 175.2 million, representing a year-over-year increase of 73.3% and a quarter-over-quarter increase of 26.3%. Commission income was $72.9 million, increased 77% year-over-year and 13% quarter-over-quarter. Interest income was $73.2 million, increased 53% year-over-year and 25% quarter-over-quarter. Total client assets reached a new record of USD 61 billion, up 17.3% quarter-over-quarter and 49.7% year-over-year. In the third quarter, 31,500 new funded accounts were added, with Singapore and Hong Kong being primary contributing markets. The total number of funded accounts reached 1,224,200, an 18.5% year-over-year increase, and the annual guidance of acquiring 150,000 newly funded accounts was already achieved.

• Already achieved the annual guidance of acquiring 150,000 newly funded accounts. • Early trends in the fourth quarter: trading volume in the first two months was on par with Q3; client assets net inflow remained robust but affected by market volatility. • Clearing cost is sustainable as SEC no longer charges transaction fee, largely reducing clearing costs.

Q: Regarding the AUM breakdown and take rate.

A: Client assets increase of 17% to USD 61 billion: ~30% from net asset inflow and ~70% from mark-to-market gains; over 60% of net asset inflow from Singapore and Hong Kong, mainly from retail clients. Cash equity take rate increased from 6.4 bps to 7.1 bps due to active U.S. penny stocks; blended take rate increased as futures trading volume decreased.

Q: Early trends in the fourth quarter and clearing cost.

A: Trading volume in the first two months of Q4 was on par with Q3; client assets net inflow was robust but affected by market volatility; clearing cost is sustainable due to SEC fee change.

Q: Operating costs and Hong Kong market.

A: Operating costs increased due to global expansion, headcount increase, and performance bonuses; Hong Kong contributed ~35% of new funded accounts, focus on improving product offerings rather than immediate profit contribution.

Q: CAC and interest income.

A: CAC varies by market, optimized for high-quality users; interest income increased due to client asset growth and spread change in margin financing and securities lending