An increasing number of wealthy customers from mainland China are using Hong Kong to diversify their investments and expand their businesses globally, according to a senior executive of Hong Kong-based mid-tier lender China Citic Bank International.
“After many government efforts to promote family offices in recent years, we have seen strong growth from wealthy mainland customers seeking our bankers to help them set up family offices in Hong Kong,” said Wendy Yuen Miu-ling, head of the bank’s personal and business banking group, in an exclusive interview.
She said the bank, which uses the name CNCBI for short, had seen new cross-border wealth-management customers from the mainland triple in the first half of this year, while assets under management jumped 30 per cent.
The growth of the wealth-management business helped boost the bank’s fee income by 50 per cent in the first half, while its private bank operating income increased by 60 per cent, Yuen said.
Rich mainland clients liked to set up family offices in Hong Kong “as a platform for them to diversify their investment portfolio”, she said, adding that as an international financial centre, the city offered them a wide range of international products to invest in.
Family offices are entities created by affluent individuals or families to manage their investments, succession planning and philanthropic activities.
In his policy address in September, Chief Executive John Lee Ka-chiu set a new target of attracting an additional 220 family offices to Hong Kong by 2028, after achieving the previous goal of bringing in 200 such firms between 2023 and 2025. This followed tax incentives introduced in 2023 and the investment-migration scheme launched last year.
What makes a great teacher? A great mentor? And what is the difference between the two? We asked four recognized leaders in cardiovascular education and mentorship to reflect on these and other questions and share their tips for achieving…
Evaluation, Management of Tricuspid Regurgitation Focus of New ECDP
The ACC has released a new Expert Consensus Decision Pathway (ECDP) addressing “10 issues for the clinician in tricuspid regurgitation (TR) evaluation and management.” The…
Our cover story this month takes on the daunting task of describing the complexities of pulmonary hypertension (PH). The story emphasizes that patients with PH need early recognition and treatment. It also points out what most of us would…
SAN DIEGO – San Diego State men’s tennis continued its split weekend on Saturday, with Aztecs competing at both the Jack Kramer Classic in Rancho Palos Verdes, Calif. and the Hagedorn Hidden Duals, hosted by the University of San Diego at the…
HANOI, Nov. 2 (Xinhua) — The death toll from heavy rains and flooding in Vietnam’s central region has risen to 35, with 5 people missing and 60 others injured, the Vietnam Disaster and Dyke Management Authority said on Sunday.
Apple is reportedly planning a colorful twist for next year’s flagship iPhones. According to a new leak, the upcoming iPhone 18 Pro and iPhone 18 Pro Max could debut in three all-new shades that break from…
GMO Financial Holdings (TSE:7177) delivered earnings growth of 119.6% over the past year, rebounding from a five-year average annual decline of 5.2%. Net profit margins more than doubled to 22.2%, up from 11% in the prior year, pointing to stronger operational efficiency. While revenue is forecast to grow at 2.9% per year, trailing the broader Japanese market’s 4.5% growth rate, the company’s earnings are projected to expand by 7.47% annually, just under the market average. Shares trade at a price-to-earnings ratio of 10.5x, below notable industry benchmarks. However, the current share price of ¥900 sits well above the estimated fair value of ¥353.25. Investors will see the combination of improved margins, attractive valuation multiples, and robust earnings growth balanced by slower revenue forecasts and concerns about dividend sustainability.
See our full analysis for GMO Financial Holdings.
Next up, let’s see how these headline numbers stack up against the most widely followed narratives and market expectations. Some stories may be reinforced while others get a reality check.
Curious how numbers become stories that shape markets? Explore Community Narratives
TSE:7177 Earnings & Revenue History as at Nov 2025
Net profit margins jumped to 22.2%, up from 11% in the previous year, indicating a notable increase in operational efficiency for GMO Financial Holdings.
Recent improvements heavily support bullish arguments that profitability is stabilizing, even as growth rates trail the market average.
Bulls are quick to point to robust margin expansion as evidence of management’s focus on efficiency.
However, this creates tension with the view that a lack of major growth drivers may limit near-term share price gains.
Revenue is projected to grow by 2.9% annually, which is slower than the Japanese market’s expected pace of 4.5% per year.
This underlines the prevailing market view that GMO’s steady, incremental progress appeals to risk-averse investors, although some remain cautious about the absence of breakout catalysts.
Retail investors tracking sector peers may favor more aggressive revenue expansion, but GMO’s reputation for stability makes it a defensive pick for conservative portfolios.
The market’s modest optimism reflects appreciation for business reliability, even if it comes at the cost of rapid market share gains.
The current share price of ¥900 trades at a significant premium to the DCF fair value estimate of ¥353.25, highlighting tension between market sentiment and intrinsic valuation.
Prevailing analysis considers this gap a key signal, prompting cautious comparisons with industry norms and weighing up whether low price-to-earnings multiples (10.5x versus the industry’s 15x) genuinely offset the valuation risk.
Many view the discount to sector multiples as attractive, but the large divergence from DCF fair value leads some to question if positive sentiment has run ahead of fundamentals.
This ongoing debate keeps valuation at the center of investor discussions and may influence near-term positioning until growth drivers materialize.
Don’t just look at this quarter; the real story is in the long-term trend. We’ve done an in-depth analysis on GMO Financial Holdings’s growth and its valuation to see if today’s price is a bargain. Add the company to your watchlist or portfolio now so you don’t miss the next big move.
Despite robust profit margins, GMO Financial Holdings faces valuation concerns as its share price trades well above estimated fair value. This may limit future upside.
If you’re searching for opportunities with more attractive pricing, check out these 838 undervalued stocks based on cash flows to uncover companies trading at more compelling values right now.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include 7177.T.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
F&MLtd (TSE:4771) posted net profit margins of 10.9%, climbing from last year’s 9%, while earnings shot up 49.2% over the past twelve months, significantly above the company’s five-year average annual growth of 13.3%. This strong earnings momentum and steadily improving margins highlight a period of accelerated profit growth that exceeds F&MLtd’s historical trend and underscores the high quality of its reported earnings. Shares now trade at a price-to-earnings ratio of 19.2, notably above both industry and peer group averages, with the stock price sitting above estimated fair value. This could make valuation a bigger topic of debate among investors despite the strong financial outperformance. Looking ahead, the absence of material risks and the persistence of robust profit and revenue growth remain the main rewards for prospective shareholders, though questions about sustainability and future growth drivers are likely to remain in focus.
See our full analysis for F&MLtd.
The next step is to see how these results stack up against the key narratives shaping market sentiment. Some long-held views could get confirmed, while others may be seriously challenged.
Curious how numbers become stories that shape markets? Explore Community Narratives
TSE:4771 Revenue & Expenses Breakdown as at Nov 2025
Net profit margins reached 10.9%, up from 9% the previous year, marking a clear strengthening in profitability not seen in prior periods.
The recent margin improvement heavily supports the positive outlook that F&MLtd is not just growing, but becoming more efficient in turning revenue into real profit.
This move above the 10% threshold aligns with the view that earnings quality remains high, as confirmed by filings.
It reinforces confidence that margin gains are sustainable, especially given the five-year trend of 13.3% compounded profit growth.
The company’s price-to-earnings ratio stands at 19.2, higher than both the industry average of 13.2x and peer group average of 14.8x. The current share price of ¥2666 is also well above its DCF fair value of ¥2286.35.
This valuation gap highlights how strong recent profit results have led investors to price in a premium, which may outpace sector norms.
Compared to peer and industry averages, such a premium could create headwinds for near-term price appreciation if growth rates revert to longer-run averages.
At the same time, it prompts fresh debate about whether the profit momentum justifies paying so far above underlying fair value and sector multiples.
Earnings were up 49.2% over the past twelve months, well above the company’s five-year average compound growth rate of 13.3%.
What is striking is how this acceleration stands out from the long-term pattern, suggesting that recent catalysts are driving a sharper profit trajectory than most investors expected.
With no currently identified material risks or negative data, strong earnings growth supports optimism about the durability of the company’s operating model.
Still, with the profit surge exceeding even the company’s own five-year trend, the real test may be sustaining this level as the base for the next stage of growth.
F&MLtd’s standout margin and profit growth have put the company’s valuation front and center for investors, fueling a debate over how much of this momentum is already baked into the share price.
Have a read of the narrative in full and understand what’s behind the forecasts.
Don’t just look at this quarter; the real story is in the long-term trend. We’ve done an in-depth analysis on F&MLtd’s growth and its valuation to see if today’s price is a bargain. Add the company to your watchlist or portfolio now so you don’t miss the next big move.
While F&MLtd’s impressive earnings surge commands attention, valuation concerns loom because its share price now trades well above fair value and peer multiples.
If you’re looking for stocks with more attractive entry points, discover these 838 undervalued stocks based on cash flows and spot opportunities where strong fundamentals come without the premium price tag.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include 4771.T.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com