Metalpha Reported Fourfold Jump in Notional Amount of Derivative Products for Fiscal Year 2024

Rhea-AI Summary

Metalpha Technology Holding (MATH) reported significant growth in its fiscal year 2024 ended March 31. The company's total notional amount of derivative products reached US$1.56 billion, marking a 406% increase from US$382 million in FY2023. Income from wealth management business grew 195% to US$16.8 million from US$5.7 million, while gross profit increased 180% to US$5.6 million from US$2.0 million in the previous fiscal year. The company, focused on digital asset wealth management, expressed confidence in the digital asset industry's outlook.

Positive

• 406% increase in notional amount of derivative products to US$1.56 billion
• 195% growth in wealth management income to US$16.8 million
• 180% increase in gross profit to US$5.6 million

Negative

• None.

Insights

Financial Analyst

The fourfold increase in derivative product notional amount to $1.56 billion and 195% surge in wealth management income signals robust growth in Metalpha's core business. Gross profit jumped 180% to $5.6 million, indicating improved operational efficiency despite rapid expansion. However, investors should note that while notional amounts are impressive, they don't directly translate to revenue or profit. The company's focus on digital asset derivatives carries inherent market volatility risks and with a relatively small market cap of $45.8 million, the stock may experience significant price swings. The positive financial metrics demonstrate strong execution, but sustainability of growth rates and market conditions in the crypto sector will be important factors moving forward.

HONG KONG, Oct. 31, 2024 /PRNewswire/ -- Metalpha Technology Holding Limited (Nasdaq: MATH) (the "Company" or "Metalpha"), a global digital asset-focused wealth management company, today announced that it filed its Form 20-F annual report for the fiscal year ended March 31, 2024 ("Fiscal Year 2024") on October 30, 2024. In Fiscal Year 2024, the Company reported a total notional amount of derivate products of approximately US$1.56 billion, which was 406% comparing to the total notional amount of US$382 million for the fiscal year ended March 31, 2023 ("Fiscal Year 2023").

Financial Highlights

Metalpha is one of the leading digital asset-focused derivative trading firms. Income from the wealth management business surged about 195% from US$5.7 million in Fiscal Year 2023 to US$16.8 million in Fiscal Year 2024. Gross profit also increased by 180% from US$2.0 million in Fiscal Year 2023 to US$5.6 million in Fiscal Year 2024.

	Fiscal Year 2023 (US$)	Fiscal Year 2024 (US$)
Income from Wealth Management Business	5,692,056	16,763,545
Gross Profit	2,020,658	5,627,748

"The Company has seen some great progress in the Fiscal Year of 2024 and I'm delighted to see a continued strong growth in our wealth management business. Most importantly we are committed to deliver the best products and services to our clients. We are very confident in the outlook of the digital asset industry and will continue to innovate and design superb products for our professional clients," said Adrian Wang, Chairman of the Board of Directors and Chief Executive Officer of Metalpha.

The annual report can be accessed under the SEC Filings section on the Company's investor relations website at https://www.metalpha.net/investor-relations.html. The Company will provide a hard copy of its annual report containing the audited consolidated financial statements, free of charge, to its shareholders upon request. Requests should be directed to the Company's Investor Relations Department at info@metalpha.finance.

About Metalpha Technology Holding Limited

Founded in 2015, Metalpha Technology Holding Limited (Nasdaq: MATH) went public on October 20, 2017. The listed Company, through its subsidiaries, is dedicated to providing investing and wealth management services with a full-service, institutional-grade platform. With dedicated blockchain expertise, the Company aims to become a leader in the field of crypto wealth management services, bringing robust innovation and transparency to the customers and businesses it serves.

Safe Harbor Statement

This press release contains statements that may constitute "forward-looking" statements pursuant to the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "aims," "future," "intends," "plans," "believes," "estimates," "likely to" and similar statements. Management has based these forward-looking statements on its current expectations, assumptions, estimates and projections. While they believe these expectations, assumptions, estimates and projections are reasonable, such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond management's control. These statements involve risks and uncertainties that may cause Metalpha's actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by these forward-looking statements.

View original content:https://www.prnewswire.com/news-releases/metalpha-reported-fourfold-jump-in-notional-amount-of-derivative-products-for-fiscal-year-2024-302292809.html

SOURCE Metalpha Technology Holding Limited

FAQ

What was Metalpha's (MATH) total notional amount of derivative products in FY2024?

Metalpha reported a total notional amount of derivative products of US$1.56 billion in fiscal year 2024, representing a 406% increase from US$382 million in FY2023.

How much did Metalpha's (MATH) wealth management income grow in FY2024?

Metalpha's income from wealth management business grew 195% from US$5.7 million in FY2023 to US$16.8 million in FY2024.

What was Metalpha's (MATH) gross profit for fiscal year 2024?

Metalpha reported a gross profit of US$5.6 million in fiscal year 2024, representing a 180% increase from US$2.0 million in FY2023.