What happened
Top Financial Group (TOP -0.37%) was tops with some investors at the end of the trading week. Following the release of its fiscal 2023 results early on Friday, those folks sent the Hong Kong-based company's share price up by more than 20%.
So what
In its fiscal 2023, which ended on March 31, Top Financial earned $9.7 million in total revenue. This represented an improvement of 24% over the 2022 figure. Net income was $3.4 million, or $0.10 per share, down slightly from the $3.5 million of the previous year.
Top Financial is not a closely followed stock in the U.S., so analysts' estimates for its results were not available.
Nevertheless, investors on our shores were clearly impressed with that significant revenue jump. They were also likely cheered by Top Financial's success in diversifying its income streams. As recently as 2021, it was almost entirely dependent on commissions from futures trading. As a percentage of total revenue, futures trading dropped to less than 45% in fiscal 2023.
Now what
Top Financial had its initial public offering (IPO) just over one year ago, and the funds collected from it are still being used by the company, management said.
"The capital raised through our recent IPO enhanced our capital base and provided us with ample ammunition to continue to develop our product and service," CFO Yung Yung Lo said in the earnings press release. "All in all, we are well positioned to implement our growth strategy in the quarters to come."
The company did not, however, provide any guidance.
