Earnings call transcript: Mirae Asset Securities posts record Q2 2026 profit

Mirae Asset Securities announced record second-quarter 2026 profits, with consolidated pre-tax income increasing 86% year-over-quarter to KRW 2 trillion 528.7 billion and net income surging 90% to KRW 1 trillion 905.2 billion. The gains were driven by strong brokerage, trading, and overseas operations, as well as a substantial valuation gain from its investment in SpaceX.

Shares jumped 2.82% to $36,500 following the report, indicating a positive but moderate response from investors. The company's annualized first-half return on equity reached 39.5%, with consolidated equity standing at KRW 16.2 trillion as of June. Client assets, both domestic and overseas, expanded to KRW 784 trillion, a 19% increase from the prior quarter.

Management highlighted a shift away from a brokerage-focused model towards asset allocation, pensions, and digital wealth services. Overseas subsidiaries contributed about 24% of consolidated pre-tax income, up 6 percentage points from the previous quarter, with major markets including the U.S., Hong Kong, and Europe. The earnings call did not disclose earnings per share or revenue figures for direct comparison with forecast data.

Mirae Asset Securities' earnings improved significantly, with pre-tax income up 86% quarter-over-quarter and net income up 90%. The first half of 2026 saw pre-tax income up 349% year-over-year and net income up 338%. However, a significant portion of the improvement stemmed from SpaceX valuation gains, which could fluctuate from quarter to quarter.

Shares rose 2.82% to $36,500 after the report, trading above their 52-week low of $16,976 but still below the 52-week high of $87,800, suggesting investors welcomed the results but did not fully re-rate the stock based solely on headline numbers. Management emphasized future plans to expand the wealth management platform using digital tools and AI, as well as extending the global investment platform, MAPS, into the U.S., Singapore, Japan, and Australia.

The company is also preparing for security token offerings in 2027 and building infrastructure for tokenization and digital asset trading, along with monitoring potential approval of crypto spot exchange-traded funds in the second half of 2026. Despite the strong quarterly performance, the stock is trading at a low P/E ratio relative to near-term earnings growth, indicating potential value for investors who can overlook short-term volatility.