Futures traders profits drop through first 3Qs

China's 165 largest futures trading companies reported a combined net profit of US$63.56 million (RMB434 million) over the first three quarters of the year, down 33% on a year earlier, an inside source told the Securities Times Thursday. The average net profit was US$385,167 (RMB2.63 million). However, the ten top companies posted a combined net profit of RMB651 million, meaning the remainder posted a net loss of RMB271 million. A market watcher set out three reasons for the falling profits: diminishing commission charges due to vicious competition, increasing expansion costs and the struggling stock market. China Cifco Investment (000996.SZ), the sole listed futures trader on the mainland, posted a US$836,237 (RMB5.718 million) net profit, which was weighed down by 56.76% year-on-year decline in the third quarter to just US$48,036 (RMB328,000). Current futures commission charges average just 0.00064%, the newspaper said. Commission charges grossed US$483.29 million (RMB3.3 billion) during the first nine months.