Online brokerage UP Fintech Holding Limited (NASDAQ: TIGR) on Tuesday reported first-quarter results alongside disclosure of a roughly RMB411 million ($59.7 million) enforcement action by the Beijing Bureau of the China Securities Regulatory Commission (CSRC) against certain subsidiaries.
The CSRC issued the penalties on May 22, after the quarter closed on March 31. The regulator found the subsidiaries had conducted unlicensed cross-border securities business and illegal fund and futures activities in mainland China.
The total comprised approximately RMB308.1 million in administrative penalties and RMB103.1 million in confiscated illegal income. CEO Tianhua Wu received a separate warning and RMB1.25 million penalty, a Form 6-K filed with the SEC shows.
UP Fintech recognized the charge as a subsequent significant event for Q1. The 6-K filing noted that retail client assets in mainland China under consolidated accounts represented about 10% of total client assets at end-2025.
“Considering the Company’s overall profitability and cash flow position, this one-off expense will not have a material adverse impact on our business operations or long-term development,” said Wu Tianhua, Chairman and CEO.
First-quarter revenue reached $154.9 million, up 26.3% year over year. Net loss attributable to shareholders was $26.9 million, versus net income of $30.4 million a year earlier. Total funded accounts rose 11.3% year over year to 1.28 million, with client assets at $58.9 billion.
The CSRC action was part of a wider crackdown that also targeted Futu Securities and Longbridge for similar unlicensed cross-border activities. UP Fintech’s board has approved a $50 million share repurchase programme over 12 months from June 1.
