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SGX posts 9% rise in 1Q earnings to $90.7 mil

PC Lee
PC Lee • 2 min read
SGX posts 9% rise in 1Q earnings to $90.7 mil
SINGAPORE (Oct 25): Singapore Exchange has reported 1Q18 ended Sept earnings of $90.7 million or 8.5 cents per share, 9% higher than a year ago.
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SINGAPORE (Oct 25): Singapore Exchange has reported 1Q18 ended Sept earnings of $90.7 million or 8.5 cents per share, 9% higher than a year ago.

This came on the back of revenue of $204.5 million, up 7% from last year.

Revenue from equities and fixed income – comprising issuer services, securities trading & clearing and post trade services – increased 2% to $99.7 million and accounted for 49% of total revenue.

Derivatives revenue rose 14% to $80.6 million, contributing to 39% of total revenue from 37% a year ago.

Market data and connectivity revenue increased 10% to $24.2 million, accounting for 12% of total revenue.

Listing revenue grew 6% following a higher number of new bond listings, with 347 bond listings raising $156.1 billion. There were a total of six new equity listings which raised $2.7 billion, while secondary equity funds raised amounted to $1.1 billion.

Expenses increased by 5% to $98.5 million, including operating costs of $3.3 million relating to Baltic Exchange

Operating profit rose 9% to $106.0 million.

Securities daily average traded value (SDAV) for July-Sept period increased 18% to $1.16 billion, with total traded value rising 18% to $73.2 billion. This included equities where traded value increased 14% to $67.5 billion.

Looking ahead, CEO Loh Boon Chye expects the momentum in market activity to continue and return to higher levels of past years.

As previously guided, operating expenses for FY18 are expected to be between $425 million and $435 million, while technology-related capital expenditure is expected to be between $60 million and $65 million.

SGX has declared an interim dividend of 5 cents per share, payable on Nov 9.

Shares in SGX closed 1 cent lower at $7.57 on Wednesday.

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