Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


NZX first-half profit rises 8.3% on jump in listings revenue

NZX first-half profit rises 8.3% on jump in listings revenue

By Suze Metherell

Aug. 11 (BusinessDesk) - NZX posted an 8.3 percent increase in first-half profit as a flurry of listings drove revenue growth for the stock market operator.

Profit rose to $6.97 million, or 2.7 cents a share, in the six months ended June 30, from $6.4 million, or 2.5 cents a year earlier, the Wellington-based company said in a statement. Sales rose to $31.2 million from $30 million. Profit was just below Forsyth Barr's estimate of $7.1 million.

NZX is experiencing a flurry of listings, with Intueri Education Group, the private tertiary education company, Genesis Energy, the last of the government's power companies to be partially privatised, Serko, a travel booking firm and Gentrack, an airport and utilities software developer, all listing in the first half. Since its June balance date three more companies have joined the bourse, while Vista International Group debuts today and ERoad launches on Friday.

“We are continuing to experience positive growth in our capital markets, demonstrated by the seven initial public offerings we’ve seen year to date, and with more listings in the pipeline,” said chief executive Tim Bennett.

The biggest revenue contribution came from listings, which rose to $6.2 million from $5.7 million in the comparable period a year earlier. In the year ended Dec. 31, 2013, listings rose to be the biggest revenue earner for the stock market operator, as it generated $12.98 million in fees from that year's 10 initial public offers.

Securities information generated $4.9 million of sales, up from $4.4 million a year earlier, while securities trading revenue rose 8.3 percent to $2.2 million, participant services rose to about $1.7 million from $1.5 million, and Securities clearing rose to 2.7 percent to $2.2 million.

The markets division, which includes the energy market and Fonterra Shareholders' Market, posted a 15 percent decline to $5.4 million, which the company attributed to reduced energy consultancy work and the loss of a gas market contract in late 2013.

Sales from commodities trading fell to $671,000 from $770,000 and dairy derivatives generated $88,000 from $25,000. Agri information revenue climbed 5.4 percent to $6 million and fund services revenue was little changed at $1.2 million.

Total expenses rose to about $19 million from $18.2 million, driven by a 31 percent increase in professional fees, which NZX said "were high due to Ralec litigation costs, tax audit related work and legal costs associated with the launch of the new NZ Core Equity fund." Employee costs rose to about $10.5 million from $9.8 million.

The company will pay a first-half dividend of 3 cents and said it was on track to make payments for the full year of 6 cents a share.

NZX shares last traded at $1.27 and have gained 2.4 percent this year.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business:
NZ Puts Seven New Oil And Gas Areas Put Up For Tender

A total of seven new areas will be opened up to oil and gas exploration under its block offer tendering system, as the New Zealand government seeks to concentrate activity in a few strategically chosen areas. More>>

ALSO:

Half Full: Dairy Payouts Steady, Cash Will Be Tight

Industry body DairyNZ is advising farmers to focus on strong cashflow management as they look ahead to the 2015-16 season following Fonterra's half-year results announcement today. More>>

ALSO:

First Union: Cotton On Plans To Use “Tea Break” Law

“The Prime Minister reassured New Zealanders that ‘post the passing of this law, will you all of a sudden find thousands of workers who are denied having a tea break? The answer is absolutely not’... Cotton On is proposing to remove tea and meal breaks for workers in its safety sensitive distribution centre. How long before other major chains try and follow suit?” More>>

ALSO:

Scoop Business: NZ-Korea FTA Signed Amid Spying, Lost Sovereignty Claims

A long-awaited free trade agreement between New Zealand and South Korea has been signed in Seoul by Prime Minister John Key and the Korean president, Park Geun-hye. More>>

ALSO:

PM Visit: NZ And Viet Nam Agree Ambitious Trade Target

New Zealand and Viet Nam have agreed an ambitious target of doubling two-way goods and service trade to around $2.2 billion by 2020, Prime Minister John Key has announced. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news