NZX reaps in the cash
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Windfall profits from asset sales have allowed sharemarket operator NZX to produce a bumper $60.76 million profit for the half-year to June.97 million for the same time a year ago, is mostly due to the gain on sale from both the TZ1 Registry - carbon trading business - and NZX’s ownership share in the Bond Exchange of South Africa (BESA).
The profit, which compares with just $4.08 million.
NZX said its underlying profit, excluding the asset sales, was up 3 percent at $9.19 million. Excluding one-off items the underlying earnings were up 16 percent at $10.63 million. Operating revenue was up 17 percent at $18.
Chief executive Mark Weldon said he was “confident shareholders will be satisfied with these results”. The company doesn’t pay interim dividends.”
Weldon said a key investment for the company in the first half of the year was the establishment and staffing of an NZX office in Auckland, focused on the introduction of new futures and commodities products.
“This profit figure of $60 million has been achieved via investment of retained earnings and organic investment. We recognise that information, including data generated on markets, indices, analysis, news and opinion, enables markets to develop and grow to their full potential,” he said.
“NZX activities are focused across infrastructure, markets and information. With expertise now applied across the securities, energy and agribusiness sectors, we have built a broader base from which to grow and are positive about future prospects,” he said. .co.
By DAVID HARGREAVES, BusinessDay.nz