OREANDA-NEWS. BME posts a net profit of €91.6 million in the first half, up 9.3% year-on-year

  • The best first six months since 2008
  • First half-year revenue, at €181.3 million,      increases by 7% year-on-year
  • EBITDA grows 7.7% to €128.8 million
  • In the second quarter the net profit was up      7.1% to €44.5 million
  • The main financial performance indicators trended      positively in the first six months: the efficiency ratio at end-June 2015 improves      0.5 points, at 29% while ROE for the period was 43.1%, a 1.6 point      improvement
  • Total flows channeled through the Spanish      exchange in the first six months reached €30.17 billion, up 84.8%

BME reported net profit of €91.6 million in the first half of 2015, up 9.3% from the same period in 2014, marking the best half-yearly result since 2008. The net profit for the second quarter came in at €44.5 million, 7.1% higher year on year, mainly on the back of the positive performance of the Equity, Clearing and Derivatives units as well as the information services provided by BME Market Data.

Revenue for the first half, at €181.3 million, were 7% up from the same period in 2014 while in the second quarter it rose 5.7% year on year to €88.3 million.

In the second quarter operating costs, at €25.7 million, were 3.6% higher than in the same period the previous year. Operating costs in the first half of the year totaled €52.5 million, up 5.1% year on year. Stripping out the effect of extraordinary costs and those associated to the reform of the Spanish clearing and settlement system, operating costs through June decreased by 0.4%.

EBITDA for the first half amounted to €128.8 million, up 7.7% on the same period a year earlier, while the second quarter figure of €62.5 million was up 6.6% year-on-year.

The main management indicators performed favourably; at the end of the first half of the year, the cost-to-income ratio improved by 0.5 points to 29%, while return on equity (ROE) rose 1.6 points to 43.1%.

Cumulative profit per share in the first six months rose by 9.3%, to €1.10 in 2015, of which, €0.53 corresponds to the second quarter.

EQUITY

From January to June 2015, the Equity unit obtained €84 million in revenue, 6.2% higher than the same quarter last year. Of this figure, 86.6% corresponds to revenue for trading of equity products and €11.3 million to the registered listing activity at the unit.

The unit’s total revenue for the quarter stood at €40.4 million (+7.5%). After deducting the operating costs from the revenues, the unit’s resulting EBITDA stood at an accumulated €65.2 million through June and at €30.9 for the second quarter of the year.

These amounts bested the figures for the previous year by 9.4% and 11.2%, respectively.

Equity turnover increased by 25.3% through June, to €523.2 billion in the first half and 33.3 million trades were matched, down 1.5% on 2014.

Total flows channeled through the Spanish exchange in the second quarter, including flows corresponding to new shares and to the issuance of listed shares, stood at €14.7 billion, for a 32.2% increase, year on year. Total flows channeled through the exchange between January and June stood at €30.2 billion, for 84.8% year-on-year growth.

SETTLEMENT

Total revenue of the Settlement and Registration unit stood at €42.9 million between January and June, for a 4.4% year on year increase. EBITDA for the period was €33.5 million, besting that of 2014 by 1.3%. The unit’s revenue increased by 1.5% year on year in the second quarter of 2015, to €21.2 million. EBITDA for this period stood at €16.7 million, up 0.4% over the previous year.

A total of 27.1 million operations were settled through June, 2.3% higher than the first half of 2014. In the second quarter, 13.1 million operations were settled, up 1.4% on the same period last year.

CLEARING

The Clearing unit generated €4.6 million in revenue in the second quarter of 2015, a 9.7% yoy increase. This brought total revenue from clearing through June to €9.1 million for an increase of 1.3% over 2014.

EBITDA in the second quarter was 3.4% higher than the figure for the previous quarter, standing at €2.1 million, leaving EBITDA at €4 million through June, or 22.3% lower than the figure for the first half of 2014.

BME CLEARING has received authorisation from the Spanish National Securities Market Commission to broaden its clearing activities once the joint review process carried out by the College of Regulators set forth in the EMIR Regulation has concluded. The new clearing activities refer to the two new segments, OTC interest rate derivatives and purchase/sale transactions of equity financial instruments; the latter makes it possible to comply with one of the requirements of the reform of the securities clearing, settlement and registration system in Spain, the intervention of a central counterparty prior to the settlement and registration phases.