NZX says first quarter sales rose 9.6% on debt listings
Revenue rose to $18 million in the three months ended March 31.
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NZX posted a 9.6% gain in first-quarter revenue as more companies turned to the debt market to raise funds, driving listing fees for the stock market operator.
Revenue rose to $18 million in the three months ended March 31 from $16.4 million a year earlier, the Wellington-based company said in a statement. Of that, listing fees made the biggest contribution at almost $3 million, up 13% from a year earlier, despite a sluggish start to the year for initial public offerings. The pickup in fees came from $1.4 billion of new debt being listed, with companies taking advantage of low interest rates to raise money.
The stock market's funds management business was the second-biggest contributor to revenue at $2.8 million, gaining 24% from a year earlier. Market operations revenue slipped 1.2% to $2.6 million and securities information sales fell 4.5% to $2.5 million while NZX's agri information revenue was down 0.5% to $2.6 million.
NZX separately released background information to its upcoming case against the Ralec group of companies, the former owners of the stock market's Clear Grain Exchange. NZX said its updated claim against the companies is for $A20.7 million while Ralec's claim is for about $A19 million. The hearing starts next week in the High Court in Wellington and is set down for eight or nine weeks.
"Based on NZX's assessment of the circumstances and information available to it, it does not believe it is probable that a loss will be incurred and accordingly no provision has been recognised," the company said.
NZX shares last traded at $1.01 and have dropped 8.4% over the past year.
(BusinessDesk)
Paul McBeth
Fri, 29 Apr 2016
Fri, 29 Apr 2016
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NZX says first quarter sales rose 9.6% on debt listings
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