Hellenic Exchanges S.A.: Nine month 2016 financial results – EUR1.9m net after tax profits

The consolidated net after tax profits of the Hellenic Exchanges-Athens Stock Exchange Group amounted to EUR1.9m vs. EUR5.6m in the nine months (9M) of 2015, reduced by 65%. The net after tax profits per share, including the securities valuation losses in 9M 2016 amounted to EUR0.03 vs. EUR0.07 in 9M 2015.

The turnover of the Group amounted to EUR20.6m in 9M 2016 vs. EUR23.1m in the corresponding period last year, while after subtracting the Hellenic Capital Market Commission fee, total consolidated revenue amounted to EUR19.7m vs. EUR22.1m, reduced by 11%.

Total consolidated revenue is reduced mainly due to a drop in both trading activity and the capitalization of the Cash Market. In particular, in 9M 2016 the average daily traded value was EUR63m, compared to EUR84.2m, a 25% reduction. The average capitalization of the Greek capital market dropped by 10% compared to 9M 2015 (EUR40.8bn vs. EUR45.2bn).

The Athens Exchange General Index closed on 30.9.2016 at 565.5 points, down 14% compared to the closing at the end of the nine months of 2015 (654.2 points). Market liquidity, as measured by turnover velocity, decreased to 38.7% in 9M 2016 from 46.6% in 9M 2015, while the average daily volume was 103m shares compared to 177m shares in the corresponding period last year.

In the derivatives market, the average daily number of contracts decreased by 25.5% (62.6 thousand vs. 83.8 thousand), while the corresponding trading and clearing revenue dropped by 47% due to the drop in the prices of the underlying securities and the change in the product mix in the market.

Total operating expenses including new activities was EUR12.7m vs. EUR13.7m in the corresponding period last year, reduced by 7%. A securities valuation provision of EUR2.2m is included in the 9M 2016 results.

The consolidated Earnings Before Tax (EBT) in 9M 2016 amounted to EUR3.1m vs. EUR7.9m in the corresponding nine months of 2015.