Business Irish

Tuesday 16 January 2018

ISE pre-tax profits grow a third from 2012, up to €6.3 million

Colm Kelpie

Colm Kelpie

PRE-tax profits at the Irish Stock Exchange jumped more than a third last year.

Revenues fell slightly by 4pc to €20.4m but pre-tax profits hit €6.3m – a 35pc increase on 2011.

Primary-markets business, including listings by international funds, debt and equity securities, represented almost two-thirds of the income in 2012, although it was down 3pc to €13.2m.

The primary source of the revenue was international fund and debt issuers, with more than 4,000 issuers from 49 countries listing their securities on the ISE at the end of last year.

The ISE said the drop in income reflected the global economic uncertainty, but it predicted revenues from primary markets will grow this year.

ISE chief executive Deirdre Somers said revenues remained resilient last year and good progress was made on managing costs.

FOCUSED

"The economic environment remains challenging but we dealt with our challenges well during 2012," said Ms Somers.

"We remain focused on diversifying our income streams across our business lines and geographically. In the year ahead, we see increased activity in international fixed income and we are also looking at opportunities to develop new and innovative sources of income."

Other key figures include:

* Traded markets business (including from admission to trading income, membership fees, IT services and information products), representing 35pc of ISE revenue last year, increased to €7.1m. It is attributed to additional sales of equity and bond market data.

* Operating costs were reduced by €2.6m to €15.3m. This is attributed to the renegotiation of infrastructure contracts which cut costs.

* Income from financial investments was €1.2m during the year.

Ms Somers said the ISE is moving ahead with changes to its corporate structure, which will result in the setting up of a new company, limited by shares, which will replace the existing corporate structure of the ISE.

"The Irish market remains an important part of the ISE's business and we are committed to delivering to Irish enterprise, to our listed companies and to enabling enterprising Irish companies raise finance on international capital markets," Ms Somers said.

"The renewal of our contract with Deutsche Börse, is part of this commitment and facilitates international trading and investment in Irish companies."

Irish Independent

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