Increased trading activity throughout 2015-16, as well as an increase in secondary capital raisings, have helped the Australian Securities Exchange post a $426.2 million profit.
The ASX posted an underlying profit after tax of $426.2 million for 2015-16, up $23 million (5.7 per cent) compared with the previous year.
Operating revenue for the ASX was $746.3 million (up 6.5 per cent), while earnings per share was 220.4 cents (up 5.8 per cent).
Commenting on the result, ASX chairman Rick Holliday-Smith said the company is continuing to invest in the technological infrastructure “critical to Australia's financial markets”.
“This included successfully introducing T+2 settlement, significant progress on the delivery of a new futures trading platform and the assessment of distributed ledger technology or ‘blockchain’ as a potential post-trade solution for the equity market,” Mr Hollliday-Smith said.
“These initiatives aim to improve market efficiency and reduce risk and complexity for investors, intermediaries and other market stakeholders. They help keep Australia at the forefront globally of innovative market developments,” he said.
ASX managing director and chief executive Dominic Stevens, who replaced Elmer Funke Kupper earlier this month, said he had inherited a business in “very good shape”.
“ASX is a highly integrated business with a trusted, independent brand. These strengths have allowed us to provide high quality services and solutions on which our customers can rely,” Mr Stevens said.
“Our focus on customer service and continued investment in technology will further improve this capacity. This gives me confidence as a CEO of only two weeks that there is a strong business in place and exciting opportunities ahead for ASX.”
Economists agree that the Reserve Bank is likely to remain in inflation fighting mode until December. ...