Eigen RadarEconomics
Archive
Analysis

Euronext lifts quarterly revenue and plans 350 million euro buyback

The exchange group Euronext’s third-quarter revenue and income rose 24.9 per cent to 547.4 million euros, helped by stronger trading and the consolidation of its Athens business. Profit also increased as the European exchange operator lowered its annual underlying expense guidance. A share repurchase of up to 350 million euros is scheduled to begin on 9 November.

Economics & Markets··Evening
Wide view of the stone facade of the Euronext-operated Amsterdam stock exchange at Beursplein 5 and the square in front.

Trading activity and Athens lift revenue

The exchange group Euronext, the operator of European exchanges and securities infrastructure, increased third-quarter revenue and income to 547.4 million euros from 438.1 million euros a year earlier. The 24.9 per cent rise accompanied stronger trading across asset classes and the consolidation of its Athens business. Growth at constant scope and exchange rates was 17.6 per cent. The results were released on 5 November.[1], [2]

Fixed income, currency and commodity activities generated 121.3 million euros, up 48.1 per cent. Equity markets contributed 124.6 million euros, an increase of 33 per cent. Securities services supplied 86.7 million euros and capital markets and data solutions 192.2 million euros.[1]

Profit rises faster than underlying expenses

Underlying operating expenses excluding depreciation and amortisation rose 13.5 per cent to 183.3 million euros. Adjusted earnings before interest, tax, depreciation and amortisation reached 364.2 million euros, up 31.6 per cent, with a margin of 66.5 per cent against 63.2 per cent previously. Net income attributable to parent-company shareholders increased 30.2 per cent to 194.9 million euros; adjusted net income was 223.2 million euros.[1]

Buyback is due to start on 9 November

Management lowered its annual underlying expense guidance from 770 million euros to 760 million euros. It announced a share repurchase of up to 350 million euros, scheduled to begin on 9 November and last no more than twelve months. The planned programme represents approximately 2 per cent of outstanding share capital. Net debt was 1.1 times earnings before interest, tax, depreciation and amortisation at the end of September.[1]

For more information on this topic, you can read the related columns.

References

  1. News sourceEuronextEuronext revenue rises 24.9 per cent as it announces 350 million euros in buybacks↩1↩2↩3↩4
  2. News sourceIdéal InvestisseurEuronext third-quarter revenue rises 24.9 per cent↩
Chip wars and the supply chainCentral banks and the rate cycleEnergy transition and climate

More analysis from this desk

View all Brief analyses from the Economics & Markets desk →