ASX Limited (ASX:ASX) released its full financial year 2015 results today. Strong figures were reported as the company continues to grow.
Profit after tax came in $397.8 million, up 3.8 per cent on the previous corresponding period (pcp). Underlying profit came in at $403.2 million, up 5.2 per cent on the pcp. The impact of fee reductions in interest rate and electricity futures came in at $17.8 million before tax, partially offset by removal of other rebates.
The company incurred a restructuring charge of $7.7 million pre-tax to support the technology transformation program and other changes, which was excluded from the underlying profit and when determining the final dividend.
Earnings per share came in at 205.7 cents, up 3.6 on the pcp with underlying earnings per share coming in at 208.4 cents, up 5 per cent.
The company’s full year distributions came in at 187.4 cents fully franked, up 5.2 per cent, with the final dividend of 95.1 cents, up 5.8 per cent on the pcp. ASX maintains a pay-out ratio of 90 per cent of underlying profit.
ASX Managing Director and CEO, Mr Elmer Funke Kupper commented, “In FY15, ASX delivered positive earnings growth, supported by activity increases across all major markets. Underlining net profit after tax was up 5.2 per cent to $403.2 million. At the same time, ASX implemented attractive fee reductions in its derivatives business and opened a world-class 24-hour Customer Support Centre. These investments improve the alignment with ASX customers and create a more sustainable business.”
In the first seven weeks of FY16, the companies total cash market average value per day (all lit and dark venues) was $5.1 billion, up 11.9 per cent on the pcp. The ASX 24 derivatives daily average volume was 416,446 contracts traded, up 2.1 per cent on the pcp. The total capital raised in July came in at $9.2 billion, up 35 per cent on the pcp with only 14 IPO’s. The OTC cleared notional value came in at $235.7 billion.
The ASX share price has performed well over the last twelve months as investors remain optimistic about the volume in market activity. Following today’s results, its share price has remained largely the same, falling only 0.7 per cent as of 13.00 AEST. This is due to results being mostly in line with investor’s expectations.
Author: Ben Visser
Aug 20, 2015
Ben is a Wise-owl equity analyst focusing on ASX blue-chips stocks. Ben has a Bachelor of Business in Finance majoring in property valuations and management. In his role at Wise-owl Ben conducts in-depth fundamental and technical analysis which helps him to find profitable investment opportunities on the ASX and abroad.