Singapore bourse posts 46% decline in Q3 profit
Singapore Exchange (SGXL.SI), Asia's second-largest listed bourse, said on Wednesday its quarterly net profit fell 46 percent, hurt by lower trading volumes and a dearth of new share issues, reported Reuters.
SGX earned S$55.3 million ($37 million) in net profit for the three months ended March 31, down from S$101.5 million a year ago. The results were below the S$64 million mean estimate of analysts polled by Thomson Reuters.
Investors around the world have fled stock markets amid a meltdown in asset prices, hurting SGX and other bourses which derive a large chunk of earnings from fees on equities trading.
Most stock markets have rebounded since March, but transactions remain thin as many investors sit on the sidelines on concerns the rally was not sustainable amid a worsening global economic outlook.
SGX shares ended the January-March quarter little changed, against the 3 percent fall in the benchmark Straits Times Index .FTSTI during the same period.
SGX ranks behind the Hong Kong Exchanges & Clearing in market capitalisation, and ahead of the Australian Securities Exchange Ltd.
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