- The Group’s total revenues increased by almost 30% (Q1 2011 v. Q1 2010) and amounted to PLN 69.2 million
- Operating profit at PLN 38.5 million, up by 49.8%
- Net profit at PLN 38.6 million, up by 45.1%
- EBITDA at PLN 47.9 million, up by 40.7%
- EBITDA margin at 69.3%, up by 6.2 percentage points
- Net profit per share at PLN 0.92
“An analysis of the WSE’s results facilitates the identification of those areas of the WSE’s business which offer further growth potential for the markets operated by the Warsaw bourse. Our investors may rest assured that the WSE will make use of this potential,” said WSE CEO Ludwik Sobolewski.
The financial results of the WSE Group in Q1 2011 represent the first full quarter of the WSE’s operations as a public company. The results were much better than those reported in Q1 2010 and Q4 2010. The operating profit was PLN 38.5 million, an increase of 49.8 percent, or PLN 12.8 million, compared to Q1 2010 and a high increase of 128.2 percent, or PLN 21.6 million, compared to Q4 2010.
The WSE’s strong results were possible thanks to effectively pursued strategic business goals of the Group, among others strengthening the international profile and position of the WSE as well as product development and diversification. 45 of 95 European IPOs in Q1 2011 took place on the trading floors in Warsaw (47 percent), including four new foreign listings. With a capitalisation of EUR 144.9 billion (domestic companies) at the end of Q1 2011, the WSE is the largest stock exchange in Central and Eastern Europe.
The Group’s profit before income tax at PLN 46.5 million and net profit at PLN 38.6 million in Q1 2011 were significantly higher compared to Q1 and Q4 2010. After incurring expenses necessary to complete the privatisation of the WSE in Q4 2010, costs were reduced by 27.5 percent and stood at PLN 31.1 million as compared to PLN 42.8 million in Q4 2010 and PLN 28.4 million in Q1 2010.
Trading was the segment which generated the greatest part of the WSE Group’s revenue and profit. Trading revenue amounted to PLN 54.786 million (79.2 percent of the total revenue), an increase of 33.5 percent compared to Q1 2010. Revenue from transactions in shares increased by 48.7%, or PLN 13 million, and revenue from transactions in debt instruments increased by 53.3%, or PLN 1.1 million. In addition to more active trading by investors, the high trading revenue in Q1 was also driven by revenue from tenders for significant blocks of shares.
The market situation in the period, which is a factor driving the activity of investors, was relatively stable: the main exchange indices grew modestly from 2.61% (WIG) to 4.15% (sWIG80). The large-cap index WIG20 grew by 2.65% in Q1.
Listing revenue amounted to PLN 5.3 million in Q1 2011, an increase of 15.4% compared to Q1 2010. Revenue from information distribution services was PLN 8.2 million (an increase of 4.0% compared to Q1 2010).
The Group’s total revenue in all business lines amounted to PLN 69.2 million, an increase of 14.9% compared to Q4 2010 and an increase of 28.1% compared to Q1 2010.
“The WSE’s quarterly results reflect the very good condition of the Polish capital market,” summarised WSE CEO Ludwik Sobolewski.