Hellenic Exchanges (EXAE) Q3 2024 earnings summary

Executive summary

• Turnover for the nine months of 2024 rose 15.7% year-over-year to €39.8 million, driven by increased trading, post-trading, and IT services income.

• Net after-tax earnings reached €13.2 million, up 37.5% compared to the same period last year, with comprehensive income at €14.3 million.

• EBITDA increased by 28.7% to €18.4 million, and EBIT rose 34% to €15.3 million.

• Market capitalization increased 24% year-over-year, with the General Index up 20.1% and trading value up 21.1%.

• A new trading engine with sub-millisecond latency was launched to enhance market efficiency and participation.

Financial highlights

• Operating expenses rose 5.9% to €19.7 million, mainly due to a 7.5% increase in personnel costs.

• Trading and post-trading revenues accounted for 61% of total revenue; services and technology contributed 28% and 19.4%, respectively.

• Revenue from trading increased 2.7% to €6.6 million; post-trading revenue rose 18.2% to €17.8 million.

• Listing revenue increased 8.6% to €4.4 million, with IPO fees up 140%.

• Cash and cash equivalents stood at €65.1 million at period end.

Outlook and guidance

• OPEX and personnel costs are expected to maintain a high single-digit growth rate in Q4.

• Average daily traded value is expected to remain stable, with year-end figures likely close to the current run rate.

• No additional pricing incentives planned for high-frequency traders, but more participation from algorithmic market makers is anticipated.

• Management considers the Group and Company to be going concerns, supported by strong liquidity and positive market trends.

• Revenues from capital market activity are recognized over three to five years.