19 Feb 2013

NZX result

5:50 am on 19 February 2013

Full-year profit at NZX is down by 32% compared to the previous year due to increased costs and fewer firms raising money.

The stock market operator's profit fell to $9.9 million in the year to December.

Revenue rose by 2% to $56 million but expenses jumped 15% to $34 million.

NZX had signalled its bottom line would be hit by a rise in costs, due largely to one-off items, including the departure of former chief executive Mark Weldon, a legal stoush with the former owners of its grain exchange in Australia, as well as taking on more staff.

Chief executive Tim Bennett said NZX had a strong fourth quarter which made up about 30% of its revenue.

But he says capital raisings, a key driver of revenue, were relatively low - representing the third lowest year in the past 10 years.

The company will pay a dividend of 1.25 cents per share. NZX shares were down 4 cents to $1.26 each on Monday.