The stock market operator's sales were bolstered by a flurry of new debt listings and an expanding funds management business.
NZX's third-quarter revenue rose 3.9 per cent as the stock market operator's sales were bolstered by a flurry of new debt listings and an expanding funds management business.
The Wellington-based company's revenue from its dominant capital markets division rose 5.4 per cent in the three months ended September 30 from
the same period a year earlier, largely due to $2.16 billion of new debt being listing in the quarter, it said in a statement. Low interest rates have spurred companies to raise funds through listed bonds, reviving what had been a moribund part of the market in recent years.
NZX's funds management business boosted revenue 21 per cent in the quarter, with its Smartshares exchange traded funds and SuperLife division expanding their funds under management and its wealth technologies platform attracting Craigs Investment Partners and Macquarie Equities New Zealand as new customers.
"The most significant contributors to this growth were higher funds management revenues and listing fees for new debt listings, which continues an exceptionally strong year for New Zealand's listed debt market," NZX said.
Earlier this month the stock market operator warned earnings before interest, tax, depreciation and amortisation will be at the lower end of its previous guidance of $22.5 million-to-$26.5 million due to the cost of hiring a new chief executive and restructuring its agri division.
