Bursa Malaysia 3Q Net Profit Rises 42 Pct To RM85.7 Mln

KUALA LUMPUR, Oct 30 (Bernama) -- Bursa Malaysia Bhd's net profit for the third quarter (3Q) ended Sept 30, 2024, increased by 41.9 per cent to RM85.74 million from RM60.41 million in the same period last year.

This was driven mainly by the securities market business, which recorded a 47.5 per cent growth in segment profit to RM121.8 million, but overheads -- the costs incurred on support services rendered to operating segments -- also surged, rising 24.5 per cent year-on-year to RM33.8 million.  

Group revenue for the quarter rose to RM211.26 million from RM158.71 million a year earlier, the stock exchange operator announced today.

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On specific segments, Bursa Malaysia said the securities market’s higher segment profit was mainly due to a 41.6 per cent growth in operating revenue to RM147.3 million.

“Trading revenue increased by 53.5 per cent to RM108.0 million in 3Q 2024 from RM70.4 million in 3Q 2023 mainly due to higher average daily trading value for on-market trades and direct business transactions,” it said.

Meanwhile, the derivatives market posted a segment profit of RM12.4 million, up 18.0 per cent from RM10.5 million in 3Q 2023, as its operating revenue rose 22.6 per cent to RM29.0 million.

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In the data business, segment profit grew by 6.4 per cent to RM17.0 million from RM16.0 million a year earlier, while operating revenue improved 17.8 per cent to RM21.4 million.

However, the Islamic market’s segment profit saw a 33.3 per cent drop to RM1.3 million in the quarter under review amid a 31.2 per cent rise in operating expenses to RM2.8 million, mainly due to the operating costs incurred on the shariah-compliant gold trading platform that began operations in January 2024.

Meanwhile, the exchange holding company reported a lower segment loss of RM1.0 million in 3Q 2024, an improvement from the RM2.7 million loss posted a year earlier mainly thanks to lower staff costs incurred.

“The others segment, which includes new businesses like Bursa Carbon Exchange, a debt fundraising platform, bonds trading reporting, and offshore market exchange, recorded a higher segment loss of RM2.3 million in 3Q 2024 from RM1.1 million in 3Q 2023, due to increased staff, marketing, and development expenses,” Bursa Malaysia said.

For the nine-month period to Sept 30, 2024, Bursa Malaysia’s net profit grew by 25.1 per cent to RM241.22 million on the back of 30.1 per cent higher revenue of RM598.39 million. 

On the outlook, the exchange said the current robust derivatives trading volumes are expected to continue, as trading activities are influenced by external factors such as the weather patterns that could disrupt crude palm oil supply, the delay of the European Commission deforestation regulation, and the lifting of the Indian refiner purchase limit.

As for the Islamic markets, Bursa Malaysia plans to launch the world’s first waqf-featured exchange-traded fund in the last quarter of 2024, providing a sustainable source of funds for waqf projects and enabling investors to support social and community initiatives.

In a media statement, chief executive officer Datuk Muhamad Umar Swift expressed confidence in achieving all five key performance indicators for the year, including an upwardly revised pre-tax profit target set in July 2024.

“As a multi-asset exchange, we are dedicated to democratising access and providing more opportunities for all stakeholders. Domestic retail investors play a crucial role in driving our marketplace forward, and we will continue our outreach through initiatives like the Bursa Marketplace Fair and the Invest Malaysia series,” he added.

-- BERNAMA