Japan Exchange Group (8697) Q3 2025 earnings summary

Executive summary

• Operating revenue rose 8.9% year-over-year to JPY 121.6 billion for Q3 FY2024, driven by higher cash equity trading, increased ETF AUM, and more listings.

• Net income increased 0.8% year-over-year to JPY 47.0 billion, as revenue growth offset higher operating expenses.

• Cash equities average daily trading value grew 22.2% year-over-year, while derivatives trading volumes declined.

• A 2-for-1 stock split was executed on October 1, 2024, affecting per-share metrics and dividend calculations.

Financial highlights

• Operating income rose 5.1% year-over-year to JPY 69.4 billion for Q3 FY2024.

• EBITDA increased 4.5% year-over-year to JPY 83.4 billion.

• Trading services revenue up 9.4% year-over-year; listing services revenue up 11.3%; clearing services revenue up 7.7%; information services revenue up 8.0%.

• Operating expenses grew 3.3% year-over-year, mainly due to higher personnel and system costs.

• Basic earnings per share for the period was JPY 45.14, calculated as if the stock split was effective at the start of the prior year.

Outlook and guidance

• FY2024 full-year guidance unchanged for operating revenue at JPY 159.0 billion, but net income forecast at JPY 58.0 billion, down 4.6% year-over-year.

• Basic EPS for the year ending March 31, 2025 is forecast at JPY 55.75, reflecting the stock split.

• Dividend policy targets a payout ratio of approximately 60%, with a year-end dividend forecast of JPY 17.00 per share post-split.

• Cash equities trading value expected to rise 8.1% year-over-year; derivatives volumes forecast to decline.