Singapore Exchange (S68) H1 2025 earnings summary

Executive summary

• Achieved record first-half FY2025 results with net revenue up 15.6% year-over-year to SGD 646 million and adjusted NPAT up 27.3% to SGD 320 million, reflecting strong execution of a multi-asset strategy and broad-based growth across all segments.

• Cash equities SDAV rose 31.2% and derivatives DAV increased 20.1% year-over-year, driven by elevated investor interest and global market volatility.

• Maintained cost discipline with adjusted expenses flat year-over-year; staff costs rose due to higher variable bonuses, while technology and other expenses remained stable or declined.

• Board declared interim dividend of SGD 0.09 per share, totaling SGD 0.18 for the half, a 6% increase, in line with mid-single-digit CAGR dividend growth target.

Financial highlights

• Net revenue rose 15.6% year-over-year to SGD 646 million, with all segments contributing to growth.

• Adjusted NPAT increased 27.3% to SGD 320 million; reported NPAT at SGD 320 million after non-cash and one-off items.

• Adjusted operating profit margin improved by 6.1 percentage points; adjusted NPAT margin up 4.5 percentage points to 27.3%.

• Adjusted EPS grew 27.2% year-over-year; interim dividend per share increased 5.9% to 18.0 cents.

• Cash equities net revenue up 22% (SGD 35 million); SDAV up 31% to SGD 1.26 billion.

• Derivatives net revenue up 14% (SGD 35 million); overall derivatives daily average volume up 20%.

• OTC FX net revenue up 36% (SGD 14 million); average daily volume up 36% to $136 billion.

• FICC segment revenue up 13% (SGD 19 million), now 25% of total revenue.

• Equity derivatives revenue up 22% (SGD 32 million), now 27% of total revenue.

Outlook and guidance

• Full-year expenses and CapEx expected at the lower end of guidance; CapEx to be at the lower end of SGD 70-75 million guidance.

• CapEx will trend up as trading and clearing platforms and data centers are modernized, but remain below 7% of group revenue over a cycle.

• Medium-term revenue growth target (excluding Treasury income) of 6%-8% reaffirmed; optimistic on IPO pipeline and market leadership.

• Focus on expanding multi-asset offerings, client acquisition, and strengthening the global network.

• Dividend per share expected to grow at mid-single-digit CAGR, subject to earnings growth.