Source: Euronext
The combination between NYSE Group, Inc. and Euronext N.V. has been effective since April 4, 2007. Following the initial and subsequent offer periods, 109,148,977 Euronext shares representing 97.77% of the voting rights were tendered. For the remaining outstanding Euronext shares, a statutory buy-out procedure has been initiated under Dutch law.
As a result of the combination of NYSE Group, Inc. and Euronext N.V., Euronext N.V.'s results are fully consolidated into the financial statements of NYSE Euronext from 4th April 2007, the date of the consummation of the combination.
NYSE Euronext published its earnings for the second quarter of 2007 on 2nd August 2007.
The following release presents the Euronext N.V. half-year 2007 results as presented under the IFRS on a standalone basis.
Euronext NV reports today its half-year 2007 results as presented under the IFRS, on a standalone basis. As already reported, Euronext experienced its all-time record in terms of revenues booked during the first six months of the year, with €630.6m up 13.1% compared to the same period last year. All the business lines but MTS Fixed Income registered an increase of their revenues during the period.
Euronext costs and expenses increased from €337.4m to €385.6m, primarily due to the €56.2m of legal and advisory costs (booked in Office, telecom and consultancy) paid in relation to the combination with NYSE Group, which became effective on April 4, 2007. In Full Time Equivalent, the headcount of Euronext excluding GL Trade increased from 1,122 in June 30, 2006 to 1,186 in June 30, 2007 mainly induced by the consolidation of Hugin as of January 1, 2007, while the headcount of GL Trade progressed by 242 FTEs at 1,323 during the same period. IT costs were reduced by almost €10m (€72.6m vs. €82.4m).
The EBIT broke a new record at €245.1m, an increase of 11.2% compared to H1 2006.
The Euronext profit before tax for the first six months of the year was down from €263.5m in 2006 to €258.8m in 2007. Two items explained such a decrease: (i) the one-off capital gain in relation with the sale of CIK to Euroclear in Q1 2006 (€15.5m), and (ii) the reclassification of Euronext stake in LCH.Clearnet as "held for sale", and the group share in LCH.Clearnet results no longer recognized in "Income from associates" as at end of 2006 (€14.1m in H1 2006).
Income tax for the reporting period was €96.6m, following the increase in the operating profit whilst 2006 benefited from non-taxable item (Capital gain realised on the sale of CIK).
The reported net profit for the half-year 2007 reached €155.4m or €1.39 per diluted share.