Singapore Exchange Limited - Phillip Securities 2023-02-13: Derivatives & Treasury Income Boost Growth

Singapore Exchange Limited - Derivatives & Treasury Income Boost Growth

Published:
SINGAPORE EXCHANGE LIMITED (SGX:S68) | SGinvestors.ioSINGAPORE EXCHANGE LIMITED (SGX:S68)
  • SGX (SGX:S68)'s 1HFY23 (Jul to Dec 2022) revenue of S$571mil met our estimates, at 48% of FY23e, and adjusted PATMI of S$237mil also met our estimates, at 49% of FY23e. 1HFY23 dividend was unchanged at 16 cents. See SGX's dividend dates.
  • - Read this at SGinvestors.io -
  • FICC grew 35% y-o-y, led by increased volumes in commodity and currency derivatives and higher contribution from OTC FX.
  • We maintain BUY on SGX with an unchanged target price of S$11.71. Our estimates remain unchanged, and our target price remains pegged to +2 standard deviation of its 5-year mean or 26x P/E.

The Positives

Treasury income surged in 1HFY23.

  • - Read this at SGinvestors.io -
  • 1HFY23 treasury income on collateral balances held in trust was reported at S$47mil, which surged 124% y-o-y from 1H22’s treasury income of S$21mil and made up 96% of FY22’s treasury income of S$49mil.

Higher fees from FTSE China A50 and Nifty 50 contracts.

  • Read more at SGinvestors.io.



Above is an excerpt from a report by Phillip Securities Research.
Clients of Phillip Capital may be the first to access the full PDF report @ https://www.stocksbnb.com/.



Glenn Thum Phillip Securities Research | https://www.stocksbnb.com/ 2023-02-13



Read also Phillip's most recent report:
2025-02-07 Singapore Exchange 1HFY25 Results - Dividends Disappoint Despite Earnings Surge.

Previous report by Phillip:
2024-02-05 Singapore Exchange - FICC Revenue Support Growth.

Price targets by 2 other brokers at SGX Target Prices.

Listing of research reports at SGX Analyst Reports.

Relevant links:
SGX Share Price History,
SGX Announcements,
SGX Dividend Payout Dates & Corporate Actions,
SGX News






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