Bursa Malaysia’s FY23 net profit increases to RM252.38 million
KUALA LUMPUR: Bursa Malaysia Bhd’s net profit for the financial year ended December 31, 2023 (FY23) increased 11.4 per cent to RM252.38 million from RM226.57 million recorded in the previous financial year.
Revenue in FY23 increased to RM616.49 million from RM603.25 million previously. In a Bursa Malaysia filing, it said the increase in net profit was due to a 1.3 per cent increase in operating revenue to RM592.8 million from RM585.3 million in FY22. For the fourth quarter ended December 31, 2023, Bursa Malaysia registered a higher net profit of RM59.55 million as compared to RM49 million recorded in the same quarter a year ago, while revenue widened to RM156.68 million from RM145.7 million previously.
Bursa Malaysia has declared a final dividend of 14.0 sen per share, amounting to approximately RM113.3 million, in addition to the interim dividend of 15.0 sen per share paid in August 2023.
“This brings the total dividend to 29.0 sen per share, representing a payout ratio of 93.0 per cent for FY23,” it said.
Bursa Malaysia said the securities market registered trading revenue of RM266.6 million in FY23 compared to RM263.5 million in FY2022, an increase of 1.2 per cent, due to higher average daily value (ADV) traded for on-market trades (OMT) and direct business trades (DBT).
“In the derivatives market, trading revenue fell by 7.8 per cent to RM89.6 million from RM97.2 million in FY22, mainly due to lower collateral management fees earned and fewer Crude Palm Oil Futures (FCPO) contracts traded in FY23,” it said.
As for the Islamic Market, Bursa Malaysia said Bursa Suq Al-Sila (BSAS) trading revenue grew by 3.9 per cent to RM17.1 million in FY23, up from RM16.4 million in FY22, while non-trading revenue from data business recorded a notable rise to RM68 million in FY2023 compared to RM60.8 million previously.
“This was underpinned by the higher securities and derivatives market data revenue as a result of the revision in fees at the beginning of the second quarter of 2023 and a higher number of subscribers in FY23,” it said.
Bursa Malaysia chairman Tan Sri Abdul Wahid Omar said emerging markets and developing economies have outperformed advanced economies notwithstanding the challenging outlook, and Malaysia’s economy, in particular, remains resilient in 2023, with a projected gross domestic product (GDP) growth rate of close to 4.0 per cent.
“In terms of capital market performance, the FBM KLCI emerged as Asean’s second-best performer, with a 5.7 per cent increase in the second half of 2023 and closed the year at 1,454.7 points, a healthy rebound from the 1,376.7 points recorded in the first half of 2023,” he said.
Meanwhile, Bursa Malaysia chief executive officer Datuk Muhamad Umar Swift said the exchange had raised RM3.6 billion from new listings in FY23 compared to RM3.5 billion previously, bringing the initial public offerings (IPO) market capitalisation to RM13.6 billion, surpassing previous year’s total of RM11.2 billion.
“These developments highlight the market’s capability to adapt and thrive, solidifying the exchange’s role as a viable platform for fundraising and investing needs,” he said.
Muhamad Umar added that trading activity will continue to be influenced by ongoing global and local developments, and Bursa Malaysia’s commitment is to focus on diversifying fundraising and trading opportunities for the valued stakeholders as a multi-asset exchange. — Bernama