NZX Limited Analysis

Overview

NZX operates New Zealand's equity, debt, funds, derivatives and energy markets. To support the growth of these markets, NZX provides trading, clearing, settlement, depository and data services for its customers. NZX also owns Smartshares, New Zealand's only issuer of listed Exchange Traded Funds, and KiwiSaver provider SuperLife. More for information, please visit: www.nzx.com.

Performance

The following information was extracted from NZX Limited's Full Year Results, released on 21 February 2025:

NZX delivers strong all-round performance to enable growth

• Group operating earnings1 of $48.5 million (excluding integration and restructure costs), up 21% year on year
• Net profit after tax (NPAT) of $25.5 million, up 88.1% (normalised NPAT $18.3 million, up 30.1%)
• Final dividend of 3.1 cents per share, fully imputed. FY2024 dividend total 6.1 cents per share, fully imputed
• NZX Wealth Technologies – positive cashflow achieved in December 2024 (excluding internal development being undertaken for Smart)
• FY2025 operating earnings guidance range is $49 million to $54 million

NZX today announced Group operating earnings (EBITDA) of $48.5 million (excluding integration and restructure costs) for the financial year ended 31 December 2024 – up 21%. Including integration and restructure costs, reported Group operating earnings (EBITDA) for the same period were $47.2 million – up 21.3%.

Additional NZX Group highlights for 2024 include:

• Delivery of NZX Dark – the new anonymous mid-point trading venue: launched in June 2024, 5.24% of on-market value traded was achieved within six months of launch – well above expectations of 2% after 12 months of trading
• Dairy market derivatives partnership with Singapore Exchange (SGX Group) – saw continued volume growth for lots traded of 15.3% and, in May 2024, a record monthly volume of 88,834 traded lots was achieved ▪ Smart finished 2024 with $13.5 billion in funds under management (FUM) – up 22.6% from 2023. In the last six years Smart’s FUM has grown $10.6 billion. It was rebranded Smart in October 2024 to reflect its growth ambitions and the broad range of products and services it now offers
• NZXWT achieved positive cashflow from its external client activities in December. In 2024 it won 12 new clients (22 in the last two years) and transitioned 11 clients on to its platform. In 2024 its funds under administration (FUA) grew by 40.4% ($4.7 billion). Since 2018, FUA has grown from $2 billion to $16.2 billion.

In market development, work is progressing on a relaunch of the S&P/NZX 20 Index Futures later in H1 2025. The launch date depends on a number of factors, including regulatory approvals.