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Deutsche Börse AG published its results for the first quarter of 2017 on Wednesday.
Net revenue stood at €623.4 million, an increase of 2% year-on-year (Q1/2016: €610.5 million). The increase was largely driven by the very positive developments in the Clearstream segment as well as the growth in fixed income derivatives at Eurex. These trends more than compensated for a subdued performance in the equity and index derivatives business due to lower equity market volatility.
At €280.3 million, adjusted operating costs were stable compared to the previous year (Q1/2016: €279.8 million), mainly driven by the continuing improvements in operating efficiency.
The adjusted profit for the period attributable to Deutsche Börse AG shareholders (consolidated net profit) stood at €232.2 million, rising by 5% year-on-year (Q1/2016: €221.3 million).
Basic earnings per share, adjusted for non-recurring effects, amounted to €1.24 (Q1/2016: €1.18). Earnings were adjusted for non-recurring effects of €29.2 million related to operating costs, mainly in connection with mergers, and a gain of €116.6 million resulting from the complete divestiture of the shareholding in BATS Global Markets Inc.
Gregor Pottmeyer, Chief Financial Officer of Deutsche Börse AG, commented:
Thanks to our diversified business model and effective cost management we were able to compensate low equity market volatility in the first quarter and report solid earnings growth. Furthermore, we see Deutsche Börse Group as very well positioned to achieve structural growth and benefit from further improving cyclical conditions in 2017. We therefore affirm our guidance of double-digit earnings growth.
In addition, Pottmeyer shared:
With the planned €200 million share buyback programme in the second half of 2017, we are pursuing a balanced approach regarding the use of the proceeds from the sale of ISE of around €1 billion. Besides the share buybacks, we are envisaging to primarily use those funds for organic as well as value accretive external growth.