NYSE Euronext Beats Expectations, Makes Progress On Ice Merger


NYSE Euronext (NYSE:NYX) reported its second quarter earnings, coming in far ahead of expectations. The company reported earnings per share of 71 cents and adjusted earnings per share of 63 cents. Revenue was $611 million for the quarter, a 1 percent increase over the same quarter a year ago. Analysts were expecting the company to report earnings per share of 58 cents on revenue of $600 million for the quarter.

NYSE Euronext Beats Expectations, Makes Progress On Ice Merger

NYSE Euronext makes progress on ICE merger

The company’s results this year included $22 million in pre-tax merger expenses and exit costs. The company reported that it took steps toward completing the merger with IntercontinentalExchange Inc (NYSE:ICE) and transitioned its London-based derivatives market to ICE Clear Europe. It also said it was ranked number one in capital raising as its technology listing market share rose to 64 percent. The company was also appointed to be the administrator for Libor in the wake of the Libor manipulation scandal which embroiled most of Europe’s biggest banks.

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“Our results for the second quarter reflect the actions we have taken to grow our businesses and diligently manage our cost base and capital,” said Executive Vice President and Chief Financial Officer Michael S. Geltzeiler in a statement. “On a constant dollar/portfolio basis, costs are down 7% year-to-date and we have already achieved 64% of the $250 million Project 14 target for costs reductions, well ahead of the 60% promised by year-end 2013. Further cost savings will come online in the second-half of 2013 with the completed transition to ICE Clear Europe which will position us to easily surpass our full-year cost guidance target of $1,525 million.”

NYSE Euronext declares third quarter dividend

The company’s board also declared a 30-cent per share cash dividend for the third quarter of the year. The record date is Sept. 16, and the payment date is Sept. 30. NYSE Euronext (NYSE:NYX) anticipated that the ex-date would be Sept. 12, although it said the third quarter dividend will only be paid on the payment date if the IntercontinentalExchange Inc (NYSE:ICE) has not yet been completed as of the record date.