MANILA, Philippines- The Philippine Stock Exchange (PSE) said its net income surged 35% to P844.8 million in 2013 from P625.3 million in the previous year, as it saw higher listing and trading-related revenues.
"The significant growth in our revenues and income highlights the resilience of the company amidst the volatilities experienced by the market arising from uncertainties in the US economy. The country’s sound economic fundamentals and the heightened interest of investors to participate in the growth of our market have provided the impetus for increased trading activity," PSE President and CEO Hans B. Sicat said in a statement.
The PSE said revenues jumped 34% to P1.53 billion in 2013, on the back of a 28% increase in listing-related income to P160 million.
In 2013, 10 companies listed on the stock exchange. These included Philippine Business Bank and Asia United Bank Corporation, AG Finance, Inc., Harbor Star Shipping Services, Inc., Travellers International Hotel Group, Inc., Robinsons Retail Holdings, Inc., Discovery World Corporation, Concepcion Industrial Corporation, Del Monte Pacific Limited and First Metro Exchange Traded Fund.
"Despite the lack of capital raising activities during the third quarter, we still managed to come close to our target. A lot of the companies understandably went into a wait and see mode. But in the last quarter, we all saw them coming back with their capital raising plans which only shows that the stock market remains to be a sound and compelling venue to generate funds,” Mr. Sicat explained.
Trading-related income rose 59.4% to P118.09 million on the back of robust trading volumes. Service fees from Securities Clearing Corporation of the Philippines (SCCP), PSE’s wholly-owned subsidiary, went up 43.7% to P454.68 million.
At the same time, the PSE managed to keep its expenses growing only by 6% to P528 million in 2013.
"We have launched a great number of products and services in 2013 all geared to drive the growth of the company and the stock market over the medium-term. We are keen to sustain all these initiatives to make us more attractive as an investment destination and to help us become more competitive as a market particularly with the forthcoming ASEAN economic integration in 2015," Siat said.
This year, the PSE is expecting capital raising activities to surpass the P175 billion-level that was raised in 2013. It is also hoping more ETFs would be listed this year, and is targeting to launch its short selling program during the first half of the year.