Bourse posts slight drop in profit

PHOTO | DIANA NGILA | FILE The Nairobi Securities Exchange has reported a slight decline in net profit for the 2012 financial year.

What you need to know:

  • In the review period, total transaction levies increased by 12.1 per cent to Sh248.3 million from Sh221.4 million in 2011 while the annual listing fees rose by 1.6 per cent to Sh71.2 million compared to Sh70 million in 2011

The Nairobi Securities Exchange has reported a slight decline in net profit for the 2012 financial year despite an increase in revenues.

The bourse’s net profit declined by one percentage point to Sh85.1 million in 2012 compared to a net profit of Sh85.6 million recorded in 2011, with total income rising by 13.5 per cent to 384.9 million.

“Total income got a significant boost from alternative revenue sources,” NSE’s head of product development, Mr Donald Ouma said adding that the exchange aims to diversify its income streams from the traditional transaction and listing fees.

In the review period, total transaction levies increased by 12.1 per cent to Sh248.3 million from Sh221.4 million in 2011 while the annual listing fees rose by 1.6 per cent to Sh71.2 million compared to Sh70 million in 2011.

Last year, the NSE began to charge fees for provision of services through Broker Back Office earning Sh12.36 million. Interest income rose by 6.3 per cent to Sh21.8 million from Sh20.5 million previously, with data vending fees growing by 39.4 per cent to Sh13.1 million from Sh9.4 million.