SGX records all-time highs in revenue, net profit for FY2026
Net profit up 7.8% at S$698.4 million; revenue rises 13.9% to S$1.5 billion
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[SINGAPORE] Singapore Exchange (SGX) recorded a 7.8 per cent rise in its FY2026 net profit to S$698.4 million on Thursday (Aug 6), driven by gains across all operating segments.
Net revenue rose 13.9 per cent to S$1.5 billion, while earnings per share (EPS) increased to S$0.653. SGX said FY2026 marked a record year for both revenue and net profit.
On an adjusted basis, which excludes certain non-cash and non-recurring items that have less bearing on the group’s operating performance, net profit climbed 24.6 per cent to S$759.5 million.
Adjusted earnings before interest, tax, depreciation and amortisation (Ebitda) rose 17.9 per cent to S$980.6 million from S$832 million, while adjusted EPS increased to S$0.71 from S$0.57.
SGX also posted a 15.5 per cent increase in net profit for the second half ended June 2026, which rose to S$355.7 million from S$308 million in the year-ago period.
Operating revenue for H2 rose 19.6 per cent to S$823.3 million from S$688.4 million in the corresponding period a year before.
“Growth was broad-based, with our cash equities business leading the way and our foreign exchange and commodities pillars reaching new volume highs” said Loh Boon Chye, chief executive officer of the bourse operator, adding that “FY2026 was another standout year”.
The SGX board proposed a final quarterly dividend of S$0.115 per share, up from S$0.105 a year earlier, along with a one-off special dividend of S$0.125 per share, both payable on Nov 10.
Subject to shareholder approval, total dividends for FY2026, including the special dividend, will amount to S$0.57 per share, compared with S$0.375 in FY2025.
“Gains from capital recycling enable us to reward shareholders this year with a proposed one-off additional dividend, reflecting our disciplined approach to capital management,” said Loh.
Total expenses rose 6.4 per cent to S$591.1 million in FY2026 from S$555.3 million the previous year. Higher staff costs and other operating expenses were partly offset by lower depreciation and amortisation.
Fixed staff costs increased 9.3 per cent to S$210.8 million from S$192.9 million, while average headcount rose to 1,182 from 1,138. Variable staff costs climbed 13.4 per cent to S$122.5 million from S$108.0 million, reflecting higher profitability.
Other expenses increased 3.6 per cent to S$175.7 million from S$169.5 million. This was mainly due to higher technology costs and professional fees but were partly offset by lower miscellaneous expenses.
Well-positioned
Looking ahead, SGX said it remains well positioned to deliver its medium-term guidance of 6 to 8 per cent group revenue growth, excluding treasury income, alongside a low to mid-single-digit increase in expenses.
The exchange expects continued broad-based growth across all operating segments in FY2027. It guided for a 6 to 8 per cent increase in expenses and capital expenditure of about S$100 million.
The FY2026 results were broadly in line with analysts’ expectations and came against a backdrop of strengthening market activity. Retail trading volumes have climbed to a 13-year high, while net new listings and secondary capital raising have also picked up in recent months.
RHB Group Research raised its FY2026 to 2028 earnings forecasts after incorporating stronger-than-expected June market data into its model. In a Jun 26 report, it forecast total turnover of S$1.474 billion and recurring net profit of S$744 million.
RHB analyst Shekhar Jaiswal said the divestment of Scientific Beta was a positive development as it removes a loss-making subsidiary.
SGX, which acquired a 93 per cent stake in Scientific Beta for 186 million euros in January 2020, announced on Jul 8 that it would sell the loss-making index provider to Stoxx for 23 million euros.
Scientific Beta recorded a net loss of around S$15 million, including goodwill impairment, in SGX’s first half of FY2026.
Meanwhile, DBS forecast total turnover of S$1.55 billion and net profit of S$736 million for FY2026.
However, in a Jun 24 report, it cautioned that slower-than-expected business growth across various asset classes poses downside risks to its estimates.
At market close on Thursday, SGX’s counter rose by 1.3 per cent or S$0.31 to S$24.32 with some 3.3 million shares changing hands.
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