AfricaPress-Tanzania: DAR ES SALAAM Stock Exchange Plc (DSE), net profit has surged by almost 40 per cent in the first quarter of this year thanks to transaction fees.
The profit was pushed up mainly by transaction fees that increased to 849.6m/-in this year Q1 from 608.2m/-similar period last year.
The statement issued by the self-listed bourse showed that total revenue slightly increased to 2.02bn/-in Q1 from 1.86bn/-in Q1 last year.
The total revenue was pushed up substantially transaction fees more than double to stand out as the only item that contributed dearly to the firm revenue for quarter one.
The transaction fees more than doubled to 382.9m/-in Q1 from 157.4m/-similar quarter last year. Other item that noticeably contributed to total revenue was investment income that rose to 531.77m/-from 492.31m/-.
While other revenue registered a minute increase of 0.23 per cent to 146.02 m/- from 145.68 m/-.
Other revenue generation parameters registered a slowdown increase albeit low margins. Listing fees contributed 689.85m/-to the total revenue down from 782.76m/-and Registry and CSD fees dropped 270.93m/-from 277.8m/-.
During the quarter the bourse managed to reduce total operating expenses by almost 6.0 per cent to 1.16bn/- from previous 1.23bn/-.
The area where the expenses went down were administration and operating while staff costs went up. Staff costs jumped to 723.54m/-from 657.82m/-while administration went down to 165.42m/-from 212.33m/-and operating expenses cut to 272,18m/-from 367.52m/-.
The profit increment in quarter one pushed basic earnings per share by almost 40 per cent to 36/-from 26/-.
The results might push up DSE share price that dropped to 900/-of yesterday from 1,000/- at the beginning of the year.
DSE Plc self-listed in May 2016 to become the third exchange in Africa after Johannesburg Stock Exchange (2006) and Nairobi Securities Exchange (2014) to do the same.
