SINGAPORE, Oct 19 (Reuters) - Singapore Exchange Ltd (SGX) reported a 16 percent drop in first-quarter net profit as its revenue from derivatives, equities and fixed income bore the brunt of muted market conditions.
SGX posted a net profit of S$83.1 million ($59.9 million) in the three months ending Sept. 30 versus S$99.3 million a year ago. Total revenue declined 13 percent to S$190.8 million.
“Our first-quarter performance this year reflects lower levels of market activities, compared with a more volatile market a year earlier,” SGX CEO Loh Boon Chye said in a statement on Wednesday.
“Participants reacting and adjusting to slowing global economic growth, political uncertainties and implications of Brexit on the European economy could result in a period of relatively subdued trading volumes,” Loh said.
SGX expects to complete the acquisition of the Baltic Exchange by the end of November. In September, shareholders of the Baltic approved an 87 million pounds takeover of the bourse by SGX, bringing together the companies from two global maritime hubs. ($1 = 1.3863 Singapore dollars) (Reporting by Anshuman Daga; Editing by Gopakumar Warrier)