The National Stock Exchange (NSE) has delivered an impressive performance in the December quarter, reporting an 8 percent year-on-year increase in its net profit, reaching Rs 1,975 crore. Consolidated revenue from operations also experienced significant growth, soaring by 25 percent on-year to Rs 3,517 crores for Q3.
The remarkable surge in the top-line growth can be attributed not only to trading revenue but also to various contributing factors such as data centre and connectivity charges, clearing services, listing services, index services, and data services. Notably, the net profit margins for Q3 FY24 stood impressively at 51 percent.
During Q3, the cash market witnessed a substantial uptick, with a 50 percent surge in average daily traded volumes (ADTVs), soaring to Rs 80,512 crore. Equity futures also demonstrated robust growth, recording an 18 percent rise, with an ADTV of Rs 1,31,010 crore. Similarly, equity options in terms of premium value experienced a noteworthy increase, with an ADTV of Rs 56,707 crore, reflecting a 28 percent uptrend.
Overall, the combined volumes for the cash equity and equity derivatives segments saw a robust growth of around 29 percent on-year during Q3 FY24. However, despite the strong surge in trading activity, the total transaction charges only rose by approximately 18 percent year-on-year. This anomaly was primarily attributed to the reversal of increased transaction charges that came into effect on April 1, 2023.
The National Stock Exchange’s stellar performance in Q3 underscores its resilience and ability to navigate through dynamic market conditions. With its strong financials and strategic initiatives, the NSE continues to play a pivotal role in India’s financial landscape, contributing to market liquidity and investor confidence.
