Derivatives and FX trading revenue decline offsets otherwise solid Q2 for Euronext

Exchange reported a Q2 revenue and income of €368.1 million, down 1.8% year-on-year, driven by decreased revenues in derivatives and FX trading.

Euronext has reported a ‘solid’ second quarter driven by growth in non-volume-related business which was offset by declines in trading revenues.

The exchange reported a Q2 revenue and income of €368.1 million, down slightly by 1.8% compared to Q2 2022.

Non-volume-related revenue made up 61% of the exchange’s revenue last quarter, up from 59% year-on-year.

Trading revenues at the exchange were down 8.5% year-on-year, totalling €118.2 million compared to €129.2 million in Q2 2022.

Despite this, increasing interest rates saw the exchange’s fixed income trading division achieved a revenue of €25.3 million, up 1.4% compared to the same period last year.

Derivatives trading and FX trading, however, saw declines totalling €13 million and €6.1 million, down 12.6% and 15.7%, respectively.

Equity listing revenues also experienced a decline, reducing by 5.4% from €26.8 million in Q2 2022 to €25.3 million in Q2 2023.  

Amid declines in trading revenues, Stéphane Boujnah, chief executive officer and chairman of the managing board of Euronext, still spoke positively on the quarter: “Euronext’s Q2 2023 results demonstrate the strength of our diversification strategy towards non-volume-related activities. Euronext’s revenue remains robust, reaching €368.1 million, and remained stable at current currencies despite a negative volatility environment.”