Deutsche Börse Loses Steam in Q2, Still Posts Solid H1 Results

Marketplace organiser Deutsche Börse has today released its financial results for the second quarter of 2020, revealing an overall uptick in revenues for the Group.

During the three month period, net revenue reached €778 million. When measuring this against the same period of the previous year, revenues have increased by 7 per cent. This growth was largely driven by the continued positive contribution of secular growth initiatives. 

Net profit for the second quarter of 2020, however, fell by 4 per cent, which was below forecasts. EBITDA increased by 4 per cent year on year and operating costs were up by 15 per cent.

For the first half of the year, net revenues increased by 17 per cent year on year to reach €1.7 billion. Adjusted net profit for the first six months of the year was also up by 16 per cent at €676 million.

360T net revenues increase by 8% YoY

360T, the foreign exchange (forex) over the counter (OTC) trading platform of Deutsche Börse saw an 8 per cent rise in net revenue, reaching €23.6 million, up from €21.8 million in the second quarter of 2019.

The FX trading platform also achieved a 7 per cent annual gain in EBITDA across the second quarter at €10.2 billion. Q2 of 2019 recorded EBITDA of €9.5 million. The average daily volumes during Q2 on 360T was €81 billion, which remains flat year-on-year.

Deutsche Börse 2020 outlook remains unchanged

Although the Group reported a strong performance for the first half overall, its guidance for the full year of 2020 remains unchanged. This could be because momentum has slowed after the first quarter of this year, driven by heightened volatility amid COVID-19. However, this is purely speculation.

Specifically, for the whole of 2020, Deutsche Börse expects to achieve continued secular net revenue growth of at least 5 per cent and around €1.2 billion adjusted net profit.