Deutsche Borse Q3 Profit Down

(RTTNews) - Deutsche Borse AG (DBOEY.PK, DBOEF.PK), the German stock exchange operator, Tuesday reported a lower profit for the third quarter, hurt by special charges and highers costs.

The company reported quarterly net income of 61.6 million euros or 0.33 euro per share, down from 159.9 million euros or 0.85 euro per share last year.

OFAC's investigation into Clear-stream negatively impacted net income, taking into consideration the tax deductibility of a potential settlement payment of 83.2 million euros and process costs of 1.7 million euros.

Excluding special items, adjusted earnings for the quarter were 0.83 euro per share compared to 0.86 euro per share last year.

The Group generated net revenue of 457.9 million euros, down 3 percent from 471.0 million euros last year.

CFO Gregor Pottmeyer said, "In the third quarter of 2013, net revenue was negatively impacted by the low cash market volatility as well as by the continuing extremely low interest rate level. Nevertheless, on the basis of the first three quarters we are confirming our net revenue forecast for full-year 2013."

Operating costs rose to 359.1 million euros from 227.4 million euros last year, due to higher costs for infrastructure and growth programs. Operating costs also included special items of $114.8 million.

While business in Xetra, Clearstream and Market Data plus Service segments was stable, low volatility in the stock market impacted the index business in the derivatives market in particular, the company said.