Despite a historic market crash in March this year, the National Stock Exchange (NSE) saw nearly 40 per cent growth in its revenue from operations.
Its revenue for the April-Sepetember 2020 period rose to ₹2,657 crore from ₹1,911 crore from same period last year. The sharp revenue boost for the NSE comes ahead of its initial public offer, currently under process.
The figures are part of a Price Waterhouse & Co. Chartered Accountants LLP report, submitted by NSE MD and CEO Vikram Limaye to the exchange board. It also revealed that NSE has so far set aside ₹4,606.01 crore as of September 2020 in a separate bank account, which is income from its co-location trading services for the past few years.
The NSE was hit by a trading scam and SEBI had directed the exchange to deposit all income from co-location to a separate account till the matter is finalised. SEBI had issued three show-cause notices to NSE for preferential access to tick-by-tick data in co-location and dark fibre.
Despite a slack in the markets, NSE's transaction charge collection has remained robust. It earned ₹2,034.91 crore in the period up to September this year through trading operations, compared to ₹1,322 crore during the same time last year.
The NSE said it has earned ₹1,729 crore from stake sale in Computer Age Management Services. The NSE earned ₹220 crore from clearing and settlement services compared to ₹169 crore it had earned during the same time in 2019.
The core settlement and guarantee fund (SGF) kitty of NSE is worth ₹3,380.31 crore as of September. In this, ₹762.66 crore was contributed by NSE Clearing Ltd (NCL).
Exchanges and their clearing arm are required to transfer 25 per cent of their earnings to the settlement guarantee fund. Also, it included fines and penalties collected by NCL amounting to ₹755.71 crore and an amount of ₹516.08 crore being income from investments of Core SGF.
The NSE has also transferred ₹250 crore for SGF in the commodity derivatives segment.
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