Aquis Exchange PLC (AIM:AQX, FRA:A9Q) increased first half revenues and profits as it continued to grow membership numbers and existing members saw higher trading volumes.
The company reported a 37% increase in revenue, up to £6.7mln, for the six months ended June 30. Earnings (EBITDA) were £1.6mln, up from £0.5mln a year ago and pre-tax profit was £1mln.
"We are delighted to announce that profits have continued to increase, reflecting the strong momentum maintained in revenue growth,” said chief executive Alasdair Haynes. “This growth has been driven by our existing Members continuing to increase their trading volumes through our pan-European equity, lit market.
“The strength of our offering in this division is demonstrated by our having reached 5.80% of all pan-European secondary trading during the second quarter of 2021.”
Aquis increased its member numbers on the Aquis Exchange (AQX) to 39, compared to 31 this time last year, and it said there was a 27% rise in average monthly usage (measured in chargeable orders) compared to the preceding period.
“Aquis has continued the strong momentum that delivered maiden profits in FY20 into this year,” Liberum analyst Shailesh Raikundlia said in a note.
“While we leave our estimates unchanged, the continued delivery of growth and financial performance coupled with a re-rating of peers leads us to increase our TP to 850p hence maintaining our ‘Buy’ rating.”