Brazil CSD Sees 77.6 Per Cent Increase in Revenues from Depository Business in 2011

CETIP, the Brazilian CSD which operates the marketplace for fixed income securities and over the counter (OTC) derivatives in Latin America, reported revenues from the custody depository business reaching R$132.3 million in 2011, 77.6% higher than 2010. These revenues were

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CETIP, the Brazilian CSD which operates the marketplace for fixed income securities and over-the-counter (OTC) derivatives in Latin America, reported revenues from the custody/ depository business reaching R$132.3 million in 2011, 77.6% higher than 2010. These revenues were a major driver of growth for the company and were attributed to the increased expansion of the volume of financial instruments held in custody/depository by CETIP. In the fourth quarter of 2011, the depositary revenue totaled R $ 38.7 million, up 11.8% compared to 3Q11.

The company saw net income in 2011 of R$ 741.8 million last year, a 33.1% increase from 2010.

EBITDA in 2011 reached R$ 546.8 million, up 45.6% over 2010

In the last quarter alone, the adjusted net profit reached 104.8 million dollars, up 14.2% over the previous three months.

Francisco Carlos Gomes, CFO of Cetip, revealed that the depository services accounted for approximately 16% of total gross revenues. “The past year has confirmed the depository service as an important source of revenue for the company. We believe that it should continue to be a revenue line increasingly important, and present behavior very resilient. “

Rrevenue reached R$ 25.8 million in the fourth quarter of 2011, an increase of 18.9% over the same period last year. This movement is explained mainly by growth of 21.4% in revenue from registration of fixed-income instruments and 49.6% in line with other registration services, said CETIP.

(JDC)

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