In the second quarter 2009, Deutsche Brse Group generated a solid result, despite lower trading activities in financial markets compared to the same period last year. While sales revenue in the business segments Xetra and Eurex was characterized by market participants reluctance to trade, Clearstream contributed significantly to the Groups sales revenue, with assets under custody constantly above Euro 10 trillion and growth in its international business.
Therewith, the diversified and integrated business model has once again proven itself. Overall, Group sales revenue decreased to Euro 515.6 million (Q2/2008: Euro 585.5 million, -12%) compared to the second quarter of record year 2008. Net Interest Income from the Groups banking business fell to Euro 25.9 million (Q2/2008: Euro 59.2 million, -56%) reflecting new historic lows in short-term interest rates. Deutsche Brse Group continued its tight cost management in the second quarter and reiterates its cost guidance of some Euro 1,280 million for 2009.
Total costs increased as a result of investments in growth initiatives of the Group, US-dollar exchange rate effects, the consolidation of Market News International (MNI), a SEC fee increase, an increase in stock based compensation charges due to the significant increase in Deutsche Brses share price, as well as provisions for the planned move to a new building in Eschborn. Against these items stood the positive effects from efficiency measures as well as the liquidation of provisions in the context of the restructuring and efficiency program. Total costs in the second quarter stood at Euro 322.5 million (Q2/2008: Euro 297.0 million, +9%).
Overall, Deutsche Brse generated Euro 248.8 million in EBITA in the second quarter 2009 (Q2/2008: Euro 375.1 million, -34%). Net income amounted to Euro 164.9 million (Q2/2008: Euro 249.4 million, -34%). This includes the positive effects of a reduction in the effective Group tax rate compared to financial year 2008. Based on the average number of 185.8 million shares outstanding in the second quarter 2009, basic earnings per share decreased to Euro 0.89 (Q2/2008: Euro 1.30 based on 191.9 million shares, -32%).
On a consolidated basis, in H1/2009, sales revenue decreased to Euro 1,055.4 million (H1/2008: Euro 1,230.0 million, -14%). Costs of Euro 620.1 million in the first half of 2009 (H1/2008: Euro 613.1 million, +1%) demonstrate the positive effects of the efficiency measures undertaken by the Group, while investments in growth initiatives were increased. EBITA amounted to Euro 560.4 million (H1/2008: Euro 800.9 million, -30%). Net income for the first half of 2009 amounted to Euro 370.8 million (H1/2008: Euro 553.6 million, -33%), based on an effective Group tax rate of some 27% (H1/2008: some 29%). Basic earnings per share amounted to Euro 2.00 (H1/2008: Euro 2.88, -31%).
The stable financial position and excellent credit rating profile of the Group are a result of the continued high profitability and cash generation. No decision has been made on resuming share buybacks in 2009. The Capital Management Policy of the Group including Deutsche Brses general commitment to distributions remains unchanged.
D.C.