Shares in Euronext (EU:ENX) edged lower on Thursday after the exchange operator posted fourth-quarter 2025 figures that fell short of expectations at the reported profit level.
Reported profit before tax (PBT) came in at €213 million, around 5% below market forecasts, according to Barclays. By contrast, adjusted PBT reached €258 million, roughly 3% above consensus, helped by stronger revenues and favourable depreciation and amortisation dynamics.
Quarterly net income totalled €145 million, also about 5% under consensus estimates.
Underlying revenue exceeded expectations by approximately 1%, increasing 11% year on year. However, Barclays noted that the figure included a €4 million fair value adjustment linked to AdminControl contracts following its acquisition. Stripping out this item, revenue would have been broadly aligned with consensus projections.
Adjusted EBITDA rose 9% compared with the prior year and came in about 1% ahead of expectations, while the adjusted EBITDA margin of 60% was in line with market forecasts. Reported earnings per share were €1.42, roughly 5% below the €1.50 consensus, though still 2% higher year on year.
For the full year 2025, Euronext delivered double-digit growth in both revenue and profit, supported by expansion in non-trading activities, resilient market volumes and continued cost control.
Underlying full-year revenue and income advanced 12.1% to €1.82 billion. Non-volume-related businesses accounted for 59% of total revenue and covered 157% of operating expenses, excluding depreciation and amortisation.
Revenue from Securities Services increased 6.9% to €330.7 million, driven by higher custody and settlement activity and growth in assets under custody.
Capital Markets and Data Solutions revenue climbed 12.1% to €669.3 million, while net treasury income surged 22.6% to €69.6 million, reflecting the expansion of clearing operations.
Volume-driven income also strengthened, with fixed income, currencies and commodities markets revenue rising 16.2% to €342.8 million and equity markets revenue up 11.7% to €410 million on robust trading activity.
Adjusted EBITDA for the year grew 13.6% to €1.14 billion, with margin improving to 62.7%. Adjusted net income increased 7.9% to €736.5 million, and adjusted EPS rose 10.3% to €7.27. Reported net income climbed 9.8% to €642.9 million.
Underlying operating expenses, excluding depreciation and amortisation, totalled €680.1 million, reflecting recent acquisitions including Admincontrol and Athex Group.
Looking ahead, the company expects underlying costs in 2026 to reach around €770 million, incorporating integration expenses and investment in growth initiatives. Euronext intends to propose a dividend of €321.5 million, equivalent to 50% of reported net income, marking a 9.8% increase from 2024.
Barclays analysts pointed to the shortfall in reported net income and PBT, along with the 50% payout ratio. “Focus likely on costs & whether guide is conservative – new FY26 guide of €770m is heavier than BARCe (€745m) & unclear what’s in a noisy cons,” they commented.
Chief Executive Stéphane Boujnah said 2025 marked “an excellent start” to the group’s strategic plan, highlighting balanced growth across both trading and non-trading segments.
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