The Multi Commodity Exchange of India Ltd. (MCX), India’s leading Exchange in the Commodity Derivatives segment, has released its unaudited financial results for the first quarter ended June 30, 2023, showcasing a robust financial performance and significant growth in market share.
Financial Highlights
During the quarter that ended June 30, 2023, MCX’s total income witnessed a notable rise of 8 per cent, reaching Rs 166 crore as compared to Rs 154 crore in the sequential quarter that ended on March 31, 2023. Moreover, the operating income exhibited a growth of 9 per cent and stood at Rs 146 crore, up from Rs 134 crore in the previous quarter (Q4 FY22-23).
The company’s earnings before interest, taxes, depreciation, and amortisation (EBITDA) also demonstrated impressive performance, soaring by 41 per cent to Rs 31 crore during the quarter under review, as against Rs 22 crore in the preceding quarter (Q4 FY22-23).
MCX reported robust financial margins, with the EBITDA margin standing at 19 per cent and the PAT (Profit After Tax) margin at 12 per cent for Q1 FY23-24. The net profit surged significantly by 261 per cent, reaching Rs 20 crore from Rs 5 crore in the sequential quarter that ended on March 31, 2023.
Operational Highlights
MCX’s operational performance during Q1 FY23-24 also showed growth. The average daily turnover (ADT) of commodity futures witnessed a 4 per cent increase, reaching Rs 21,414 crores compared to Rs 20,632 crores in the previous quarter (Q4 FY22-23).
The notional ADT of options experienced a substantial upswing during the same quarter, recording a 35 per cent increase to Rs 61,928 crores from Rs 45,710 crores in Q4 FY22-23.
The combined ADT of futures and options exhibited a substantial rise of 26 per cent, reaching Rs 83,341 crores in Q1 FY23-24 compared to the turnover of the previous quarter (Q4 FY22-23).
Additionally, MCX witnessed a substantial growth of 12 per cent in the total number of traded clients participating in futures and options on the exchange during Q1 FY23-24, with the number of clients reaching approximately 3.93 lakh. This is in comparison to 3.52 lakh clients in the previous quarter and 2.38 lakh clients in Q1 FY22-23.
The Exchange mechanism facilitated the delivery of an impressive 19,695.5 MT of base metals during Q1 FY23-24.
Market Share
MCX continued to maintain its dominant position in the commodity futures market during Q1 FY23-24, with a market share of 96.3 per cent.
Read More: MCX reports increased market share; total revenue up 8% to 166 crores in Q1