NZX.NZX - NZX Limited Ordinary.

[dragonz]

NZX.NZX are the only NZ shares I hold at the moment. New yearly high today and with the sharesplit, and increased dividends looming all looks good for capital growth. Sharesplits dont happen often and given that this was in part because of the pressure from retail investors, we could see a lot more activity with this stock. Seems like a no brainer, anyone see any pitfalls?


"NZX
07/12/2009
APPNDX7

REL: 0817 HRS NZX Limited

APPNDX7: NZX: NZX Share Split and Dividend Policy

NZX SHARE SPLIT AND DIVIDEND POLICY

NZX today announces a share split and a new dividend policy.

A share split, increasing the number of shares issued from 30.7 million to
123.0 million is declared. The new dividend policy has two components. First,
a post share split 2009 full year dividend of 6.5 cents per share will be
paid, and second, NZX intends to increase the annual dividend by a minimum of
1 cent per share per year for each of the next five years.

1. SHARE SPLIT

NZX today announces a 3:1 share split, increasing the number of NZX shares on
issue from 30.7 million to 123.0 million shares. The share split reflects a
desire by the NZX Board to bring the share price into line with the average
NZX50 share prices, and is in response to well reasoned calls from NZX retail
shareholders for such an action.

The record date for the share split will be Monday 21 December 2009 at 5pm on
that day. The share split will occur after market close on Monday 21 December
and be effective on, and from, market open on 22 December 2009.

2. DIVIDEND POLICY

NZX Dividend Policy - History

In 2003 NZX listed as a business that, as a mutual, had poor earnings history
and unproven prospects. Accordingly, upon listing, NZX initiated a dividend
policy which retained 100% of cash flows, with no dividends declared.

By 2005, after a period of growth in earnings and retention of capital, NZX
had accumulated sufficient cash balances, retained earnings and imputation
credits to institute a dividend policy that paid out 60% of net profit after
tax (NPAT). The Board's considerations in implementing this dividend policy
included a desire to allow shareholders to benefit from the accumulated
imputation credits that had been generated. Over this period NZX operated a
relatively simple business, with few balance sheet items, and accordingly,
NPAT was a very close proxy for free cashflow. This dividend policy has
remained in place to date.

Need for a New Dividend Policy

During 2009, NZX has significantly reshaped its business through a series of
acquisitions and dispositions. The sale of the TZ1 registry business for
Markit shares, for example, has materially grown NZX's Balance Sheet, and
will impact on NZX's NPAT as changes occur in valuation of Markit shares
(from any changes in currency, the share price of Markit shares, and the
carrying value of the asset). The potential magnitude of these changes, their
unpredictable direction, and the consequent impact on NZX's reported NPAT,
mean NZX's previous declared dividend policy of paying out 60% of NPAT is no
longer appropriate, given the non-cash financial asset changes in valuation
impacting on NZX's after tax profit.

Business Context for New Dividend Policy

A firm's dividend policy is one of the most important signals that the Board
and management of the firm can send to the market. NZX remains growth focused
and is executing a strategy that it is confident will continue to exhibit
strong revenue and earnings growth. The NZX Board and management are thus
confident that the reshaping of the business, and the investments made over
recent times, will provide sustained earnings growth.

Given the changed profile of the business - with a strong cashflow base and a
strong growth profile - "Operating Earnings" is a more appropriate benchmark
for recurring or underlying earnings than NPAT from which to determine
dividend policy.

The NZX Board has thus determined to base its dividend calculations around
Operating Earnings but, in terms of declared dividend policy, translate this
into a cents per share policy. Accordingly, NZX's new dividend policy will be
declared in cents per share.

It is intended and expected that dividends will continue to be fully imputed.

As outlined above, the NZX Board and management also view the restatement of
the dividend policy also as an opportunity to indicate to the market our
confidence in the future earnings growth of the business, and thus to set a
dividend policy which sees dividends increase over time.

New Dividend Policy - Details

NZX's new dividend policy approach will be to set an initial dividend rate of
cents per share, alongside a planned minimum rate of increase in the dividend
payment over time.

For the 2009 financial year, NZX declares a final dividend on the post share
split increased capital, of 6.5 cents per share, fully imputed. This
represents a payout of approximately 60% of expected Operating Earnings.

Based on management's confidence regarding the earnings growth outlook for
the business, NZX intends to increase the annual dividend by a minimum of 1
cent per share annually, for the next five years.

NZX has, for two of the last three years, operated a Profit Distribution Plan
(PDP) in which approximately 80% of shareholders have elected to participate.
NZX has an IRD ruling that allows such a distribution, and will continue to
offer such a plan as is appropriate. NZX will announce, with its 2009
financial full year result release, whether or not a PDP will be offered.
NZX's full year financial results are scheduled to be released on 1 March
2010. NZX will hold an Investor Day on 9 March 2010 at the NZX Centre in
Wellington.
End CA:00188785 For:NZX Type:APPNDX7 Time:2009-12-07:08:17:35"

[COLIN]

Dragonz: Rest assured, you're not alone in the NZX universe! I believe you have made a wise move - and that statement has nothing to do, of course, with the fact that I, too, bought some NZX just after the recent announcement! Wish I had bought prior, of course, but still trending upwards. And there will be a further boost when the share split actually takes place. The NZX equity market is not exactly the fastest growing in the world, and I guess the greatest downside risk is the possible migration of leading stocks across the Tasman, but Weldon seems to keep coming up with other "bolt-on" business which keeps up the revenue, e.g. power price indices is his latest one, and the NZDX has assumed greater importance lately.

[COLIN]

Dragonz: Well, our faith seems to have been justified. I'm now up 10%, even though I only bought after the announcement.

[dragonz]

The chart does look good. All blue sky from here. :D

I thought this was a 3:1 split but it was a 4:1, even better lol.

[dragonz]

NZX
01/03/2010
FLLYR

REL: 0933 HRS NZX Limited

FLLYR: NZX: Strong year for NZX: NPAT up 280% to $38.71 million

NZX Limited

Results for announcement to the market

Reporting Period 12 months to 31 December 2009
Previous Reporting Period 12 months to 31 December 2008

Amount (000s) Percentage change
Revenue from ordinary activities $NZ 42,805 33%
Profit (loss) from ordinary activities after tax attributable to security
holder. $NZ 38,711 280%
Net profit (loss) attributable to security holders. $NZ 38,711 280%

Final Dividend for 2008 year Cash amount per security Gross amount
per security
NZX paid a fully imputed dividend on 6 May 2009. $NZ 0.0625 $NZ
0.093284

Record Date for 2009 year 26 March 2010
Dividend Payment Date for 2009 year 29 April 2010

Comments: See also full audited financial release attached.

1 March 2010 - NZX has release
d its 2009 full year result showing a very
strong bottom line result, with 2009 NPAT of $38.71 million, a 280% increase
on 2008.

This release contains five sections:

I. Summary: 2009 Performance and 2010 Outlook
II. NZX Group Financial Result 2009: Summary Tables
III. NZX Group 2009: Detailed Performance Summary
IV. NZX Group 2010: Strategic and Financial Outlook
V. Capital Management

I. SUMMARY: 2009 PERFORMANCE AND 2010 OUTLOOK

Over the previous five years NZX has architected a business model designed to
remain strong over the worst business scenarios NZX could contemplate. The
strength of the NZX Group business model is seen in these 2009 financial
results and those of 2008 where, in both years, NZX performed in the top
decile of exchanges globally in terms of financial results.

In 2009, NZX's dominant focus was on strategy execution, including realising
capital value from certain of NZX's strategic investments. "The highlight of
the 2009 financial
result is a 280% increase in NPAT to $38.71 million. This
reflects a concentrated focus on capital realisation," said NZX CEO Mark
Weldon.

"NZX's 2009 goals were based on a view that 2009 would be a difficult trading
year, and that many of the capital market changes over this period would be
fundamental, not merely cyclical. NZX also believed that 2009 would present
unique opportunities for a strongly capitalised company with the ability to
move quickly," said Weldon.

Accordingly, at its outset, NZX determined that 2009 would have four
priorities:

- Fundamentally reshaping NZX's business footprint via both (i) dispositions
that turned certain of NZX's strategic investments into cash or hard assets;
and (ii) acquisitions that positioned NZX to be a local and global specialist
in the nexus between energy and agriculture, and capital markets;

- Developing critical infrastructure to enable strong medium term growth in
areas that matched the intended acquisitions;

- Building capabil
ity internally in the technology area as this becomes a
more important strategic driver, and NZX moves to more of a 'make' rather
than 'buy' model over the medium term; and

- Ending 2009 with a strong portfolio of new growth options.

The shape of the NZX business, and the changed nature of the components of
full year financial result, reflect the accurate execution of these
priorities.

The key aspects of the 2009 financial results are as follows:

- NPAT of $38.71 million, an increase of 280%, reflecting in particular the
dispositions of the TZ1 Registry and NZX's shares in BESA - both for
significant profit;

- Revenue growth of 33% to $42.81 million. Revenues from the securities
business were largely flat, reflecting difficult macro capital market
conditions in trading, data sales and IPOs. NZX's revenue growth of $10.68
million was driven by existing agricultural data and acquisitions of
businesses in the energy and agricultural area over the period;

- Operating expenditure o
f $25.25 million, an 89% increase, reflecting the
larger shape of the business, integration costs, major project costs, and a
significant quantum of one-offs and transaction related items; and

- EBITDAF that fell 6%, reflecting the combination of the challenging capital
market conditions, and the one-off and integration costs related to reshaping
the business.

NZX has delivered very strong financial performance since its listing in
June, 2003. At that time NZX's revenue was $12.64 million, EBITDAF $3.56
million and NPAT $2.94 million. Since listing in June 2003, NZX has achieved
a total return to shareholders (TRS) to 31 December 2009 of 526%. This
represents an annual TRS of 33% since 2003.

"After achieving the 2009 priorities, we believe that in 2010 and beyond our
business is poised to benefit from improved macro and local conditions and a
business model that will see it continue to deliver strong financial
performance over the next five years as a New Zealand listed company,
" said
Weldon.

II. NZX GROUP FINANCIAL RESULT 2009: SUMMARY TABLES

The main line items for the NZX Group 2009 Financial performance are shown in
Table 1 below.

Table 1: Financial Results Summary
2009 Change (PCP*)
Operating Revenue $42.81 million 33%
Operating Expenditure $25.25 million 89%
EBITDAF $17.56 million (6%)
EBITDA $45.96 million 166%
NPAT $38.71 million 280%
Fully Diluted EPS ** 34.98 cents 238%

* Previous comparative period (PCP)
** All comparative figures adjusted for share split in December 2009

III. NZX GROUP 2009: DETAILED PERFORMANCE SUMMARY

This section covers important details from the financial result. Significant
analysis is provided to ensure shareholders have a detailed understanding of
the shape and composition of the business, given the substantial changes to
the business over 2009.

A. Operating Revenue

Operating revenue for the NZX Group in 2009 was $42.81 million. This
represents a $10.68 million or
33% increase from the $32.13 million reported
in 2008.

1. Listings
Listings revenue in 2009 was $11.59 million. This represents an increase of
30% over the $8.91 million reported in 2008. Record levels of capital
raising on both the NZDX and via secondary equity raisings on the Main Board,
saw overall listing revenue grow strongly. A comparative breakdown of each
of the listings revenue categories is given in Chart 1 below.

Chart 1: Listings Revenue

2. Trading
Trading revenues include all revenues from trading fees, participant and
membership fees, and any other charges in all NZX markets. This category also
includes initial revenues from the Clear grain exchange, acquired in November
2009.

Trading revenue fell to $5.02 million, a 6% decrease compared with 2008. The
major factor in this fall was a 3% decrease in the average number of daily
trades.

3. Market Data
The market data category comprises revenue generated from the sale of data
from any of the markets
NZX operates. Market data revenue fell by 3% versus
2008 to $10.56 million. This reflect a decrease in data terminal numbers, as
well as unfavourable NZ$-US$ exchange rate movements (as the majority of
NZX's market data sales are in U.S. dollars).

4. Post Trade Systems and Services
This category includes clearing and settlement fees from post trade systems
in both securities and energy. Revenue in this category grew 53% to $4.49
million. Revenue from the energy area accounted for $2.61 million of the
$4.49 million. The other significant difference versus 2008 is that NZX
received $1 million from services provided to AXE in 2008.

5. NZX Agri
There are two components to the NZX Agri business portfolio: AgriData and
AgriInform. Total NZX Agri revenues were $7.71 million in 2009, comp

..

You can view the full announcement at
http://www.directbroking.co.nz/DirectTrade/dynamic/announcement.aspx?id=2454225