U.S. News

Nymex Profit Doubles, Led by Fees and Electronic Trading

By Insert Byline

Nymex Holdings, parent of the New York Mercantile Exchange commodities market, said fourth-quarter profit roughly doubled, driven by higher fee revenue and increased electronic trading volume.

In its first quarterly report as a public company, Nymex said it earned $42.3 million, or 48 cents a share, compared with $20.7 million, or 28 cents a share, in the year-earlier quarter.

Revenue grew 40% to $124.8 million from $88.9 million a year ago on increased clearing, transaction and market data fees.

Analysts surveyed by Thomson Financial, on average, forecast per-share profit of 38 cents on $126.4 million in revenue.

The exchange said it has seen electronic volume surge since listing its energy and metals contracts electronically through the Chicago Mercantile Exchange's Globex electronic trading platform.

For the full year, Nymex earned $154.8 million, or $1.90 a share, from $71.1 million, or 97 cents a share, in 2005. Revenue rose to $497.2 million from $334.1 million.

Nymex, best known for its raucous open-outcry trading of oil and gold futures, held its initial public offering in November after 135 years as a private, member-owned exchange.