ASX Ltd, which operates the Australian Securities Exchange, made a bottom-line first-half net profit of $264.6 million, up 8.3 per cent from $253.7 million last year.
Its underlying earnings - before interest, depreciation and amortisation - came in at $370.4 million for the six months to December, beating the consensus estimate of up to $349 million.
ASX's strong performance was driven by high trading volumes for cash market trading, clearing and settlement, and interest rate futures, said CEO Helen Lofthouse, who announced her resignation earlier in the week.
"We reported operating revenue of $602.8 million, which is up 11.2 per cent compared to the prior corresponding period," Ms Lofthouse told investors on Thursday.
"It was particularly pleasing to see all four business units contributing to our result, underscoring the value of ASX's diversified business model."
However, a probe by the corporate regulator into multiple infrastructure and governance failures, including multiple outages and failure to replace its ageing CHESS clearing and settlement system, is adding up for ASX.
"Total operating expenses were up 20.0 per cent," Ms Lofthouse said.
"When we exclude expenses associated with the (corporate regulator) ASIC inquiry, our core business expense growth was up 12.1 per cent."
The Australian Securities and Investments Commission's interim report, released in December, had been a key turning point for the bourse operator.
While ASX had enjoyed a history of solid financial success and notable commercial and service innovation, this hadn't always served it well, Ms Lofthouse said.
"At times, it's allowed a level of complacency and insularity to service instead of benchmarking ourselves to the highest standards," she added.
"And in more recent years, we've had too many instances where our customers and regulators have had their confidence tested."
Ms Lofthouse confirmed ASX would trim dividends to help raise the $150 million capital charge required in an agreement with the regulator to support the operator's transformation plans.Â
This potentially prompted investors to overlook the improving financials, as ASX shares dropped 1.7 per cent to $54.45 in the first hour of trade.
ASX's share price recently plumbed depths not seen since January 2017, and is trading at a more than 40 per cent discount to record highs set in 2021.
Regarding her departure, Ms Lofthouse said she and the board had agreed it was the right time for a new person to take the reins.
"It's been a challenging time for ASX, with some tough decisions along the way, and I'm particularly proud of the achievements we've made on our transformation journey during my time as CEO," she told shareholders.
Ms Lofthouse will step down in May after 11 years at ASX Ltd, and three-and-a-half years in the top job.
The corporate watchdog's final report on the bourse operator is due at the end of March.
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