The Philippine Stock Exchange reported a net income of P1.22 billion for the full year, a modest 1.4% increase from the previous year’s P1.21 billion. This seemingly small gain masks a period of significant internal transformation and surprising market resilience.
A dramatic doubling of operating revenues, surging to P2.84 billion from P1.40 billion, fueled the overall positive result. This leap was largely due to the full integration of Philippine Dealing System Holdings Corp., bringing a new dimension to the Exchange’s financial picture.
Despite facing headwinds from political and economic uncertainties that dampened investor sentiment, the markets demonstrated commendable strength. The PSE President and CEO expressed hope that ongoing efforts to address corruption would restore full investor confidence.
Trading activity flourished across both the PSE and Philippine Dealing & Exchange Corp., with the PSE’s total value turnover climbing 19.1% to P1.78 trillion. Simultaneously, PDEx saw an even more substantial increase, with trading value jumping 60.8% to P15.91 trillion.
The Exchange benefited from a surge in listing revenues, which rose nearly 40% to P764.50 million. This was driven by a robust year for capital raising, including two initial public offerings and numerous follow-on and private placements, totaling P144.13 billion.
The PDS also played a key role, overseeing 51 corporate bond listings that collectively raised P454.18 billion. This demonstrates a strong appetite for fixed-income investments alongside equity offerings.
While revenue soared, a significant decline in other income – down 80.1% to P166.20 million – tempered the overall financial picture. This was primarily due to the absence of one-time gains realized in the previous year.
Integration costs associated with the PDS acquisition also contributed to a 62.6% increase in total expenses, reaching P1.40 billion. These investments are intended to create a more unified and efficient exchange.
Looking ahead, leadership expressed cautious optimism, pointing to a bullish start to 2026 and anticipating stronger corporate earnings to drive further market activity. However, geopolitical tensions in the Middle East introduced a new layer of risk.
The Exchange remains committed to its strategic plan, focusing on developing innovative products and pursuing sustainability initiatives to attract and retain investor interest. Crucially, upcoming technology upgrades are designed to enhance operational efficiency and platform resilience.
Regulatory reforms, particularly those concerning real estate investment trusts and IPO float requirements, are expected to encourage more listings and attract additional investment. These changes aim to broaden market participation and liquidity.
The PSEi reached a 14-month high in February, closing at 6,611.24 and demonstrating a year-to-date gain of 9.2%. This positive momentum suggests underlying strength in the Philippine market.
Daily average value turnover increased by 3.5% year-to-date, reaching P7.59 billion. Notably, foreign investors have shifted from net selling to net buying, injecting P25.31 billion into the market.
