ASX Limited reported a 13.3% rise in operating revenue to $1.25 billion for FY26, with underlying net profit up 5.2%, despite a 3.5% dip in statutory profit due to significant one-off costs including a $20.5 million ASIC penalty. The company declared a fully franked final dividend of 104.7 cents per share and appointed Anthony Attia as CEO.
- 13.3% revenue growth to $1.25 billion
- 5.2% increase in underlying net profit to $536.4 million
- 3.5% decline in statutory net profit due to one-off costs
- Fully franked final dividend of 104.7 cents per share declared
- CHESS Release 1 delivered; new CEO Anthony Attia appointed
Financial Performance and Dividend Update
ASX Limited (ASX) delivered a robust 13.3% increase in operating revenue for the 2026 financial year, reaching $1.25 billion. This growth was broad-based across all four business units: Listings, Markets, Technology & Data, and Securities & Payments. Underlying net profit after tax (NPAT) rose 5.2% to $536.4 million, reflecting strong revenue gains offset by elevated expenses. However, statutory NPAT fell 3.5% to $484.9 million, weighed down by significant one-off costs including a $20.5 million penalty and $3 million in legal costs related to ASIC proceedings settled during the year.
The Board declared a fully franked final dividend of 104.7 cents per share, up 2.8% on the interim dividend, bringing total dividends for FY26 to 206.5 cents per share, a 7.5% decline from the prior year. The dividend payout ratio was set at 75% of underlying NPAT, reflecting a strategic decision to preserve capital amid ongoing transformation and regulatory demands. A discounted dividend reinvestment plan (DRP) will apply to the final dividend, with shares issued at a 2.5% discount to the volume weighted average price (VWAP) over a nine-day period commencing 26 August 2026.
Technology Modernisation and Operational Resilience
A major milestone was the successful delivery of CHESS Release 1 in April 2026, marking the first phase of ASX’s technology modernisation program. The upgraded clearing platform is designed to be scalable, secure, and resilient, capable of handling higher trading volumes and providing a foundation for future enhancements. This release included enterprise technology platforms such as cloud hosting, data integration, and observability capabilities, which are now supporting subsequent initiatives like the TradeAccept system for off-market derivatives trades.
ASX is also progressing the modernisation of its cash market trading platform, ASX Trade, aiming to improve latency, efficiency, and resilience. Other customer-driven innovations included launching morning and evening peak electricity contracts and collaborating with Bloomberg Indices to introduce ASX:Bloomberg AusBond Index Futures, expanding fixed income product offerings. The Technology & Data division grew revenue by 8% to $297.6 million, driven by increased demand for market data and connectivity services.
Market Activity and Listings Momentum
Market volatility fueled an 18.6% increase in Markets revenue to $414.1 million, with futures and OTC volumes up 14.4% and cash market trading value rising 22.5%. ASX recorded its strongest listings year since FY22, welcoming 100 new entities, a 44.9% increase year-on-year. New listings added $32.6 billion in quoted market capitalisation, while total new capital quoted reached $91 billion. The Listings business saw revenue rise 3.5% to $215.2 million, supported by higher secondary capital raisings and increased market capitalisation. ASX also remained the preferred venue for new ETFs, adding a record 72 during the year.
Regulatory Challenges and Governance Enhancements
FY26 was marked by significant regulatory scrutiny following ASIC’s nine-month Inquiry into ASX’s governance, capability, and risk management frameworks. The Inquiry’s final report, released in April 2026, confirmed the need for fundamental reforms. ASX agreed to a comprehensive Commitments Plan addressing the Inquiry’s recommendations, including strengthening the governance of clearing and settlement facilities, enhancing leadership capability, and resetting the Accelerate Program. A $150 million capital charge was imposed by ASIC to reflect the elevated risk profile, which ASX plans to fund by accumulating additional net tangible assets by June 2027.
ASX settled ASIC litigation related to statements on the previous CHESS project, paying a $20.5 million penalty and $3 million in legal costs. The Board also undertook a renewal program, appointing directors with deep expertise in technology, markets, and regulation, including Dee McGrath, Vic Jokovic, and Anne Loveridge. The Clearing and Settlement Boards were reconstituted to enhance independence, with new non-executive directors appointed and ASX directors retiring from these boards.
Leadership Transition and Cultural Progress
The year saw a leadership transition with Helen Lofthouse stepping down as CEO in May 2026. Darren Yip served as Interim CEO until the appointment of Anthony Attia, who will commence on 1 September 2026. Attia brings extensive global exchange experience and a focus on technology-enabled transformation. The Board views his appointment as a fresh start to accelerate ASX’s transformation and strengthen stewardship of critical market infrastructure.
Employee engagement improved notably, rising 6 percentage points to 68%, supported by targeted leadership programs and the relocation of ASX’s Sydney head office to 39 Martin Place, fostering collaboration and connection. Inclusion scores met targets, with women in leadership roles increasing to 45.8%, though women in management roles remain below expectations, highlighting ongoing diversity challenges.
Sustainability and Climate Resilience
ASX released its inaugural climate-related disclosures aligned with the Australian Sustainability Reporting Standard AASB S2. The company achieved net zero Scope 1 and 2 emissions through renewable electricity procurement and carbon offsets, primarily via the purchase of Australian Carbon Credit Units (ACCUs) from the West Arnhem Land Fire Abatement Project. ASX conducted climate scenario analyses under 1.5°C and >4°C pathways, concluding its business model is resilient to transition and physical climate risks. Energy cost increases and extreme weather impacts on data centres are expected to add less than $1 million per annum in operating expenses over the long term. ASX is exploring sustainability-linked products and services as growth opportunities.
Outlook and Investment Priorities
ASX reaffirmed its FY27 guidance, expecting total expense growth of 18-21%, driven by technology modernisation, the reset Accelerate Program, and customer-driven growth initiatives. Capital expenditure is forecast at $180-200 million, focused on technology upgrades and new product development, with FY28 capex guidance of $170-190 million. The company emphasised disciplined execution to rebuild confidence and deliver long-term shareholder value amid ongoing market volatility and regulatory expectations.
With a strong new listings pipeline and resilient trading volumes, ASX aims to maintain its position as a trusted steward of Australia’s financial markets. However, the elevated cost base and capital charge underscore the challenges ahead as ASX balances transformation investment with shareholder returns.
Bottom Line?
ASX’s FY26 results reflect a company in transformation, robust top-line growth shadowed by rising costs and regulatory capital demands, with new leadership poised to steer the next phase.
Questions in the middle?
- How will ASX balance ongoing technology investments with shareholder return expectations amid the $150 million capital charge?
- What operational risks remain as ASX progresses from CHESS Release 1 to the planned Release 2 in 2029?
- To what extent will sustainability-linked products contribute to ASX’s future revenue growth and market positioning?