Swiss stock exchange SIX sees FY loss, with $1 billion-plus impairment charge in Q4

Published 14/12/2023, 07:28
© Reuters. The logo of Swiss stock exchange operator SIX Group is seen at its headquarters in Zurich, Switzerland November 13, 2020.  REUTERS/Arnd Wiegmann

BERLIN (Reuters) - Swiss stock exchange operator SIX said on Thursday it expects to report a loss in 2023, as it will book non-cash impairments of over a billion Swiss francs, mainly in relation to its stake in European payments provider Worldline.

SIX now sees a net loss of between 1.0 billion and 1.1 billion francs ($1.15-1.27 billion) for 2023, from a profit of 185 million francs a year earlier.

The group, which is owned by around 120 banks, said it will recognise a non-cash value adjustment of around 860 million Swiss francs in the current quarter on its 10.5% stake in Wordline, on the back of the share price decline at the payments provider.

It will also book a non-cash charge in the same period of about 340 million francs in relation to an impairment of goodwill attributed to the BME group, resulting from increased discount rates as well as lower trading volumes in Spain and in Europe.

SIX will report its 2023 results on March 13.

© Reuters. The logo of Swiss stock exchange operator SIX Group is seen at its headquarters in Zurich, Switzerland November 13, 2020.  REUTERS/Arnd Wiegmann

It still expects to propose a slightly higher dividend than the 5.10 francs per share it paid out for 2022, adding the value adjustments will not affect the strong free cash flow generation in 2023.

($1 = 0.8695 Swiss francs)

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