On 23 March 2006 the General meeting of participants of Not-for-profit partnership “The National Depository Center” was held. Nikolai Egorov, NDC CEO, informed in his statement given on a press-conference after the General meeting that “in 2005 NDC visibly increased planned figures and strengthen its market positions in terms of capital, development of infrastructural services and corporate governance. NDC established Board of Directors, acquired stakes in the capital of SDC and DCC, began work to develop technological platform of a universal settlement depository”.
NDC’s revenue for 2005 is 579 million rubles, 35% increase compared with the previous year (428 million rubles). Net profit grew by 35% to 199 million rubles (147 million rubles a year ago), shareholders capital increased by 49% to 625 million rubles (419 million rubles a year ago).
Value of securities held at NDC [1] on securities accounts in 2005 grew by 34% and as of 31 December 2005 reached 1.77 trillion rubles (USD 61.5 million). Market value of securities transferred via depository transactions grew in 2995 by 49% to 14.779 trillion rubles (USD 519.47 billion). Number of depository transactions settled by NDC in a year increased by 20% and reached 1.115 million.
Number of securities on securities accounts opened at NDC increased almost by 140% and reached 50.292 billion; number of issues whose securities are held at NDC grew to 640 (by 59%). Number of securities accounts, opened at NDC in 2005 increased by 8% to 1432. Number of clients reached 688.
In 2005 NDC assigned 718 ISIN codes, which is a 63% increase compared to 2004. Thus the total number of ISIN codes allocated by NDC as of 1 January 2006 reached 2,237.
The number of transactions for which NDC acts as a paying agent as well as for other corporate actions also has grown. Securities income payments delivered through NDC in 2005 reached 14.789 billion rubles (USD 519.82 million), increase of 188% compared with last year.
As of 1 January 2006 NDC held in custody 306 issues of corporate bonds and 89 issues of regional bonds with maturity date after January 2006, issued by 273 issuers with a total value of 693 billion rubles. As a paying agent NDC serviced 73 issues of 57 issuers. NDC also acts as a paying agent for the Bank of Russia bonds. In 2006 NDC plans to substantially strengthen its position as a paying agent and process more than 220 coupon and principal payments for bonds worth 34 billion rubles.
According to NDC and MICEX SE in 2005 in general around 70% of trades with corporate and regional bonds were executed on-exchange and 30% - on OTC market. From OTC trades with corporate and regional bonds on average in a year around 85% were settled fee of payment. Proportion of on-exchange trades with corporate bonds has increased slightly from 33-38% in 2004 to 41-44% in 2005 substantially due to diminishing presence on the market of City of Moscow municipal bonds and as a result decrease of market share of regional bonds for OTC (from 9-14% in 2004 to 6-7% in 2005) and on-exchange (from 25-35% to 23-30%) trades.
In his speech N.Egorov also informed about General meeting decision to acknowledge as satisfactory NDC’s financial results 2005, approve NDC’s post-implementation budget review 2005, NDC’s annual report 2005, take into consideration information from auditor Closed joint-Stock Company PricewaterhouseCoopers on audit of NDC’s accounting reports 2005, approve report of Partnership’s auditing commission on results of NDC’s financial and economic activity in 2005 and to approve suggested changes to the NDC’s budget for 2006.
Performance highlights (65 Kb)
[1] Equities at market value, bonds at par value. This indicator does not include unplaced securities on accounts.