ICE posts $31 million net income during Q 2

July 26 | Updated: Jul 27 2006, 05:30am hrs
Intercontinental Exchange Inc, owner of Europes largest energy market, reported second-quarter net income of $31 million, as rising oil prices led to record trading in its futures business.

Profit was 52 cents a share compared with a loss of 13 cents a year earlier, Atlanta-based Intercontinental said in a statement. Revenue doubled to $74 million in the quarter ended June 30, up from $37.5 million.

The exchange, owner of Londons ICE Futures, sold shares to the public for the first time in November.

Futures trading in energy products is at record levels, as strengthening demand and fears of instability sent crude oil and gasoline prices soaring. Intercontinentals ICE Futures exchange through June saw six straight months of record average daily volume.

"Were pleased that ICEs continued growth during the second quarter produced these record results," chief executive officer Jeffrey Sprecher said in the statement.

The earnings report was released before the start of trading on US markets. Intercontinental shares on Tuesday fell 60 cents, or 1%, to $60.15 in New York Stock Exchange composite trading. The shares have gained 65% this year and have more than doubled from the initial offering price of $26.

The company was expected to earn 46 cents a share, according to Sandler ONeill & Partners analyst Rich Repetto.

Crude oil futures reached a record in the second quarter, rising to $75.35 a barrel on April 21.

The current record is $78.40 a barrel set July 14.

Bloomberg