TP ICAP PLC
1 November 2019
TP ICAP plc (the "Company")
Trading Update for the three months ended 30 September 2019 (the "Period")
Revenue:
§ Revenue growth reflected favourable market conditions in the Period.
§ Revenue in the Period of £478m was 17% higher than the £408m revenue reported for the equivalent period last year and 13% higher on a constant currency basis.
§ Year to date (January to September) revenue of £1,400m was 6% higher than the £1,318m revenue reported for the equivalent period last year and 3% higher on a constant currency basis.
Revenue by division (on a constant currency basis):
§ Global Broking revenue grew 10% in the Period relative to the equivalent period last year and was 1% lower year to date with strong performance in Rates offsetting weaker performance in Credit and Equities.
§ Energy & Commodities performance was very strong and revenue grew 24% in the Period relative to the equivalent period last year and 13% year to date as a result of selective hires and recent acquisitions, with encouraging macro conditions across the majority of our Energy & Commodities products, especially oil.
§ Institutional Services revenue grew by 38% in the Period relative to the equivalent period last year and 31% year to date as it continues to benefit from new hires and expanding its client base.
§ Data & Analytics revenue grew 9% in the Period against a strong prior year comparative period and 11% year to date as the business continues to benefit from strategic initiatives to launch new products and deepening its client relationships.
|
£m |
Three month period to September |
|
Year to date |
||||
|
Revenues |
2019 |
2018 |
Change (%) |
|
2019 |
2018 |
Change (%) |
|
Global Broking |
334 |
304 |
+10% |
|
982 |
993 |
-1% |
|
Energy & Commodities |
98 |
79 |
+24% |
|
285 |
252 |
+13% |
|
Institutional Services |
11 |
8 |
+38% |
|
34 |
26 |
+31% |
|
Data & Analytics |
35 |
32 |
+9% |
|
99 |
89 |
+11% |
|
Constant Exchange Rates |
478 |
423 |
+13% |
|
1,400 |
1,360 |
+3% |
|
Exchange Translation |
|
(15) |
|
|
|
(42) |
|
|
Reported |
478 |
408 |
+17% |
|
1,400 |
1,318 |
+6% |
2019 full year guidance:
§ Despite a strong performance in the third quarter, our full year guidance of low single-digit revenue growth on a constant currency basis remains unchanged. We also highlight current geopolitical uncertainties which may have an impact on transaction volumes in the fourth quarter.
2019 preliminary results timetable:
§ The Company will report the preliminary results for the 2019 financial year on 10 March 2020.
Nicolas Breteau, Chief Executive Officer said:
"Today's strong trading update demonstrates that TP ICAP's trading portfolio is well placed to capitalise on volatile macro market conditions.
Separately, our ongoing investment in areas such as Energy & Commodities, Institutional Services and Data & Analytics already bears fruit and ensures a higher-growth, diversified revenue profile."
For further information:
Analysts and investors
Al Alevizakos
Alevizos.Alevizakos@tpicap.com
+44 (0) 203 933 3040
Media
William Baldwin-Charles
William.Baldwin-Charles@tpicap.com
+44 (0) 207 200 7124
About TP ICAP
§ TP ICAP brings together buyers and sellers in global financial, energy and commodities markets.
§ It is the world's largest wholesale market intermediary, with a portfolio of businesses that provide broking services, data & analytics and market intelligence, trusted by clients around the world.
§ We operate from offices in 31 countries, supporting award-winning brokers with market-leading technology.
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