LSE posts big lift in post-trade services for H1
16 November 2011 London
Image: Shutterstock
The London Stock Exchange (LSE) posted a strong showing for the six months ending 30 September, with post trade services' total income up 68 per cent driven by growth in clearing volumes.
The results come at a time when the LSE and LCH.Clearnet are in exclusive talks on a potential merger.
Xavier Rolet, CEO, said, "Our diversification strategy is delivering...I am pleased to be reporting a strong first half performance across the Group with a 20 per cent rise in total income and a 79 per cent increase in profit before tax. Key highlights include a very good performance from Post Trade, an area we highlighted in 2009 as a core focus for us and which is now making a significant contribution to both Group revenue and growth."
The 20 per cent boost in total income, which combines revenue with treasury income from its clearing business, is mainly due to higher treasury income, derived from the Italian clearing house CC&G's management of money put up by trading firms as collateral, according to Dow Jones. CC&G has been lending this money to banks, earning interest from it and has recently benefited from higher interest rates brought by volatility in Italian markets.
LSE net profit for the six months ending 30 September was up 86 per cent.
The results come at a time when the LSE and LCH.Clearnet are in exclusive talks on a potential merger.
Xavier Rolet, CEO, said, "Our diversification strategy is delivering...I am pleased to be reporting a strong first half performance across the Group with a 20 per cent rise in total income and a 79 per cent increase in profit before tax. Key highlights include a very good performance from Post Trade, an area we highlighted in 2009 as a core focus for us and which is now making a significant contribution to both Group revenue and growth."
The 20 per cent boost in total income, which combines revenue with treasury income from its clearing business, is mainly due to higher treasury income, derived from the Italian clearing house CC&G's management of money put up by trading firms as collateral, according to Dow Jones. CC&G has been lending this money to banks, earning interest from it and has recently benefited from higher interest rates brought by volatility in Italian markets.
LSE net profit for the six months ending 30 September was up 86 per cent.
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