NEX Group FY revenues and profit rise

FTSE 250 financial broker NEX Group, formerly ICAP, posted a rise in profit and revenue for the year to the end of March but said activity since the start of the year has been subdued.

Revenue increased to £543m from £460m, with trading pre-tax profit of £114m, up from £110m the year before. Meanwhile, statutory pre-tax profit rose to £120m from £27m.

Revenue from continuing operations was up 18% to £543m, or 8% at constant currency, and the company declared a final dividend of 27p per share, unchanged from last year, giving an unchanged full-year dividend of 38.5p per share.

Chief executive officer Michael Spencer said: "The sale of ICAP Global Broking for £1.3bn to TP ICAP delivered exceptional value to NEX shareholders.

"Our performance remains strong in a tough market environment. NEX Markets has focused on expanding its product suite to a wider client base and continues to win market share in US Treasury actives, EU Repo and Asian NDF's. NEX Optimisation continues to innovate, delivering market leading services across the transaction lifecycle that help clients solve their financial, regulatory and operational challenges."

Spencer added that the group's priorities for the 2017/18 include increasing operating margins to at least 40% and delivering value for its clients and shareholders.

NEX said that since the start of the year, trading activity has been subdued as volatility remains low despite sporadic activity around political events.