TP ICAP GROUP PLC
("TP ICAP" or the
"Group")
15 May
2024
Trading update for the three months
ended 31 March 2024
Group revenue performance (in constant currency, unless in brackets, which denotes reported
currency)
Total Group revenue in Q1 2024 of
£570m was 3% down (-6%), after a strong performance in Q1 2023.
Performance in April 2024 was very strong. As a result, total
revenue for the first 4 months was up 3% (0%). The Board remains
comfortable with current market expectations for FY 2024, subject
to movements, as previously noted, in foreign exchange
rates.
Q1
2024 divisional revenue performance
In Global Broking, following near
record revenue in March 2023, due to the collapse of various US
banks, Q1 2024 revenue declined by 7% (-10%). There was a
significant rebound in April 2024 when the business recorded strong
double-digit growth. Energy & Commodities ('E&C') revenue
in Q1 2024 was up 8% (+5%) with the division again benefitting from
buoyant market conditions. E&C revenue has increased by 20%
(+17%) over the 12 months to March 2024,
underlining its position as the world's leading energy
broker.
Parameta Solutions, the leading
provider of OTC data, grew its revenue by 12% (+4%), driven by
ongoing demand, new clients, and a focus on direct distribution. At
Liquidnet, the Cash Equities business, the largest part of the
division, grew by 7% (+2%), building on the momentum established in
the latter part of 2023. Following record revenues (+38% in
constant currency) in March 2023, generated by the same market
conditions as Global Broking, there was a decline in revenue
recorded by Agency Execution. As a result, total Liquidnet revenue
was down 4% (-8%).
Strategic update
· Parameta Solutions:
o As previously announced, Silvina Aldeco-Martinez was appointed
CEO of Parameta Solutions on 27 March, and Eric Sinclair assumed
the role of Chair;
o Silvina joined the
Group from PitchBook Data, a division of Morningstar, where she was
a member of the executive team and CEO of Leveraged Commentary and
Data. Prior to that, in her 25 years at S&P Global, Silvina
held several senior roles;
o Eric was appointed
CEO of Parameta Solutions in 2017. His deep market expertise,
strong relationships and track record of growing the business
complement Silvina's significant experience in the data &
analytics sector, as the division continues to leverage its
position as the leading OTC data provider;
o We continue to
explore options to unlock the value of Parameta Solutions for
shareholders, including a potential IPO of a minority stake in the
business.
· E&C - Energy Transition:
o Tullett Prebon battery metals desk was launched in London and
Singapore last month. The desk provides clients with the
opportunity to trade across these fast-growing asset classes, which
are expected to play a crucial role in the Energy
Transition;
o
Building on its position as the leading
Antipodean energy broker, E&C acquired Aotearoa Energy, a New
Zealand-based Gas, Power, and Carbon broker, complementing ICAP's
market-leading Australian Power & Gas brokerage business and
giving clients access to the sought-after New Zealand Emissions
market.
2024 Annual General Meeting
The Group will host its Annual
General Meeting today, Wednesday 15 May 2024, at 2.15pm (BST) at
the offices of Allen & Overy LLP, One Bishop's Square, London,
E1 6AD.
2024 half year results
The Group will report its results
for the six months ended 30 June 2024 on 7 August 2024.
Forward-looking statements
This document contains
forward-looking statements with respect to the financial condition,
results and business of the Group. By their nature, forward-looking
statements involve risk and uncertainty and there may be subsequent
variations to estimates. The Group's actual future results may
differ materially from the results expressed or implied in these
forward-looking statements.
Enquiries
Group Company Secretary
Vicky Hart
Email: companysecretarial@tpicap.com
Analysts and investors
Dominic Lagan
Direct: +44 (0) 20 3933
0447
Email: dominic.lagan@tpicap.com
Media
Richard Newman
Direct: +44 (0) 7469 039 307
Email: richard.newman@tpicap.com
About TP ICAP
·
TP ICAP connects buyers and
sellers in global financial, energy and commodities
markets.
·
It is the world's leading
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 more than 60
offices across 28 countries, supporting brokers with award-winning
and market-leading technology.
Further information on the company
and its activities is available on the Group's website:
www.tpicap.com.