London Stock Exchange sees good growth in third quarter

London Stock Exchange posted its interim management statement for the third quarter to 30 September on Thursday, with total income from continuing operations excluding assets sold and held for sale up 19% to £414.6m.

The FTSE 100 firm said total income from continuing operations was up 14% year-to-date to £1.2bn.

Q3 revenues from continuing operations were up 15% to £376.2m, and up 11% for 9 months year-to-date at £1.1bn.

“This is another good performance, delivering growth across our core businesses while continuing to invest in a wide range of opportunities to drive future returns,” said chief executive Xavier Rolet.

Capital Markets revenues were up 16% - or 8% at constant currency - with growth in both primary and secondary markets despite volatile markets.

Turquoise continued to trade well, with strong growth in the Block Discovery service, including a record month in September.

LCH income increased 29% - or 18% at constant currency - with 21% revenue growth in OTC from higher SwapClear client trades.

Good volume growth was also reported in CDSClear and ForexClear.

Post Trade Services Italy income was up 23%, or 5% at constant currency, with increased settlement and custody revenues, together with increased net treasury income, offsetting lower clearing revenue.

LSE’s Information Services revenues were 13% firmer -or up 3% on an organic and constant currency basis - with underlying growth at FTSE Russell impacted in part by market-related weakness, and by one-off accounting adjustments.

Improvement is expected in Q4, the board said, as values have increased and confidence remains in the many continuing positive market trends and opportunities to drive further good growth

Technology Services revenues were up 5%, or 4% at constant currency.

London Stock Exchange said its focus remains on completion of the merger with Deutsche Börse, creating a leading global markets infrastructure group.

Shareholder approvals have been achieved and work continues to secure regulatory consents.

“In line with our open access approach, we continue to partner with customers to drive innovation with both CurveGlobal and Turquoise Plato going live in September,” Rolet said.

“In Post Trade, we continue to see good growth in OTC clearing across the SwapClear, CDSClear and ForexClear services.”

Rolet said the integration of FTSE Russell is running ahead of schedule and the Information Services business is delivering good results.

“The group is financially well positioned as we reduce operating leverage and further strengthen our balance sheet.

“We remain focused on achieving the necessary regulatory approvals to complete the merger with Deutsche Börse, creating a global markets infrastructure group, which we believe will generate significant value and benefits for customers and shareholders.”