Following the disposal of Icap Global Broking to Tullett
Prebon, the re-branded Nex Group has reported an increase in revenue for the
financial year 2017, which ended on March 31.
Nex says revenue from continuing operations was GBP 543
million in the year to March 2017, up from GBP 460 million for the year to
March 2016, an 18% increase.
Trading operating profit was GBP 145 million (GBP 139
million in FY 2015-16), while trading profit before tax was GBP 114 million
(110 million) and profit before tax was GBP 120 million (27 million).
Trading operating profit margin decreased slightly from 30%
to 27% in the latest financial year.
“The sale of Icap Global Broking for £1.3 billion to TP ICAP
delivered exceptional value to NEX shareholders,” says Michael Spencer, CEO of
Nex Group. “Nex is a well-established financial technology company which,
thanks to our continued investment in the development of financial technology
and our focus on putting our clients’ needs at the heart of our business, has
an unprecedented opportunity to become the world’s leading multi-product,
global electronic transaction network for OTC products and post trade services.
“Our performance remains strong in a tough market
environment,” he continues. “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. Through Nex
Opportunities, our financial technology investment business, we acquired ENSO,
which provides alpha-generating analytics to many of the world’s most
successful fund managers, and Abide Financial, which provides regulatory
reporting services that are becoming increasingly required by financial
institutions as we head towards MiFID II.
“Our priorities for 2017/18 are clear and we are excited
about the future,” Spencer adds. “Through a combination of continued
investment in new products, and the implementation of our transformation
programme, which will focus on creating efficiencies, Nex is well positioned to
deliver growth, increase divisional operating margins to at least 40% and
deliver value for our clients and shareholders.”
Meanwhile, Nex Group has named Anna Ewing to its board as a
non-executive director. She has also been appointed to the firm’s risk committee.
Ewing most recently worked for Nasdaq which she joined in
2000 and spent 15 years with the company. She held several senior
executive roles including chief information officer where she was responsible
for the strategic planning, delivery and operational support for all Nasdaq
technology systems and infrastructure. She also established the Global
Technology Solutions division, a dedicated technology and software business
unit providing market technology and corporate intelligence solutions to the
Prior to Nasdaq, Ewing worked for CIBC World Markets and
also spent 15 years at Merrill Lynch in a variety of technology and operations