Tullett Prebon (TLPR.LN) reported a 15 percent rise in revenue on Friday, with the company benefiting from the recent weakness of the pound.
The FTSE-250 inter-dealer broker, which records around 60 percent of revenue in dollars, benefited from the impact of foreign exchange as a result of the weakened pound stemming from post Brexit market anxieties. In a statement, Tullett Prebon stated that they had benefitted from “volatility associated with political uncertainty and speculation around potential for further interest rate increases.”
Revenue increased to £216 million for the three months to the end of September, the company’s fiscal third quarter. Total revenue of £647 million marked a 7 percent increase from the £603 million revenue for same period last year, and 2 percent higher at constant exchange rates.
Chief executive officer John Phizackerley commented: “This has been a satisfactory quarter, with a number of products and regions showing gains. While some trading conditions remain challenging, our strategy of diversification and cost control is proving effective.”
The company noted that the strong performance in the first nine months of the year could be attributed to its acquisitions in Energy and Commodities, with the division increasing its revenue by 10 percent year-on-year at constant exchange rates. In addition, Information Sales and RMS demonstrated strong levels of growth in the most recent quarter, with a 28 percent revenue rise at constant exchange rates.
With regards to their impending acquisition of ICAP’s global voice broking and information businesses Tulett Prebon stated that they are committed to completing the move according to regulations.
“We are continuing to work with icap towards securing outstanding regulatory approvals for completion of transaction, including from FCA.”