TP ICAP Posts Solid Q3 Figures, Revenue Jumps 15%

TP ICAP Posts Solid Q3 Figures, Revenue Jumps 15%

November 2, 2021

TP ICAP plc (LON: TCAP), which is the world’s largest inter-dealer broker, disclosed its financials for the third quarter of 2021, reporting an overall revenue jump of 15 percent.

The company generated GBP 447 million (around $610.20 million) in the three months, ending on September 30, 2021. In the same period of the previous year, it brought in GBP 388 million.

TP ICAP’s entire business activities can be classified into four segments: global broking, energy and commodities, agency execution and parameta solutions. All of the four divisions saw a year-over-year jump in their activities.

The revenue from the global broking business came in at GBP 252 million, which was a marginal yearly gain of 2 percent. Additionally, activities in the energy and commodities segment jumped by 16 percent.

Liquidnet Added

However, the biggest upward drag was by agency execution with a 353 percent surge in revenue, mostly due to the inclusion of business from subsidiary Liquidnet that generated GBP 51 million in the quarter. Even without Liquidnet, the division’s revenue increased by 13 percent to GBP 17 million.

The company acquired Liquidnet earlier this year. The new parent started adding accounts from the dark pool operator at the end of Q1. Over the previous six months, between January and June, Liquidnet brought in GBP 55 million for TP ICAP.

Within parameta solutions, data and analytics jumped by 9 percent to GBP 37 million, whereas activities from post-trade solutions declined by 20 percent.

”TP ICAP capitalised on improved operating conditions during the third quarter compared with the same period last year, due to increased volatility and higher secondary trading volumes. This resulted in revenue growth across all our divisions, with particular strength in Energy & Commodities,” said TP ICAP CEO, Nicolas Breteau.

“These favourable trends continued through October 2021, and we continue to anticipate full-year revenue for the Group, excluding Liquidnet, to be broadly in line with 2020 on a constant currency basis.”

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