Sign up United Kingdom
Proactive Investors - Run By Investors For Investors

TP ICAP shares slide on flat dividend and uncertain outlook

The FTSE 250-listed broker left its final dividend unchanged at 11.25p, despite revenue rising to £1.75bln from £1.68bln in the same period
Man using calculator
TP saw a pre-tax profit rise of just around £1mln

Costs of the merger that formed TP ICAP PLC (LON:TCAP) took their toll on profits last year while an unconvincing trading outlook knocked the share price.

TP ICAP, which handles trillions of dollars of money market trades as the world’s largest interdealer-broker, said integration and cost savings from the 2016 merger were ahead of schedule.

Some 295 jobs were cut in 2017 following the deal with more to come.

“We achieved £27mln of synergy savings in 2017, ahead of our initial £10mln target,” said John Phizackerley, chief executive.

“The next phase of the integration will focus on delivering our IT plan and ensuring that the organisation is fit for purpose in a rapidly changing environment. We remain committed to achieving our £100m synergy saving target by 2020.”  

 MiFID II has had little impact so far, he added, though a pick-up in volatility and interest rates had meant an encouraging start.

“Although it is too early to tell whether these conditions are sustainable,” Phizackerley added.

TC ICAP shares fell 6.5% to 504p as investors were disappointed the final dividend was unchanged at 11.25p.

Revenue over the year rose to £1.75bln from £1.68bln with a £1mln rise in pre-tax profit to £233mln after integration charges.

View full TLPR profile View Profile

Tullett Prebon Timeline

Related Articles

August 23 2018
PCF has taken on more than 2,400 new customers and retail deposits have increased to £108mln since it started as a fully-operational bank in July 2017.
Advantage Finance motor division continues to receive more than 80,000 applications for loans a month and customer numbers now stand at a record 58,000

No investment advice

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

© Proactive Investors 2018

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use