London Stock Exchange PLC (LON:LSE) said income dropped by 1.1% in the first three months of 2021 even with the boom in stock markets and fund activity.
Presenting numbers on a pro-forma basis to reflect the recent US$27bn Refinitiv acquisition, LSE said income to end-March was £1.77bn (2020: £1.79bn) while gross profit dipped slightly to £1.54bn.
The results are unlikely to quell disquiet over CEO David Schwimmer’s pay at today’s AGM, especially as LSE shares have slumped since March when it revealed the costs of integrating data giant Refinitiv.
Influential pressure group Institutional Shareholder Services (ISS) has urged shareholders to vote against the pay packages of senior management at today’s meeting.
London Stock Exchange Group facing pushback from investors over executive pay
The LSE said that it had been a good first quarter performance driven by new business growth and strong customer retention.
Ignoring currency headwinds, including a sharp decline by the dollar, total income rose 3.9% it said.
The LSE added it had already taken £40mln of costs out of Refinitiv on an annual run-rate basis.
Schwimmer said: “We are making good progress on our synergies and have already realised £40 million of run-rate cost savings.
“We have also begun to implement a number of programmes to deliver product enhancements and offer additional data and services for our customers as we execute on our growth ambitions.”