London Stock Exchange published interim results for the first 6 months of 2017. As press release states, all figures below refer to continuing operation for the first half of this year. 

LSE might be proud of strong financial performance with income growth across all business areas while AEPS grew 23% in the first six months of the year. Customer partnership, innovation and an Open Access model are three main factors which lead the LSE Group to these particular results.

LSE published H1 2017 highlights bulleted below:

  • Continued strong financial performance with income growth across core business areas – in particular, in Information Services, including strong results at FTSE Russell, and OTC clearing at LCH
  • Revenue up 18% to £853 million (H1 2016: £722 million); total income up 20% to £946 million (H1 2016: £786 million)
  • Adjusted operating profit up 20% at £398 million (H1 2016: £333 million), with underlying operating expenses on an organic and constant currency basis up 5% as the Group continues to invest in growth and efficiencies
  • On a reported basis: operating profit of £305 million (H1 2016: £199 million); profit before tax up 69% to £277 million (H1 2016: £164 million);  profit after tax of £208 million (H1 2016: £114 million) and £186 million including discontinued operations (H1 2016: loss of £16 million)
  • Adjusted EPS up 23% at 71.2 pence (H1 2016: 57.7 pence); basic EPS up 84% to 50.4 pence (H1 2016: 27.4 pence)
  • Interim dividend increased 20% to 14.4 pence per share (H1 2016: 12.0 pence per share) in line with our stated dividend policy; £200 million share buyback ongoing
  • Strong balance sheet position with leverage of 1.2 times adjusted pro forma net debt:EBITDA, notwithstanding continued investment spend, acquisition of Mergent and ongoing share buybacks
  • Announced acquisition of The Yield Book and Citi Fixed Income Indices, including the World Government Bond Index, for total cash consideration of $685 million (£535 million)
  • Investor Update event in June highlighted the good progress in executing our strategy, with new information on targeted revenue growth and continued cost control – expected to deliver further improvement to operating leverage, delivering enhanced operating margins and shareholder value

LSE rally continues, right after 12 PM investors paid 3.86 GBP for one share (growth of 2.5%). 

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