GL Trade on US acquisition trail as weak markets and currencies dent results
06 February 2004 | 3610 views | 0
Adverse currency fluctuations and weak markets contributed to a 5.3% drop in 2003 turnover at French trading technology vendor GL Trade.
Full-year turnover of €128.1m, including €2.8m from the acqusition of Misys Securities' UK, Japan and Hong Kong businesses, was down 0.6% from €128.9 in 2002.
€1.5m of this turnover relates to trading/display solutions, which forms part of GL Trade's core business, and €1.3m to back office solutions.
Turnover in France was down 13% at €35m, due in particular to brokerage closures and a downturn in the distribution business.
Europe excluding France accounted for 53% of turnover in 2003. The acquisition of the Misys' units gave a major boost to GL Trade's position in London, and UK turnover came in up 1.1% at €30m, despite a nine per cent fall in the value of sterling against the euro. GL Trade now has 190 staff in London, and the UK is its largest market.
Turnover in Europe excluding France and the UK rose by 17%, while the Americas contributed 10%, with the slide in the dollar offsetting 22% annual revenue growth in dollar terms. The firm says it is now looking to take advantage of the weak dollar by "actively seeking acquisitions in the US".
Asia accounted for around nine per cent of annual turnover, with organic growth held back by weak operating conditions.