UK inter-dealer broker Garban-Intercapital says it expects to beat market expectation for its year-end results due to buoyant trading conditions in the OTC financial markets.
Michael Spencer, chief executive officer, predicts pre-tax profits (before goodwill amortisation and exceptional items) will exceed £68 million in the current financial year. "Even if turnover returns to more normal volumes for February and March our profits in the second half of the financial year will be ahead of market expectations," he says.
The company reports electronic trading volumes in bonds reached $139 billion in December and in January increased again to $175 billion, following the launch last year of its electronic trading community which allows traders at major banks and investment houses to transact deals interactively via a private extranet or the Internet.
Full results for the year ending 31 March 2001 are expected on 30 May 2001.