23 March 2018

Lombard swings to H1 profit on new FSA liquidity regs

18 October 2010  |  5025 views  |  0 Risk on chalkboard

Lombard Risk Management swung to a first half net profit on strong revenue growth as the vendor cashed in on new Financial Services Authority (FSA) liquidity standards regulations.

The UK-based provider of risk management software saw revenues for the six months of £5.8 million, a rise of 34% on the £4.3 million recorded in the same period the previous year.

Profit after tax was £0.2 million, compared to a £0.8 million loss in H1 2009. Cash at end of period was £1.3 million with no debt.

Lombard says that its trading and risk management unit posted a profit for the period as it reaped the benefits of the financial crisis but the regulatory operation was the major winner, thanks largely to the FSA's Liquidity Standards changes.

These will continue to benefit the firm in the second half, as will some other changes on capital standards. Longer term, Lombard also cites Basel 3 and Solvency 2 as factors which will help business.

Second half results are also expected to see the benefits of the cost reduction programme recently implemented.

John Wisbey, chief executive, Lombard, says: "As well as achieving revenue growth, we have made appreciable cost savings during the period, which have allowed us to invest in areas where we see future growth opportunities. The board sees considerable opportunity within the company's chosen segments of regulation, risk and reporting and the clear goal is for Lombard Risk, over the next few years, to increase its market share particularly in expanding markets."

Lombard shares were up 0.25 pence, or 6.06%, to 4.75 pence per share in mid-morning trading.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Lombard gains on new liquidity regs

Lombard gains on new liquidity regs

27 May 2010  |  5839 views  |  0 comments
Lombard Risk scores collateral contract with ABN Amro

Lombard Risk scores collateral contract with ABN Amro

21 December 2009  |  7316 views  |  0 comments
Lombard slips on profit warning

Lombard slips on profit warning

04 June 2007  |  3947 views  |  0 comments

Related company news


Related blogs

Create a blog about this story (membership required)
Visit www.nextgenbanking.co.ukvisit www.ebaday.com

Top topics

Most viewed Most shared
hands typing furiouslyBitcoin at 50,000 USD?
14440 views 0 | 8 tweets | 5 linkedin
BBVA tests 'invisible payments' technology at inhouse cafeBBVA tests 'invisible payments' technology...
11849 views comments | 16 tweets | 35 linkedin
RBS hatches plan to create digital challenger bankRBS hatches plan to create digital challen...
11443 views comments | 12 tweets | 23 linkedin
Barclays partners seven watch brands for contactless timepiecesBarclays partners seven watch brands for c...
10492 views comments | 14 tweets | 31 linkedin
Germany's N26 readies for US launch with EUR110 million capital injection led by Allianz and TenCentGermany's N26 readies for US launch with E...
8298 views comments | 14 tweets | 10 linkedin

Featured job

Competitive base + commission
London, UK

Find your next job