Brady (BRY.L), the leading supplier of trading and risk management solutions for metals and commodities, has announced significant progress in the first half of the year with year-on-year pre-tax profits up by an impressive 51% with recurring revenues increasing from 28% to 40% of total revenue.
The first half of the year has seen a real momentum in new contract signings and a significant growth in the sales opportunity pipeline.
Brady have signed five significant contracts with clients so far in 2008, including a new licence contract with Xstrata to support its risk management operations of refined metals and concentrates at its Dubai operations in April. A further three significant new contracts were announced in July, one with a Category 1 London Metal Exchange (LME) ring dealing member for dealing and processing of all LME exchange-traded and OTC metal trades, another with a leading cable manufacturer in the Gulf region to support its risk management and hedging operations and a third one with Prysmian, one of the world's largest cable manufacturers, to support its European risk management operations. In addition, a further contract was signed in August with the hedge fund division of a leading US private equity firm to support the trading and risk management operations of its commodities and metals fund.
"Brady is focused on the metals and commodities markets. These markets are receiving significant attention from the world's investors, and producers and fabricators are all performing strongly. There are also more entrants to the LME, a core market for Brady. These factors, as well as the increased pressure to employ trading and risk management systems tailored for these markets have contributed to Brady's success this year," says Gavin Lavelle, CEO of Brady. "It is our goal to be the supplier of choice for producers, fabricators, banks, brokers and hedge funds, essentially covering both the buy and sell sides of our market, and we are well under way to achieving this. I am pleased with the Brady progress and am confident of our growth going forward."