Icap boss Spencer says goodbye to right-hand man Mark Yallop

Source: Icap

ICAP plc (IAP.L), the world's premier interdealer broker and supplier of post trade risk and information services, today announced its audited results for the year ended 31 March 2011.

Group financial highlights:

* Group revenue from continuing operations increased by 8% to £1,741m with profit2 of £350m up 4%
* Electronic revenue of £302m increased by 20% produced operating profit3 of £123m up 23% - a record high for our electronic broking business
* Post trade risk and information revenue rose 30% to £184m and produced operating profit3 of £79m up 14% - our strongest performance to date
* Electronic broking and post trade risk and information contributed 54% of operating profit3
* The Group's operating profit3 margin was 22% (2010: 22%), unchanged on the prior year as a result of investment in new businesses and one-off costs.
* EPS (basic) up 59% to 28.7p; EPS (adjusted basic) up 22% to 39.9p
* The directors recommend a final dividend per ICAP share of 14.68p, which will be paid on 19 August 2011. The full year dividend will be 19.95p compared with 17.55p per share in 2009/10

Michael Spencer, Group Chief Executive Officer, said: "ICAP delivered a solid performance during the financial year, facilitated by our global reach and diverse range of services. It has been another period of substantial progress for our electronic broking and post trade risk services businesses. During the year we continued to increase our market share.

This past year we concentrated on organic growth, leveraging existing assets and further developing the collaborative relationships we have with our bank customers. We invested successfully in a number of new products and services, most notably our electronic interest rate swap platform, which has now transacted more than €360 billion in trades since its launch last September.

In the first half of the year we saw generally quieter markets but delivered good revenue and earnings growth driven primarily by our electronic broking. We benefited from the strength of our emerging markets businesses, continuing turbulence in the world's commodity markets, significant euro denominated bond issuance d bond issuance and rising concerns about higher inflation. More recently, the political and economic uncertainties in the Middle East and North Africa have contributed to volatility in global financial markets.

I am sorry to say that after six years at ICAP, our Group Operating Officer Mark Yallop has decided to leave the Group. During his time with ICAP Mark has been heavily involved in the strategic development of our business and I would like to thank him for the outstanding contribution he has made to the firm. Mark has agreed to remain with ICAP until we appoint a replacement.

We have made a good start to the new financial year and the short-term outlook is underpinned by macroeconomic stress and continuing market volatility. We are confident we can continue to deliver growth as we continue to invest in the business."

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