Press releases 2006

8 November 2006

LONDON STOCK EXCHANGE GROUP plc

ANNOUNCEMENT OF RESULTS

FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2006

London Stock Exchange Group plc today reports results for the six months ended 30 September 2006.

Financial Highlights:

• Revenue up 20 per cent to £163.3 million
• Operating profit up 60 per cent to £81.3 million
• Basic EPS of 24.2 pence increased by over 150 per cent from basic EPS of 9.6 pence, and rose 54 per cent above adjusted EPS (excluding FY 2006 exceptional items) of 15.7 pence per share last year
• Interim dividend per share up 50 per cent from 4.0 pence to 6.0 pence per share reflecting strong performance and confidence in future growth prospects
  

Operational Highlights:

• Broker Services delivered 56 per cent growth in SETS volumes to 314,000 bargains per day, reflecting the technology-led shift in equities trading, and helped by a doubling of volumes on SETSmm in the period.
• Issuer Services saw a 93 per cent increase to £25.7 billion in total money raised by new and further issues.
• Information Services increased the number of terminals receiving real-time market data by 11,000 to 109,000, including a 6,000 increase in number of professional users to 91,000
  
  

Capital:

• The Exchange completed a capital return of approximately £510 million to shareholders and commenced a share buyback programme, totalling £26 million in first half.
• The group balance sheet was restructured to take on net debt for the first time and a £250 million ten year bond was successfully issued.

   

Commenting on the six months, Clara Furse, Chief Executive, said:

The Exchange has delivered another outstanding result, with a 20 per cent increase in revenue and a 54 per cent rise in adjusted earnings per share, helped by tight cost control. The Exchange continues to produce faster order book volume growth than any other major cash or equity derivatives exchange in the western world.

“New issues, new products and new technology are combining to facilitate a structural shift in equities trading, significantly improving the quality of the market for our increasingly international customer base and creating more value for shareholders.”

Chris Gibson-Smith, Chairman of the Exchange, said:

“The Exchange has once again demonstrated the value it creates for market users and for our shareholders. Over the period we have returned approximately £510 million capital to shareholders and moved our financing to a more efficient structure. We are well positioned for continuing success going forward, and the results achieved in the first half of the year support our expectation of an excellent result for the full year.”

For full results announcement click here

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