TP ICAP profit falls on merger costs, cut 295 jobs throughout year
Source - SMW
Broking group TP ICAP said its annual profit fell due to acquisition and integration costs, though underlying earnings were flat.
The company booked a pro-forma pre-tax profit of £102m, down 44% on 2016.
Underlying profit--which stripped out acquisition, disposal and integration costs and exceptional items--rose slightly to £233m, up from £232m in 2016.
Around £27m of synergy savings were delivered in the year, ahead of an original target of £10m, as the company cut 295 jobs.
TP ICAP held its final dividend steady at 11.25p per share.
'Last year was a good first year for TP ICAP, and saw us benefit from the diversity of our product portfolio and geographic footprint by delivering a resilient performance in a low volatility environment,' chief executive John Phizackerley said.
'So far in 2018 we have seen an encouraging start to the year, with a pick-up in volatility and interest rates.'
'Although it is too early to tell whether these conditions are sustainable, our diversified business model and position as the world's largest interdealer broker leave us well-placed for future growth.'