Trading Update - year ending 30 September 2012

RNS Number : 1474N

Numis Corporation PLC

26 September 2012

 



EMBARGOED FOR RELEASE

26 September 2012 at 7.00 am

Numis Corporation Plc

Trading Update

Wednesday 26^th September 2012 at 7.00am: Numis Corporation Plc ("Numis") is today issuing a trading update relating to the year ending 30^th September 2012.

Against a background of low volumes and difficult markets, Numis is pleased to report an improved performance in the second half of the year. Overall revenues are forecast to be up 20% against the first half of 2012 and in line with the second half of 2011. Operating costs have been reduced and Numis has traded profitably for the year.

Combined institutional commission and trading revenues have experienced a challenging second half of the year. Despite a maintained market share, revenues for the year are expected to be down almost 20% as a result of significantly reduced secondary volumes across the market. However, deal related income recovered strongly in the second half, driven primarily by a significant increase in revenue from a further 10 equity transactions, including 3 IPOs, and by a steady flow of M&A activity. For the year as a whole, deal related income is expected to be marginally up on the prior year.

During the second half of our year we have become a leading player in the rapidly emerging Retail Bond market. We have launched two new issues on behalf of corporate clients and are expecting to launch further Retail Bonds in the near future. This growing market is attracting high quality companies who wish to access non-bank finance.

During the year, Numis continued to build its strong corporate franchise across 15 sectors. Our corporate client list is growing in number and quality and now totals 144. Corporate retainers have risen and now represent over 12% of revenue.

Numis remains strongly capitalised with net assets of c. £96m. We maintain a very robust regulatory capital position well in excess of the required minimum.

The announcement of Numis' full preliminary results for the year to 30^th September 2012 will be made on Wednesday 5^th December 2012.

Oliver Hemsley, Chief Executive, said:

"During difficult market conditions, we have maintained our focus on raising funds for high quality companies in both the equity and Retail Bond markets. We are committed to helping companies by providing much needed capital at a time when bank lending is constrained and alternative funding sources are vital to support growth.

As a strong and well capitalised broker and adviser, we are taking the opportunity of industry dislocations to attract high quality corporate clients and staff to Numis. As confidence returns in due course, our actions now should leave the firm well placed for future growth."

ENDS

 Contacts:

Oliver Hemsley, Chief Executive	020 7260 1256
Brunswick:
Gill Ackers	020 7404 5959
Simone Selzer	020 7404 5959
PricewaterhouseCoopers LLP (Nominated Adviser):
Simon Boadle	020 7583 5000
Jon Raggett	020 7583 5000

 

END

 

 

DOCSESFMIFESELU