London Stock Exchange increases its 2014 final dividend by 4.5%

DividendMax Ltd.

London Stock Exchange increases its 2014 final dividend by 4.5%

Good financial and operational performance - 10 per cent organic revenue growth with increases across all business segments and contribution from acquisitions, including LCH.Clearnet

Reported revenue up 50 per cent at £1,088.3 million (2013: £726.4 million); adjusted total income up 42 per cent at £1,213.1 million (2013: £852.9 million)

Adjusted operating expenses up 65 per cent to £698.4 million, reflecting inclusion of acquisitions, including LCH.Clearnet (2013: £422.7 million); core operating costs, excluding impact of acquisitions and FX, up 6 per cent, partly reflecting increased cost of sales

Increased cost synergies identified - integration with LCH.Clearnet to deliver €60 million (£49 million) of cost reductions in 2015 (significantly ahead of original €23 million target)

Adjusted operating profit up 20 per cent at £514.7 million (2013: £430.2 million); operating profit up 1 per cent at £353.1 million (2013: £348.4 million)

Adjusted profit before tax up 17 per cent at £445.9 million (2013: £380.7 million); profit before tax of £284.3 million (2013: £298.9 million), principally reflecting increased acquisition amortisation

Adjusted basic EPS up 2 per cent at 107.1 pence (2013: 105.3 pence); basic EPS of 63.0 pence (2013: 80.4 pence)

Strong cash generation reduced net debt: adjusted EBITDA of 1.9x as at 31 March 2014 (from 2.2x at 30 September 2013)

Proposed final dividend up 4.5 per cent to 20.7 pence per share; total dividend for the year increased 4.4 per cent to 30.8 pence per share. The final dividend will be paid on 19 August 2014 to shareholders on the register on 26 July 2014

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