London Stock Exchange increases its 2014 full year dividend by 6.5%

DividendMax Ltd.

London Stock Exchange increases its 2014 full year dividend by 6.5%

Strong financial performance in 2014 - total income up 26 per cent to £1.38 billion

Revenue up 32 per cent revenue to £1.28 billion - and up 12 per cent on organic constant currency basis with growth across all main business areas

Core operating expenses tightly managed - up 5 per cent on organic constant currency basis, partly reflecting costs arising from amendments to OTC clearing arrangements

Upgraded €60 million (£49 million) cost synergy target with LCH.Clearnet successfully achieved 

Adjusted operating profit up 8 per cent on organic constant currency basis to £558.0 million; adjusted profit before tax1 of £491.7 million, up 19 per cent (2013: £412.7 million)

Adjusted basic EPS up 7 per cent at 103.3 pence (2013: 96.5 pence); basic EPS of 56.5 pence (2013: 64.2 pence)

Group strongly positioned to develop further as a leading market infrastructure provider:

- Successful acquisition of Frank Russell Company creates, with FTSE, a global leader in indices - further extends the Group's geographic and product range

- LCH.Clearnet to launch new, open access, portfolio margining service for all users to maximise margin efficiencies across listed and cleared OTC interest rate derivatives (IRD) portfolios, utilising the world's largest IRD liquidity pool from SwapClear

- New licensing agreement signed with CBOE, to develop index options based on FTSE and Russell indices - to start trading in the US in April 2015

Proposed final dividend of 12.8 pence per share, up 6.5 per cent on an equivalent basis; total dividend of 22.5 pence per share for the 9 month period, equivalent to 75 per cent of the payment that the Board would have made for a full year to March 2015

Companies mentioned