Inter-dealer broker TP ICAP today released its financial results for the third quarter of 2022. The inter-dealer broker reported a 5% increase in its overall revenue.
The London-listed firm saw £508 million in the three months between July and September, compared to the £447 million, generated in the same period 2021.
The official press release noted that the company benefited from favorable market conditions in the Global Brokering and in particularly in the, Rates segment, which is the most profitable asset class for the brokerage.
The Group’s performance was significantly influenced by the strengthening of the USD as the 60% of the Group’s revenues are denominated in the US currency.
TP ICAP stated:
Global Broking revenue was up 12% (+20%). All asset classes generated high single digit to double digit growth, reflecting the continued strong performance. E&C revenue declined by 12% (-3%). In Agency Execution, including Liquidnet, revenue declined by 1% (+6%).
However, Liquidnet, which was acquired in March 2021, registered revenue drop of 22% in the third quarter. Additionally, US Agency Alternative Trading System (ATS) volumes, which are a significant contributor in Liquidnet’s performance, were low compared to OTC venues and exchanges.
In August, TP ICAP Group released its financial results for the first half of the year, reporting a revenue of £1,080 million.