London based electronic trading firm and exchange operator NEX Group PLC (LON: NXG) has issued a Trading Update for its first fiscal quarter of 2019, the three month period ended June 30, 2018 (NEX has a March 31 fiscal year end).
Ahead of the company’s £3.9 billion acquisition by US rival CME Group, expected to close later this year, NEX Group stated that group revenue for the Q1-2019 to 30 June 2018 increased by 7% on a constant currency basis (3% on a reported basis) benefiting from divisional performance and FX hedges.
NEX Markets revenue increased by 2% on a constant currency basis (decreased by 2% on a reported basis) as the phasing of the CFETS revenue recognition held back revenue growth. NEX Optimisation’s revenue increased by 7% on a constant currency basis (4% on a reported basis) during the first quarter compared to the same period last year.
Michael Spencer, Group Chief Executive Officer of NEX, said:
We’ve seen a solid start to the year with episodic volatility driving volumes across the EBS and BrokerTec platforms and increased demand for our products and services from TriOptima and Reset. As previously outlined, the transaction with CME remains on track to complete in the second half of the current calendar year.