(Reuters) -British inter-dealer broker TP ICAP posted weaker-than-expected half-year operating profit on Wednesday, after delivering robust performance in recent months, sending its shares down nearly 9%.
TP ICAP saw soaring trading volumes after U.S. President Donald Trump’s tariffs threw global market into a frenzy. Clients rushed to reshape their portfolios and take advantage of the slumping dollar.
The company’s adjusted operating profit rose 10% to 184 million pounds ($244.59 million) in the first half of the year, but fell short of the 189 million pounds markets expected, according to Shore Capital analyst Vivek Raja.
Shares of the company were down 5.5% to 290 pence in early trading. They had risen 19% this year as of yesterday’s close.
Raja attributed the share decline to higher costs, the lack of an update on the Parameta unit IPO and some profit-taking by investors.
In May, TP ICAP said it would revisit the timing of a potential listing for its data and analytics business, Parameta – initially expected in the second quarter – citing continued market turbulence.
The London-based company posted a 7% growth in half-year revenue and also launched a new 30 million pounds share repurchase programme.
($1 = 0.7517 pounds)
(Reporting by Unnamalai L and Yamini Kalia in Bengaluru; Editing by Mrigank Dhaniwala)
