Demand for MillenniumIT software services saw London Stock Exchange grow its third quarter revenues, helping to make up for losses in capital markets.
Demand for MillenniumIT software increased as London Stock Exchange (LSE) grew its third quarter revenues, helping to make up for losses in capital markets.
LSE noted 6 percent growth in total income during the third financial quarter, reaching £208.9 million as the stock exchange group looks to diversify its operations by increasing the reach of its technology and information businesses.
Revenues from its technology services arm grew 5 percent during the quarter on a yearly basis, and rose from £13.1 million to £13.7 million over the three month period. The MillenniumIT subsidiary of the LSE technology services business was the driving force behind the growth.
Sales of MillenniumIT’s software specifically grew 22 percent during the quarter to reach £6.7 million, up from £5.5 million in the previous year.
Information services, which provide clients with real time prices and trading data, also performed well, increasing 44 percent during the quarter to £76 million. Meanwhile capital market revenues and income derived from post-trade services were down 4 percent and 11 percent respectively.
“This has been another good quarter,” said Xavier Rolet, LSE chief executive. “The Group has continued to benefit from a more diversified range of businesses with particularly strong performances from our information services and our technology operations.”
He added: “We look forward to continuing to develop further growth opportunities and innovating across platforms, products and geographies in partnership with our customers.”
Financial services software company MilleniumIT was purchased LSE in 2009 to transform its in-house IT, finishing implementation of the Linux-based Millennium Exchange software in 2011. MilenniumIT’s technology is one fastest automated trading systems, with latency speeds under one microsecond in performance tests.
Rolet has stated in the past that the software will save the exchange £10 million each year, as well as opening the stock exchange group up to new business developing the trading software in-house.
MillenniumIT technology has since been sold to other stock markets, attracting new customers across the world in the past twelve months such as Peruvian stock exchange Bolsa de Valores de Lima last week.