30 Mar 2021 07:00
Numis Corporation Plc ("Numis")
Trading Update
30 March 2021
Numis Corporation Plc ("Numis") is today issuing a trading update in respect of the six month period ending 31 March 2021.
Numis is expected to report revenue in the region of £110m for the first half representing growth of more than 75% relative to the comparative period and comfortably ahead of the record performance in the second half of FY20.
Investment Banking revenues have benefited from favourable market conditions and are materially ahead of the first half of FY20 which was adversely impacted by the initial phase of the pandemic. The Investment Banking performance in the second half of FY20 was significantly stronger due to the volume of COVID-19 related fund raises, however revenues for the current six month period will exceed that performance, highlighting the strength of our Investment Banking platform. In particular, the positive equity market backdrop has supported an increase in IPO and M&A activity which has more than offset the tapering of fund raising activity for corporate clients. Our strong track record in equity capital markets and credibility in the digital economy has enabled us to capture a significant share of IPO transactions over this period which has contributed to strong growth in both average deal fees and deal volumes.
Equities is also expected to deliver revenue ahead of both the comparative period and the second half of FY20. Institutional income has benefitted from growth in execution commissions attributable to market share gains and an increase in activity levels as indices recovered. Our trading book has also delivered particularly strong and consistent gains throughout the period.
We have good momentum across the business, and we look forward to the second half with confidence. The Investment Banking pipeline is encouraging with further IPO and M&A activity anticipated. In addition, Numis has strong traction within private markets where our clients are some of the leading global technology disruptors. Engagement levels with the institutional clients of our Equities business are at record levels demonstrating the value they place on our partnership approach and guidance during these unprecedented times.
We remain focused on investing in the business to strengthen our capabilities in areas where we see further opportunities aligned to our growth strategy. We also recognise the importance of supporting our staff who continue to deliver excellent client service in circumstances which remain challenging.
Numis will announce half year results for the six month period ending 31 March 2021 on 7 May 2021.
This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014
Contacts:
Numis Corporation:
Alex Ham & Ross Mitchinson, Co-Chief Executives 020 7260 1245
Andrew Holloway, Chief Financial Officer 020 7260 1266
Brunswick:
Nick Cosgrove 020 7404 5959
Simone Selzer 020 7404 5959
Grant Thornton UK LLP (Nominated Adviser):Philip Secrett 020 7728 2578
Harrison Clarke 020 7184 4384
Notes for Editors
Numis is a leading independent investment banking group offering a full range of research, execution, corporate broking and advisory services to companies and their investors. Numis is listed on AIM, and employs approximately 290 staff in London and New York.