30 Sep 2021 07:00
Numis Corporation Plc ("Numis")
Trading Update
30 September 2021
Thursday, 30 September 2021 at 7.00am: Numis Corporation Plc ("Numis") is today issuing a trading update in respect of the year ending 30 September 2021.
Numis maintained its positive momentum and delivered a strong performance in the final quarter of the financial year. Whilst there was an anticipated pause in IPO activity and more subdued markets in general over the summer period, this was offset by the completion of a number of significant M&A transactions involving Numis in a lead advisory capacity. Revenue for the second half will exceed the level achieved in the second half of FY20 which featured a significant volume of COVID related capital markets transactions. Full year revenue is expected to be in the region of £215m (FY20: £154.9m), with the benefit of operational gearing leading to profits significantly higher than the prior year (FY20 PBT: £37.1m).
Investment Banking revenues have grown significantly and will be in excess of £150m for the year (FY20: £101.7m). Alongside market share gains in our core UK capital markets business, we have seen material revenue contributions from M&A and private markets transactions. In addition we are increasingly able to leverage our UK track record and reputation in new markets. As a result, in the past year we have acted on a number of capital markets transactions, both public and private, for non-UK issuers, most notably in the digital consumer and fintech sectors. During the second half we continued to selectively invest in talent, to both increase the capacity of the Investment Banking platform and broaden our capabilities.
Equities delivered a strong second half performance, although lower than the exceptional performance achieved in the first half. Given the favourable market backdrop we increased the capital allocated to our trading books and delivered good, and consistent, trading profits throughout year. Institutional income is ahead of the prior year underpinned by resilient research payments, market share gains and good activity levels in UK equities.
Our pipeline remains very strong, and the wider market outlook for Numis is positive. We expect to launch a number of IPOs in the coming weeks, the capital raising environment is active across both public and private markets, and UK M&A is likely to remain at elevated levels as we emerge from the pandemic. Our strategy to build a more diversified, yet agile, investment banking business has contributed to an excellent year for Numis. We have recently completed the move to our new headquarters at 45 Gresham Street and we look forward to continuing on our strategic path supported by our exceptional colleagues.
This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014
Contacts
Numis:
Noreen Biddle-Shah, Head of Corporate Communications 020 7260 1441
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
Lukas Girzadas 020 7865 2850
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 has offices in London and New York.