Market volatility: a nuisance to some companies but a growth booster to others. For broking and data services group TP Icap (TCAP), a lack of market fluctuations weighed on sales during the third quarter. Revenue for its core global broking business was just 1 per cent higher at constant currency. In a surprise announcement, management announced that its chief financial officer would be stepping down from the board with immediate effect.
The power and commodities businesses also continued to endure challenging conditions, resulting in a 1 per cent decline in sales. There was some good news – its data and analytics division grew its revenue 6 per cent during the quarter. More worryingly, the outlook for the fourth quarter continues to look challenging, particularly without the post-US election market volatility, which benefited last year's performance. Shares in the group closed the day 7 per cent down off the back of this announcement and failed to regain any ground on Monday.
