ICAP PLC IAP Trading Statement

  ICAP PLC (IAP) - Trading Statement

RNS Number : 1713N
26 September 2012

                          ICAP plc Trading Statement

London, 26 September 2012 - ICAP plc (IAP.L), the world's leading  interdealer 
broker and provider of post trade risk and information services, announces its
trading update ahead of the close period for the half year ending 30 September

Activity in the global  capital markets remained subdued  due to the  Eurozone 
crisis and  the  well-recorded  difficulties faced  by  the  global  economy. 
Performance across ICAP's  voice and electronic  businesses has remained  more 
muted than anticipated at the time of  the AGM in July 2012. There has  been, 
however, some improvement in trading volumes in September. As a result, Group
revenue in the six months  ending 30 September 2012  is expected to be  around 
14% lower than the previous year.

The Group  continues to  make  good progress  with  its structural  review  of 
recurring costs, and is on schedule to deliver at least £50 million per  annum 
of run-rate savings by the end of the current financial year.

Notwithstanding the more  recent pick  up in volumes,  activity levels  remain 
difficult to  predict  and it  is  not yet  clear  whether signs  of  improved 
confidence are sustainable.  Due to the  successful cost reduction  programme, 
the Group anticipates  that if volumes  in the second  half remain at  current 
depressed levels, then pre-tax profits^1 for the year to 31 March 2013 will be
within the current analyst range of £307 million to £346 million.

ICAP's voice division  was reorganised in  August to create  a single,  global 
voice broking division which was renamed Global Broking. This will enable the
Group to  execute a  more  globalised strategy  for broking  services.  Global 
Broking activity has been  slow, in part  due to the  London Olympics and  the 
ensuing extended holiday season.

In September,  EBS,  ICAP's  leading  electronic  foreign  exchange  platform, 
announced system and policy changes following extensive consultation with  its 
customers to improve the performance  of the platform. EBS's performance  has 
been impacted by a decrease in volumes across the FX market and by two of  its 
main  currencies,  the  Swiss  Franc  and  Japanese  Yen,  being  subject   to 
intervention, which  has  resulted  in  significantly  decreased  volatility. 
Overall volumes on BrokerTec, ICAP's leading fixed income platform, have  also 
been affected by  low rates and  a flat yield  curve. BrokerTec has,  however, 
seen an  improvement in  its  market share  following the  recent  significant 
upgrade to the  platform. ICAP's  electronic platform for  euro interest  rate 
swaps, i-Swap, saw a substantial increase  in activity towards the end of  the 
first half and continues to maintain its market leading position.

Overall demand for ICAP's post trade, risk mitigation and information products
and  services  remained  solid.  Traiana,  in  particular,  saw  very  strong 
double-digit revenue growth.

Commenting on  the  first  half  and outlook,  Michael  Spencer,  Group  Chief 
Executive Officer  of  ICAP,  said:  "The  macroeconomic  environment  remains 
difficult and it's too early to judge if recent actions by the Federal Reserve
and the European Central Bank will result in a sustained improvement in market
confidence. In any  event, we will  continue to take  the necessary action  to 
constrain our  cost base  as  well as  position  ICAP optimally  for  upcoming 
financial regulatory reform."

"We have  a  strong  balance  sheet  and  continue  to  convert  profit  very 
efficiently into  cash.  Our  diversified business,  together  with  multiple 
initiatives in our electronic and post  trade businesses, will ensure that  we 
benefit from regulatory and  market changes and build  on our position as  the 
industry leader."


1. Profit is defined as pre-tax profits from continuing operations excluding
acquisition and disposal costs and exceptional items.

2. ICAP expects to publish its results for the half-year ending 30 September
2012 on 14 November 2012.

3. This document  contains forward-looking  statements with  respect to  the 
financial condition,  results  and business  of  ICAP plc.  By  their  nature, 
forward looking  statements involve  risk  and uncertainty  and there  may  be 
subsequent variations  to  estimates. ICAP  plc's  actual future  results  may 
differ  materially   from  the   results  expressed   or  implied   in   these 
forward-looking statements.

Conference call

A conference call  for analysts and  investors will  be held at  8.15am on  26 
September 2012 to discuss this statement. To  dial in, please call +44 (0)  20 
3003 2666. The access password is ICAP.


Brigitte Trafford Director of Corporate Affairs +44 (0) 20 7050 7103
Alex Dee          Head of Investor Relations    +44 (0) 20 7050 7123
Neil Bennett      Maitland                      +44 (0) 20 7379 5151

                     This information is provided by RNS
           The company news service from the London Stock Exchange


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