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NEX Group plc (“NEX”) (NXG.L), a financial technology company at the centre of global markets, is today hosting an analyst and investor teach-in on NEX Optimisation, a division of the Group.
As NEX Optimisation transitions its business units and financial reporting to be more client focused and to simplify its portfolio of products and services, the teach-in provides an opportunity to meet and hear the heads of each solution pillar present their drivers for growth.
The teach-in will commence at 10:00 (BST) and will also be available via a live webcast. A recording of the event will be made available on nex.com shortly after the meeting ends.
Ahead of today’s meeting NEX is also providing an update to trading for the first six months to 30 September 2017.
Group revenue for the first six months increased by more than 7% on a constant currency basis (13% on a reported basis).
To ensure the business is best positioned to take advantage of the significant opportunities that it has identified, NEX Optimisation has chosen to increase its investment in the first six months in the ongoing project to transform the business to a more client-centric structure based around solution pillars. The significant potential benefits of this transformation will be outlined at the meeting later this morning.
NEX Optimisation has also decided to increase its investment in its sales activities and associated marketing campaigns in relation to the MiFID II services provided by NEX Regulatory Reporting in order to maximise the significant short-term market share opportunity ahead of the implementation of these new regulations on 3 January 2018.
The combined effect of these investments together with the ongoing low volatility impacting the Reset business will have a temporary impact on NEX Optimisation’s operating profit margin in the first half, which is now expected to be approximately 20%. The division’s operating profit margin is expected to normalise in the second half of the year.
The broader NEX transformation programme, which includes NEX Optimisation, remains on track and additional cost savings have been identified over and above the £25 million previously announced, details of which will be given at the Group’s half year results.
Michael Spencer, CEO, commented: “These investments will enhance the potential for NEX Optimisation. We remain committed to the financial aspirations we set out earlier in the year to achieve compound revenue growth of 7%-10% and divisional operating margin for NEX Optimisation and NEX Markets of more than 40% by 2019/2020
Notice of Results
NEX will issue its half year results on 20 November 2017 accompanied by a presentation for analysts and investors which will be hosted by Michael Spencer.
