LONDON (ShareCast) - (Sharecast News) - Inter-dealer broker TP ICAP said revenues were rising in the current fiscal year as market volatility increased over the Ukraine war, and added that losses from sanctioned Russian clients could hit £14m.
The company on Tuesday reported an 81% fall in annual pre-tax profit to £24m in 2021. Revenue to March 11 had risen 16% year-on-year.

It said it had lost £4m on failed settlements as a result of sanctions on Russia, and faced potential unrealised losses of a further £9m and £1m in trade debtors written down.

"Market volatility has continued at more elevated levels in 2022, with the return of inflation and geopolitical uncertainty driving higher volumes across many of our markets," the company said.

"The war has resulted in sanctions against Russian individuals, entities and their subsidiaries and consequently we continue to actively manage our business and minimise our financial exposure. Overall revenue from Russian clients accounted for around 0.5% of total group revenue in 2021."

The company forecast a "slight" improvement in adjusted earnings before interest and tax margin assuming a similar revenue profile as 2021.

Incremental targeted cost savings were expected to be £25m, which would be impacted by additional Brexit costs, realised and unrealised losses from sanctioned Russian clients and inflationary increases.

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