Technology featured high on the agenda as the London Stock
Exchange outlined strategic plans with its interim results.
The company announced a 9% drop in revenues and a 38% fall in
profit for the six months to 30 September compared with the same
period a year ago.
The declines were the result of a number of factors, including
the economic turmoil and acquisitions. But increased competition
from multi-trading facilities is a major factor in eroding the
stock exchange's revenues.
CEO Xavier Rolet said modernising technology, reducing costs and
growing the business are key aims, and the company's recent
acquisition of MillenniumIT will be important to this.
The stock exchange
bought trading technology supplier MillenniumIT for £18m in
September. It will be run as a separate company supplying trading
technology and will also provide the London Stock Exchange's core
trading platform.
By the end of 2010, the company aims to migrate its trading from
the
inhouse developed Tradelect to MillenniumIT's core trading
system.
Rolet said the Millennium acquisition is critical for the
exchange. He said it delivers high-performance IT, improves IT
development, helps lower costs and contributes to revenue.