LSEG Profits Rise in 2024, Projects Strong Growth for 2025

London Stock Exchange Group PLC reported a 5.3% rise in pretax profit for 2024, reaching GBP1.26 billion, with total income growing 6.1% to GBP8.49 billion. The company increased its total dividend by 13% to 130.0 pence per share. CEO David Schwimmer highlighted strong revenue growth across all segments, particularly Tradeweb’s exceptional performance. LSEG forecasts 6.5% to 7.5% organic revenue growth in 2025, alongside EBITDA margin expansion.

The company continues investing in innovation, with over 500 Workspace platform enhancements and a deeper Microsoft partnership. LSEG also expanded its Tradeweb platform and raised its LCH Group stake to 94%. Schwimmer reaffirmed LSEG’s commitment to strengthening London’s financial hub status despite market challenges. Shares rose 2.8% to 11,405.00 pence, making LSEG the FTSE 100’s second-best performer after Rolls-Royce.

LSEG Profits Rise in 2024, Projects Strong Growth for 2025

London Stock Exchange Group PLC reported an increase in profit for 2024, driven by strong revenue growth across all its business segments, and expressed confidence in continued expansion for 2025. The company posted a 5.3% rise in pretax profit to GBP1.26 billion, with total income, excluding recoveries, growing 6.1% to GBP8.49 billion. LSEG also raised its total dividend by 13% to 130.0 pence per share, with a final dividend of 89.0 pence.

CEO David Schwimmer highlighted the company’s strategic progress, particularly noting Tradeweb’s exceptional performance and ongoing product innovation, which have strengthened LSEG’s market position and profitability. Revenue growth was recorded across all divisions, with Capital Markets up 18%, Risk Intelligence and FTSE Russell increasing by 11% each, and Post Trade rising 2.4%, while Data & Analytics, the largest segment, saw a 4.5% increase. Looking ahead, LSEG projects organic constant currency revenue growth of 6.5% to 7.5% for 2025, alongside an expected EBITDA margin expansion of 50 to 100 basis points for the year, with a further 250 basis points anticipated between 2024 and 2026.

The company continues to invest in innovation, implementing over 500 enhancements to its Workspace platform and launching products from its collaboration with Microsoft. Additionally, LSEG expanded its Tradeweb platform through acquisitions and increased its stake in LCH Group to 94%. Schwimmer emphasized the company’s commitment to strengthening its market position through technology-driven advancements and operational efficiencies.

Despite ongoing challenges, including a wave of delistings and reduced new listings on the London Stock Exchange, Schwimmer refrained from making direct comments on these issues. Instead, he underscored LSEG’s role in pushing forward reforms to enhance London’s reputation as a premier global financial hub. He also expressed optimism that continued innovation, strategic investments, and market expansion efforts would drive sustained growth in the years ahead.

Shares in LSEG rose 2.8% to 11,405.00 pence in London, making it the second-best performer in the FTSE 100 after Rolls-Royce Holdings PLC. The positive market response reflects investor confidence in LSEG’s growth strategy and strong financial performance. Analysts view LSEG’s steady revenue expansion, increasing profitability, and ongoing technological investments as key factors that will support its long-term success.

The company’s focus on innovation, including AI-driven analytics and enhanced trading platforms, is expected to drive operational efficiency and improve customer experience. Additionally, LSEG’s strategic acquisitions and expanding global presence reinforce its competitive edge, positioning it well to navigate market challenges and capitalize on emerging opportunities in the evolving financial landscape.

With a solid outlook for 2025 and beyond, the company remains focused on maintaining its competitive edge and delivering value to shareholders. LSEG aims to achieve this through continuous innovation, strategic acquisitions, and expanding its global reach. The company is leveraging technological advancements, including AI-driven analytics and enhanced trading platforms, to improve operational efficiency and customer experience. Additionally, its strong partnerships, such as the collaboration with Microsoft, reinforce its market leadership.

By prioritizing growth, resilience, and adaptability, LSEG is well-positioned to navigate evolving financial landscapes and sustain long-term success.