Broker Peel Hunt said on Friday that trading since its update on 23 February has been ahead of analysts’ expectations.
Following a strong end to the year for its execution and trading business, it now expects annual revenue of around £131m.
The investment banking division delivered record revenues for the year, it said, despite the slowdown in activity across global capital markets in the fourth quarter due to rising inflation and interest rates, and the war in Ukraine.
Meanwhile, the research and distribution arm performed in line with its expectations and execution & trading volumes and activity have remained in line at a “significantly higher” level to the pre-pandemic run rate.
“Our pipeline of investment banking deals remains strong, albeit there is heightened execution and timing risk in the current environment. The number of retained corporate clients continues to grow, with 19 new clients added during the financial year,” it said.
“We continue to benefit from our diversified business model, demonstrated by the increase in execution & trading revenues during periods of higher market volatility. In addition, our broad range of investment banking services and increased institutional commission market share leaves us well placed to benefit from any ongoing market dislocation.”
