LONDON (Reuters) - British broker Tullett Prebon TLPR.L said a slowdown in its revenues had continued into this year as tough market conditions eat into client demand for trading financial products.
The broker, which matches buyers and sellers of currencies, bonds and swaps, said on Tuesday that revenues for the year ending December 31 came in at 850.8 million pounds ($1.28 billion), down from 910.2 million pounds a year earlier.
Analysts at Societe Generale had forecast revenues of 865.1 million pounds for 2012.
Underlying pre-tax profits were 114.7 million pounds, compared with 136.1 million pounds a year ago.
Tullett chief executive Terry Smith said business had made a “reasonable” start to this year, with revenues for January and February down 5 percent from a year ago.
Tullett also said increased regulatory costs in 2013 would offset its action last year to reduce its fixed costs.
“Our customers are operating in a more onerous regulatory environment and there is considerable uncertainty over the impact of new regulations covering the OTC (over-the-counter) markets. It is therefore prudent to expect that financial market activity will continue to be subdued,” Smith said.
Reporting by Tommy Wilkes