Global derivatives and treasury management systems and service house Rolfe & Nolan Plc has seen trading volumes increase and says it remains in a strong financial position at the half year stage, although profit growth is slight. The London-based firm saw profits up 3% at 1.1m British pounds on revenue that rose 13% to 8.6m pounds. In Europe, operating profits rose 34%, after set up of a new German office, and costs of 527,000 pounds for further development of the company’s Lighthouse derivatives tracking system (CI No 2,817). The US operation also saw revenue increase by 20% to 2.3m pounds, and it turned in its first operating profit of 46,000 pounds. Only the Asia Pacific region turned in losses, amounting to 336,000 pounds, following investment of 400,000 pounds in setting up a regional support infrastructure. The company signed a global licence deal with Deutsche Morgan Grenfell during the first half of the year, and says four existing in-house licences were renewed. It also signed three new bureau customers in the UK, converted three customers from its in-house system to a facilities management deal, signed five bureau customers for its new Oporto bureau, one in Austria and four in Milan. These bureau operations give the company a strong recurring revenue, which in Europe accounted for 106% of its costs excluding the Lighthouse system in the period. Bureau revenues were buoyant in the US, and a total of seven new customers were signed in Chicago and New York. The company also signed an agreement for a global system licence with a major US investment bank. During the first half, the company has established a new revenue stream in business and systems consultancy. It also says it is looking to expand its existing product range through third-party alliances and also acquisition of already developed software. The Lighthouse contract with co- developer Credit Suisse is now live in Zurich, London, New York and Frankfurt, and will be installed shortly in Singapore. Rolfe & Nolan says it has had interest from several prospects that represent large-scale, global projects. Chairman Tim Hearley said overall, costs remain in line with budget, and the company has a lot of new business prospects. Rolfe & Nolan will pay an interim dividend of 1.7 pence, up 6% on last time.
