Lombard Risk Management
Results Commentary
AIM-listed Lombard Risk Management issued its annual results on Tuesday 13th May. The results for the year to 31 March 2014 reported revenues at £20.4 million (2013: £16.8m) and pre-tax profit at £4.4 m (2013: £3.9m). Despite this good performance and an encouraging outlook Lombard’s shares remain on a low single figure P/E rating. In this article I look at the factors leading to this lowly rating and consider the likelihood of a positive re-rating for the shares.
Lombard Risk Management (LRM) http://www.lombardrisk.com/ Lombard is a financial software company which creates risk management and regulatory compliance solutions for the financial services industry around the world. The Company boasts over 300 clients which include over 30 of the world’s top 50 banks (including half of the banks operating in the UK) as well as several industry leading banking businesses, investment firms, asset managers, hedge funds, fund administrators and large corporations. Lombard’s Chief Executive, John Wisbey, founded the business in 1989 and it has developed a wide ranging product suite over the last 24 years. The Company joined AIM in…