LSEG Q1 2025 Trading Update Shows Strong Growth in Data & Analytics and Markets Divisions

A Stellar Start to 2025

London Stock Exchange Group (LSEG) isn’t just keeping pace with market turbulence – it’s using it as rocket fuel. Today’s Q1 trading update reveals an exchange operator firing on all cylinders, with both its Data & Analytics and Markets divisions delivering the kind of growth that would make even Gordon Gekko crack a smile. Let’s unpack what’s driving this performance.

The Engine Room: Data & Analytics Accelerates

Data & Analytics isn’t just growing – it’s picking up speed. With organic revenue up 5.1%, this division now accounts for nearly half the group’s total income. Three factors stand out:

• Workflows (3.4% growth): Commodities analysis shines as traders navigate volatile markets. The planned June 2025 sunset of legacy Eikon platform shows confidence in their next-gen tools.
• Data & Feeds (6.6% growth): Real-time data offerings expanding faster than a Bond villain’s stock portfolio. New fixed income corporate actions data proving particularly tasty for institutional clients.
• Analytics (7.4% growth): Yield Book and Lipper fund data flying off the shelves. The Microsoft-powered Analytics API is the silent hero here – like Q Branch equipping analysts with better gadgets.

Markets Division: Volatility Is Our Friend

While some firms white-knuckle through market storms, LSEG’s Markets division is surfing the waves to 10.7% organic growth. The standouts:

• Tradeweb’s record $2.55T ADV: Up 33.7% including ICD acquisition. Rates and credit trading now account for more action than a Casino Royale poker table.
• FXall platform strength: 12.3% growth as currency markets dance to the tune of central bank uncertainty.
• OTC Derivatives clearing: 16.8% surge showing institutional clients are hedging like their bonuses depend on it (which they probably do).

The Not-So-Secret Sauce: Diversification

What’s particularly telling is how different revenue streams balance each other:

• Subscription revenues (60% of total) provide stability
• Transaction revenues (33%) capture market volatility
• Asset-based fees (7%) ride the ETF wave

This mix explains why Schwimmer can confidently reaffirm guidance despite “persistent uncertainty” in markets.