London Stock Exchange Group (LSE:LSEG) reported total income excluding recoveries up 8.4% organically on a constant currency basis for the six months ended 30 June, or 6.9% on a reported basis, in what chief executive David Schwimmer called a "record first half performance".
The exchanges and data group raised its full-year organic growth guidance for total income excluding recoveries to 7.0-7.5%, up from an initial 6.5-7.5% range, and lifted its constant currency EBITDA margin guidance from 80-100 basis points to around 100 basis points.
Growth was broad-based across divisions: Markets rose 11.9%, Risk Intelligence 9.7%, FTSE Russell 9.1% and Data & Analytics 5.1%.
Adjusted EBITDA grew 14.1%, with margin up 320 basis points, while adjusted earnings per share rose 17.2% at actual rates to 244.9p and reported EPS climbed 33.5%. Equity free cash flow reached £1.2 billion, up 37.0% on a reported basis, funding £2.1 billion in share buybacks completed in the first half with a further £1.4 billion starting immediately.
Subscription business metrics improved across the board, with annual subscription value growth of 6.1% and a revenue retention rate of 92.8%.
"AI in financial services will drive enormous value, but comes with significant challenges for customers," Schwimmer said, pointing to thousands of Workspace customers now using its AI Search tool.
The company also flagged progress on its Private Securities Market and a planned LSE 24 launch, alongside a Digital Securities Depository collaboration with HSBC.
News Intelligence what this means for the company
LSEG delivered record first-half organic income growth of 8.4% (constant currency) and raised full-year guidance to 7.0–7.5%, narrowing and lifting the prior 6.5–7.5% range. Adjusted EBITDA margin expanded 320 basis points, adjusted EPS rose 17.2%, and the company returned £2.1 billion to shareholders via buybacks while funding a further £1.4 billion—all underpinned by broad-based divisional growth and a 92.8% subscription revenue retention rate that signals durable customer relationships.
The upgrade reflects operational momentum across all divisions and validates management's capital allocation discipline: strong free cash flow generation (£1.2 billion, up 37%) is being deployed to both buybacks and growth initiatives including LSE 24's planned H1 2027 launch. Margin expansion and subscription resilience reduce earnings volatility, though execution risk on new platforms and regulatory approval timelines remain material to the forward case.
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