Misys sees orders surge as banks return to health

MISYS, which provides financial software to the world’s biggest banks, reported a rise in new banking orders yesterday in a sign that clients are more upbeat about the future.

UK-based Misys forecast banking order intake to reach £41-42m, up from £38.1m the previous year, it said in a trading statement for the six months to 30 November.

The rise, the first in 18 months, is a sign that banks are more confident about investing in the company’s new BankFusion platform, said Execution Noble analyst Vijay Anand.

Anand said major banks can take up to a year to decide on a new software platform, which has held back Misys’ results until now as BankFusion only launched this year.

Misys said it received 13 new orders for BankFusion, which handles lending, deposits, and payment transactions as well as treasury and trade services, in the period.

Other new solutions, such as trade finance systems for importers and exporters, accounted for 60 per cent of licence orders, up from 16 per cent the previous year.

Banking division revenues are expected to dip slightly to £76-77m, down from £79.7m in 2009. But its treasury and capital markets arm saw forecast orders fall to £38-39m, from £40.9m, as orders were delayed.