London Stock Exchange, which is in the process of buying Canada's TMX Group, easily beat analyst forecasts today, reporting 2010 profit up 22 per cent to £341 million.

The British exchange, which also said it has filed its application to merge with Canadian market TMX Group, saw profits well up on last year's £280 million and above forecasts of £314 million.

Chief executive Xavier Rolet said the performance was partly down to the diversification strategy the exchange has undertaken.

"We are also fully focused on pursuing a range of growth opportunities which will remain pivotal to further progress in the year ahead," Rolet said in an emailed statement.

Revenues increased 7 per cent to £674.9 million, up on last year's £628.3 million, and above analyst expectations of £651.1 million.

The LSE dividend for the period was 26.8p per share, above forecasts of 25.9p a share.

The British exchange agreed a merger with TMX group on February 9 and said on Friday it has filed its application with the relevant Canadian authorities.

Reuters