Xchanging Ins-sure Services has posted an operating profit two years after it started processing insurance for Lloyd's.
The company made an operating profit of £10m on turnover of £47m last year, providing a distributable surplus of £6.8m.
John Benjamin, Xchanging's managing director, said the return of 50% of the surplus to the market would reduce transactional costs by about 9%.
He said: "For the first time, the effective cost of transactional processing in London has been reduced, while significant expenditure has been committed to improve and develop new services."
