19th Nov 2020 09:57
(Alliance News) -Â CMC Markets PLC saw a record first half trading performance, the online trading firm said on Thursday, with profit surging.
Net operating income in the six months to September 30 more than doubled to GBP230.9 million from GBP102.3 million a year ago, with pretax profit soaring to GBP141.1 million from just GBP30.1 million.
Revenue for the half surged to GBP256.1 million from GBP124.9 million year-on-year.
Contracts for difference gross client income was up 68% at GBP173.6 million, representing increased client trading and demand from new and existing clients. CFD active clients rose 42% to 59,082.
CMC declared an interim dividend of 9.20 pence, tripled from 2.85p a year ago.
"I am delighted with our record first half performance, which vindicates our strategy of continuing focus on high value clients," said Chief Executive Peter Cruddas.
He added: "The significant increase in net trading revenue across all areas of the business in H1 2021 is a result of the group's unwavering focus on our strategic initiatives. This has delivered increased diversification of group revenues, improved CFD client income and an increased number of active clients."
CMC said it has seen a "strong" start to the second half, with "encouraging signs" regarding the longevity of recently on-boarded clients.
The FTSE 250 constituent said it is confident that net operating income for the year will be in excess of GBP370 million while operating costs in the second half, excluding variable remuneration, are likely to be similar to the first six months. Net operating income for the financial year ended March 31, 2020 was GBP252.0 million.
CMC shares were up 0.7% at 392.06p in London on Thursday.
By Lucy Heming;Â [email protected]
Copyright 2020 Alliance News Limited. All Rights Reserved.
Related Shares:
CMC Markets