27th Jan 2022 12:51
(Alliance News) - IG Group Holdings PLC on Thursday announced a record performance in the first half of its financial year, taking advantage of momentum from a strong previous year.
The London-based online trading platform said pretax profit was up 7.2% in the six months that ended November 30 to GBP245.2 million from GBP228.8 million a year before.
Net trading revenue for the period was GBP471.9 million, up 16% from GBP408.5 million in the previous year.
Client retention rates stayed steady, and revenue from Core Markets was relatively flat at GBP401.0 million compared to GBP399.3 million the previous year. Revenue from High Potential Markets grew by 30% to GBP65.1 million from GBP50.1 million in financial 2021, and IG predicts it will continue growing at a rate of 25% to 30% a year in the medium term.
IG's pretax profit margin was knocked slightly to 52% from 56% in the previous year, as operating costs increased by 22% year-on-year.
IG held its interim dividend steady at 12.96 pence.
The company's share price rose by 5.8% to 870.00 pence each in London on Thursday at midday.
Chief Executive Officer, June Felix, commented: "This has been a period of outstanding performance with record revenues and profits. Since we launched our new strategy three years ago, the group has transformed from a UK-centric, [contracts-for-difference] focused firm, to a global financial technology company with a multi-product trading platform."
"We have a very exciting future ahead of us, with multiple product and geographic growth levers and a significant total addressable market. Our strengths in technology innovation and robust risk management along with our global footprint and significant financial flexibility position us perfectly for the future."
By Elizabeth Winter; [email protected]
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