20th Sep 2018 08:56
LONDON (Alliance News) - IG Group Holdings PLC on Thursday said its revenue fell in the first quarter of its financial 2019, hurt by weak performance in the UK and Europe, the Middle East & Africa regions.
Shares in IG Group were trading 7.6% lower on Thursday morning at 798.00 pence each.
The online trading platform provider said revenue in the three months to the end of August declined by 5% to GBP128.9 million on weak performance in the UK and Europe, the Middle East & Africa regions, where revenue fell by 8% and 12%, respectively.
The result was hit by a reduction in client numbers. In the UK, the number of clients fell by 13% to 34,000, while the Europe, the Middle East & Africa saw a 10% decrease in client numbers to 27,200.
Although the number of clients in the US fell by 12% to 9,100, revenue per client rose by 29%, resulting in first-quarter revenue growth of 14% to GBP3.9 million.
In addition, the company said it has continued to make progress with its strategic initiatives. In Germany, IG Group's subsidiary received a licence from BaFin to offer financial services to EU clients. As a result, IG Group will continue to be able to offer its regulated financial products in all EU member states following the UK's planned exit.
Related Shares:
IG