19th Mar 2020 10:29
(Alliance News) - Online trading platform provider IG Group Holdings PLC said third-quarter revenue has climbed by almost a third.
In the three months to February 29, revenue rose 29% to GBP139.8 million from GBP108.0 million in the year prior.
In its over-the-counter leveraged derivatives unit, revenue was 31% higher year-on-year at GBP135.2 million, more than offsetting declines in the exchange-traded derivatives division and the stock trading & investments segment.
Exchanged traded derivatives posted a third-quarter fall of about 2.5% to GBP3.9 million. In Stock trading, it was down 11% to GBP700,000.
In the year to date, net trading revenue is 8.6% higher at GBP389.7 million.
IG said: "The high level of volatility in the last week of February has continued into March. Revenue in the first 12 trading days of the 61 in the fourth quarter is estimated to be around GBP52 million.
"These are extraordinary times. This sustained level of volatility and revenue is unprecedented, and it is not possible to determine how long it will persist or how clients will continue to respond. In addition, the actions of governments and regulators are not predictable, and the group may face circumstances and events it has not previously anticipated. It, therefore, remains difficult to predict accurately the level of revenue in the final quarter of this financial year."
IG added it has named Helen Stevenson as a non-executive director. She formerly served as a marketing director at Lloyds TSB Bank PLC.
IG also said Non-Executive Director Stephen Hill will retire from the role on April 27.
Shares in the company were 9.9% lower at 553.42 pence each in London on Thursday morning.
By Eric Cunha; [email protected]
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