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FXCM’s (NYSE:FXCM) net quarterly revenue for the period ended on March 31, 2016 reached $71.5 million, up 6.7% from the last quarter of 2015 and 9% higher than Q1 2015.
In the same period in Q1 2016 the retail volume of FXCM was $931 billion, relatively consistent with Q1 2015. The Dealing Desk initiative for smaller clients generated 19% of the retail volume, up from the 16% in Q4 2015.
The average daily volume (ADV) in Q1 2016 was $14.5 billion, slightly down from $14.7 billion in the preceding quarter and from 14.8 billion in Q1 2015. The daily average trades (DARTS) in Q1 2016 rose 26.2% from Q4 2015 and reached 632 600. They were also up 21.2% from Q1 2015.
The other operating metrics of FXCM for Q1 2016, remain mostly unchanged from the same quarter of 2015. The trading revenue in the period was $69.7 million, up barely 0.8% from $69.2 million in Q1 2015.
At the same time the company boasts a 173% increase in Adjusted EBITDA year over year from $3.4 million in Q1 2015 to $9.3 million in Q1 2016 from continuing operations.
At the total operating expenses in Q1 2016 decreased almost fivefold – from $341,7 million in Q1 2015, to $70.8 million in the same quarter of this year.
Meanwhile, FXCM continues to actively market some of its non-core assets, but notes it is in no hurry to sell and is seeking greater value through additional time.
“Based on the current market environment, the key metrics on our retail FX business are healthy,” the company notes. Total active accounts increased 3% year over year, daily average trades increased 21% and total customer equity as of March 31, 2016 was $633.2 million.
In the same period, FXCM made payments of principal and interests to Leucadia National Corporation, under the loan from January 2015. In the period the broker has repaid $117 million of principal due to Leucadia with $193 million outstanding.
In spite of this, however, the broker’s cash position remains stable and is very similar to where it was at year-end, with combined continuing and discontinued operations cash of $235.7 million and a regulatory surplus of $107 million.