CMC Markets reports strong results for FY 2016

CMC Markets reports strong results for FY 2016

RECOMMENDED FOREX BROKERS

Free VPS

Copy profitable traders

Low spreads

50% Bonus

Do not invest more money than you can afford to lose.

 

CMC Markets  (LON:CMCX), a UK forex and spreadbetting broker, that went public in February this year, announced the number of trades its clients made in the financial year than ended on March 31, 2016 rose by 50% and the value of trades increased by 27% to reach almost GBP 2.1 trillion, over the year.

The number of active clients also increased to 57 329, up 14% from FY 2015. CMC Markets also reported a 4% rise in revenue from active client to GBP 2 828.

The forex and spreadbetting broker also reported that its net operating income for FY 2016 reached GBP 169.4 million – up 18% from the preceding year’s GBP 143.6 million. The company’s profit before tax increased by 23% and was GBP 53.4 million.

Besides increasing its profit and income, CMC Markets also managed to keep its expenses under control and its net staff costs as a percentage of net operating income dropped 1.2% to 27.1%.

Its balance sheet also is in very good shape. The regulatory total capital ratio was 31% and the company had own funds worth GBP 176.4 million. As of today it has a market capitalization of GBP 805.07 million. Upon the release of its financial results, CMC Markets’ shares price rose a little over 2.2% when the London Stock Exchange opened on Wednesday.

CMC Markets also reported good progress on digital and mobile initiatives, as 48% of the value of Next Generation client trades were completed on mobile devices – on the broker’s trading app for iOS and Android. The company boasted with the successful global launch of new binary products and the institutional offering.

cmc results table

“I am very pleased to report a strong first set of results since we successfully listed on the London Stock Exchange in February 2016,” said Peter Cruddas, CEO and major shareholder of CMC Markets. “Our clear strategy to provide our clients with the best trading platform, superior service and competitive pricing, with a strong focus on innovation, has delivered another strong performance, with profit before tax up by over 20%. But we’re not standing still. We continue to add new products, open new offices and offer new features and tools through our award-winning Next Generation trading platform. Despite a recent easing of trading activity, with these developments and our excellent team, I am confident that CMC will continue to deliver further strong growth.”

Last week CMC Markets announced it gets included in LSE’s FTSE 250 Index of mid-capitalized British companies.

CMC Markets was set up back in 1989 and now it runs offices in 14 countries across the globe, focusing on the markets in the UK, Australia, Germany, and Singapore. The broker offers trading in more than 10,000 financial instruments, including forex, shares, indices, commodities and treasuries via its proprietary trading platform Next Generation.


Leave a Reply

Your email address will not be published. Required fields are marked *