CMC Markets reports solid performance for the first quarter of fiscal 2025
CMC Markets reports solid performance for the first quarter of fiscal 2025
Brokerage CMC Markets said its results for the first quarter of fiscal 2025 are in line with expectations, setting the stage for net operating income of between £320 million and £360 million for the fiscal year. This is in line with forecasts given at the time of the FY 2024 results announcement.
The company maintained stable trading in the first quarter, which is in line with management's expectations. CMC Markets continues to make significant progress in its institutional and B2B strategy, a key point highlighted by its recent partnership with Revolut. Initial Revolut client recruitment has already commenced and some clients are already live and trading on the platform.
CMC Markets is focused on cost efficiencies and margin expansion, particularly in the institutional and B2B sectors. Management believes these areas represent growing profit margins and are critical to the company's long-term growth strategy. The partnership with Revolut is expected to gain momentum in the coming months, with further details to be provided in the half-year results in November.
The outlook for the financial year remains unchanged, with net operating income expected to be in the range of £320m to £360m.This forecast is based on a cost base, excluding variable remuneration and non-recurring costs, of approximately £225m.
The company's focus on cost efficiency and margin expansion is expected to play a critical role in achieving these financial targets. Management is keen to explore further opportunities to optimize operations and improve profitability, particularly in the highly profitable institutional and B2B segments.
It is worth noting that CMC Markets is off to a strong start in FY 2025, with results in line with expectations and strategic initiatives well advanced. The partnership with Revolut and focus on institutional and B2B growth should drive the company's success in the coming months.
As CMC continues to innovate and expand its capabilities, it remains well-positioned to achieve its financial goals and deliver value to its customers and shareholders.
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