BRIEF-CMC Markets Net Operating Income Of £288 Million
NET AVAILABLE LIQUIDITY REMAINED BROADLY FLAT AT £239 MILLION * QUIET MARKET CONDITIONS IN FIRST TWO AND A HALF MONTHS OF 2024 HAVE RESULTED IN CLIENT TRADING ACTIVITY BEING DOWN 15-20% * WHICH IN TURN IS EXPECTED TO NEGATIVELY IMPACT Q1 2024 NET OPERATING INCOME. * EXPECTATIONS OF UNDERLYING 30% NET OPERATING INCOME GROWTH FROM 2022 TO 2025 REMAIN UNCHANGED * OUR 2024 INVESTMENT PLANS ARE EXPECTED TO INCREASE OPERATING EXPENSES EXCLUDING VARIABLE REMUNERATION TO APPROXIMATELY £240 MILLION * OPERATING COST EXPANSION IS EXPECTED TO SLOW IN 2025 AFTER TWO YEARS OF SIGNIFICANT INVESTMENT COMBINED WITH ONGOING COST EFFICIENCY INITIATIVES.
CMC Markets PLC: * NET OPERATING INCOME OF £288 MILLION, IN LINE WITH NEW GUIDANCE ISSUED ON 27 MARCH 2023 AND UP 2% YEAR OVER YEAR
* TRADING NET REVENUE UP 1% VERSUS 2022, WITH INTEREST INCOME UP SIGNIFICANTLY, OFFSET BY WEAKER INVESTING NET REVENUE DUE TO SUBDUED MARKET CONDITIONS. * 2023 OPERATING EXPENSES EXCLUDING VARIABLE REMUNERATION INCREASED BY 26% TO £217 MILLION
* PROFIT BEFORE TAX OF £52 MILLION (2022: £91 MILLION). * UNDERLYING LIQUIDITY REMAINS STRONG. REGULATORY OFR RATIO OF 369%. NET AVAILABLE LIQUIDITY REMAINED BROADLY FLAT AT £239 MILLION
* QUIET MARKET CONDITIONS IN FIRST TWO AND A HALF MONTHS OF 2024 HAVE RESULTED IN CLIENT TRADING ACTIVITY BEING DOWN 15-20% * WHICH IN TURN IS EXPECTED TO NEGATIVELY IMPACT Q1 2024 NET OPERATING INCOME.
* EXPECTATIONS OF UNDERLYING 30% NET OPERATING INCOME GROWTH FROM 2022 TO 2025 REMAIN UNCHANGED * OUR 2024 INVESTMENT PLANS ARE EXPECTED TO INCREASE OPERATING EXPENSES EXCLUDING VARIABLE REMUNERATION TO APPROXIMATELY £240 MILLION
* OPERATING COST EXPANSION IS EXPECTED TO SLOW IN 2025 AFTER TWO YEARS OF SIGNIFICANT INVESTMENT COMBINED WITH ONGOING COST EFFICIENCY INITIATIVES. * BOARD RECOMMENDS A FINAL DIVIDEND OF 3.90 PENCE PER SHARE (2022: 8.88 PENCE) RESULTING IN A TOTAL DIVIDEND PAYMENT FOR YEAR OF 7.40 PENCE PER SHARE Source text for Eikon: Further company coverage:
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