IG Group revenues up 18% in Q3
CEO Tim Howkins attributes improved third quarter results to more conducive market conditions.
Financial betting operator IG Group has posted an 18% increase in revenues for the third quarter ended 28 February thanks to favourable market conditions and increased client trading.
Revenue increased year-on-year from £75.1m to £88.6m, with revenue from the UK rising 15% from £39.4m to £45.2m. Revenue from Europe grew by 22% year-on-year from £14.8m to £18.1m, and revenue per client in the rest of the world increased by 24%.
In an analyst call discussing the results, IG Group chief executive Tim Howkins said: “We’ve been pleased in this quarter by the swift response of our clients to improved market conditions. We’re still seeing very low levels of overall market volatility but with some better intra-day movements in both the Forex equity markets and I think there’s clearly a much better sentiment in the equity markets.
“We’ve seen the Dow hitting record highs in the last day or two and over the last couple of months we’ve had something like a 10% rally in the Dow. A rally of this sort of magnitude is clearly encouraging to our clients,” he added.
Howkins also attributed the results to the development of IG Group’s trading platform and focus on mobile, with the operator now offering one app for both spread betting and CFD trading, as well as push alerts.
The results provide a welcome boost for IG Group, which was forced to reduce staff headcount last year following disappointing results for the six months ended 30 November.