LCG revenues decline 27% as COO departs
Decline blamed on low market volatility " COO Rachel Woodford resigns to "pursue other interests".
London Capital Group (LCG) has reported a 27% drop in group revenue for the year ending 31 December, the online trading operator has announced in a trading update ahead of the publication of its full-year results in February.
LCG blamed the significant year-on-year decline on “low market volatility”, which contributed to “suppressed” trading volumes in the H2 of 2012, after marginal growth in the first half of the year. This saw group revenue drop from £39m in 2011 to £28.6m, with the company expecting to make an adjusted loss before tax in the region of £0.2m as a result.
Meanwhile the company’s chief operating officer Rachel Woodford has stepped down from her role, in order “to pursue other interests.” Woodford will serve a six month notice period, before leaving the company in July. This follows the resignation of chairman Richard Davey in August last year.
The company also announced an update on an efficiency review, and review of its overseas subsidiaries, launched in October 2012. Carried out during Q4, the review has allowed the board to identify 15% of potential savings across LCG’s cost base, with the required changes to bring about the savings to be introduced by the end of 2013.