26 Degrees’ 2024 Profit Plunged 92% as Revenue Took a Hit

The net profit of 26 Degrees Global Markets Group, which offers prime brokerage services, dropped by about 92 per cent in 2024 to AU$410,000, according to the company’s annual financial report seen by FinanceMagnates.com. The Australian operations, meanwhile, fell into a loss of AU$669,000, compared to a profit of AU$5.9 million in the previous year.

The pre-tax profit of the Australian entity dropped by over 85 per cent in 2024 to AU$1.2 million. The Group, which includes the subsidiary of the Australian company, ended the year with a profit decline of 67 per cent to AU$2.4 million.

A Dent in Revenue

Meanwhile, the Australian unit remains the only primary revenue generator of the Group, while the other subsidiaries operate as support branches.

The total revenue generated by the Australian parent came in at AU$37.3 million, down from the previous year’s AU$43.3 million—a yearly decline of about 13.9 per cent. Out of the total revenue, trading-related income of AU$28.9 million contributed the most, but it also declined by about 13 per cent.

FinanceMagnates.com earlier reported that the prime brokerage firm intends to surrender its Cyprus licence. However, the firm will continue to maintain its Limassol office as a supporting branch.

Read more: 26 Degrees Is Surrendering Its CySEC Licence

The annual report also confirmed that the Group is now expanding its support service teams in “overseas jurisdictions including Cyprus, the United Kingdom and Japan.”

“We look forward to continuing to grow the business globally throughout 2025 and beyond,” the report added.

Hedge Fund Business Line in Focus

26 Degrees (previously Invast Global), at the same time, continued to expand its product offerings. Last year, it launched Pairs CFDs, enabling the trading of index vs index, commodity vs commodity, or equity vs equity—similar to forex pairs. Although the concept of such an instrument was not new, it was the first company to launch it.

A few months after the launch, the company revealed that over 20 per cent of its global brokerage clients were either offering Pairs CFDs or were in the process of releasing them.

“We are pleased to report strong growth across the global Prime Services business throughout 2024, particularly in the FX & Metals, and Index & Commodity CFD product lines,” the report noted, adding that the Australian company has continued to invest in broadening its product offering in the hedge fund business line.