According to a trading update released by IG Group (LON:IGG), for the three months to February 28, 2015, which constitutes the third quarter of the firm’s 2015 financial year, it has reported revenues totaling £91.8 million ($135.8 million). The number includes a charge totaling £11.8 million ($17.5 million) related to the Swiss National Bank (SNB’s) induced volatility.
The company highlighted in its announcement that it expected to provide for the majority of client debts it was owed, totaling £18.4 million ($27.2 million) with about half of the debtor accounts already settled.
At the same time, the firm highlighted that the majority of the remaining debtors were not likely to be in a position to settle their obligations with the brokerage.
Excluding the SNB effects, revenues at IG Group (LON:IGG) were up during the third quarter by 7.1% to £103.6 million ($153.2 million).
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The majority of the company’s growth in the revenues per client metric came from the Australian arm of business where the number increased 16% year-on-year. The U.K. remains the main powerhouse for the company, accounting for 54% of the firm’s global revenue.
Revenues per client increased in the U.K. and Australia by 5.8% and 11% respectively, but dropped lower in Europe and the rest of the world by 15% and 3.7%.
The full effects of the negative sentiment resulting from the SNB debacle causing trades of IG Group’s clients to be settled around 0.9250 in the EUR/CHF may yet surface, as the company has received unwanted media attention in the past several weeks.
Active clients’ numbers were reported higher by 13% year-on-year, with IG Group (LON:IGG) highlighting strong growth in the US and South Africa.