FIXI Plc, an online forex and CFDs brokerage company, has published its financial statements and annual report for its fiscal year ending March 31, 2018. The broker, which is regulated by the Financial Conduct Authority (FCA), saw a year-on-year drop in turnover and profit.
Turnover for FIXI came in at around £1.1 million for the period. This figure is comprised of £911,301 from net gains/losses on trading foreign currency and £178,335 from rebates receivable.
According to the report, Turnover for FIXI is the combination of the net of realized gains and losses arising from trading in forex forward contracts, commissions from trading activities and rebates which are the result of the introduction of trades to counterparties.
During the firms 2017 fiscal year, FIXI reported a turnover of £1.4 million, which is 21.8 percent more than its latest figure. This is largely due to the net gains/losses the company made on trading foreign currency during the 2017 fiscal year, which was £1.37 million – 33 percent more than what was achieved in 2018.
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Gross profit was also down on a year-on-year comparison. During the 2018 fiscal year, FIXI had a gross profit of £195,047. This is 61.8 percent less than the figure achieved in 2017 which was £511,428.
For the 12 months ended March 31, 2018, FIXI had administrative expenses totaling more than £3.1 million, which brings the firm to an operating loss of £2.95 million. In 2017, administrative expenses were £2.48 million. While during the previous fiscal year the company also ran at an operational loss, it was slightly less pronounced at £1.97 million.
FIXI Sees a Solid Uptick in Employees
According to the financial report, during the 2018 fiscal year, FIXI went through a number of changes. This includes several movements in the company’s senior leadership and a suite of regulatory changes in the retail trading space, including MiFID II and GDPR, which also took its toll on the business. Nonetheless, the firm continues to focus heavily on the retail trading space, offering to trade on the MT4 and MT5 platforms.
In 2018, FIXI also went through an increase in staff costs, totaling more than £1.5 million, an increase of 12.9 percent compared to 2017, which had a total cost of £1.32 million. Breaking this down, wages and salaries in 2018 were £1.3 million, up from £1.1 million in 2017.
This increase was achieved largely because FIXI significantly increased its team in the United Kingdom, jumping from an average of 13 employees in 2017 to an average of 32 employees in 2018.