GAIN Capital Reports $29.1 Million Profit for 2018

Publicly listed brokerage GAIN Capital Holdings, Inc. (NYSE: GCAP), the ‎largest provider of retail FX in the United States, has reported its results for ‎Q4 2018, and the fiscal year ending on December 31, 2018.‎

The group has disclosed an improved performance across a number of different metrics ‎during the three months through December, including its revenues and net ‎income. In addition, the latest report shows strong figures across key ‎components of its business on a year-over-year basis, per a company ‎‎financial disclosure.‎

Detailing the results, GAIN’s net revenues under the US GAAP for Q4 2018 came in ‎at $79.9 million, up 27 percent when compared with $62.7 million ‎in the same quarter a year ago. Furthermore, the year ending December 31, 2018, netted a ‎revenue increase of 28 percent year-over-year, having risen to $358.0 million from $278.2 million reported ‎back in fiscal 2017.‎

The bottom line figure was flat and upbeat across the quarterly and yearly timetables respectively, showing a mitigated net loss of $4.6 million, or $0.11 per share for the fourth quarter ‎vs. an adjusted net loss of $4.8 million in the Q4 2017.

Furthermore, the full year’s figures reflected a stronger performance after yielding a net profit of $29.1 million, or $0.66 per share, compared to a loss of $11.3 million in the year ending December 31, 2017.‎

The sweeping changes to US tax law knocked about $3.1 million‎, or $0.10 per share, off Gain’s profits in 2017, as well as ‎$5.7 million, or $0.13 per share, for the fourth quarter. The company also revealed that, throughout 2018, it returned a total of $73.8 million to shareholders in the form of share repurchases and dividends.

According to Glenn Stevens, CEO of GAIN Capital, in a statement on the results: "2018 was a solid year for GAIN Capital, with positive results in several key metrics. We delivered year-over-year revenue growth of 29% to $358 million, net income of $28 million on adjusted EBITDA of $87 million. New direct accounts increased 12% year-over-year, while client trading volumes increased 6% year-over-year."