Gaitame.com Revenues and Profits Slump as CFT Reports H1 Results
- The retail forex subsidiary weighed on the financials of Compagnie Financière Tradition in the first half of 2017.
Swiss brokerage Compagnie Financière Tradition (CFT) has reported its results for the first half of the year. The company’s revenues were lower by 3.3 percent, to $428 million (CHF 411 million). Operating profits were higher at $38.7 million (CHF 37.2 million), driven by the institutional business of the company.
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The stability of the inter-dealer business of CFT was the main driver for the relatively stable performance of the company. The retail-focused Gaitame.com business in Japan posted a substantial decline in revenues and profitability.
During the first six months of 2017, the retail shop reported a massive decrease in revenues. The Japanese subsidiary’s income in constant currencies declined 28.2 percent year-on-year to $14.7 million (CHF 14.1 million). Profitability also declined with margins coming in at 24.8 percent, a substantial change from last year’s 37.2 percent. Operating profits for Gaitame.com halved to $3.64 million (CHF 3.5 million).
The disappointing results for the retail Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term subsidiary of CFT are the result of lower Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders Read this Term in the first months of the year. The Japanese yen ranges that are typically key to retail traders in Japan were much tighter than a year ago.
Inter-Dealer Broking Business
The inter-dealer broking business (IDB) of CFT held strong, driven by sharp activity increase in continental Europe and the MENA region. Total adjusted revenue was marginally lower, by 2 percent to $449 million (CHF 431.6 million). Adjusted revenue from the IDB increased 0.8 percent in constant currencies.
Profitability of the IDB business remained stable with margins ticking higher by 0.3 basis points to 9.2 percent. Adjusted underlying operating profits ticked marginally higher by 1.3 percent to $41.3 million (CHF 39.9 million).
Swiss brokerage Compagnie Financière Tradition (CFT) has reported its results for the first half of the year. The company’s revenues were lower by 3.3 percent, to $428 million (CHF 411 million). Operating profits were higher at $38.7 million (CHF 37.2 million), driven by the institutional business of the company.
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The stability of the inter-dealer business of CFT was the main driver for the relatively stable performance of the company. The retail-focused Gaitame.com business in Japan posted a substantial decline in revenues and profitability.
During the first six months of 2017, the retail shop reported a massive decrease in revenues. The Japanese subsidiary’s income in constant currencies declined 28.2 percent year-on-year to $14.7 million (CHF 14.1 million). Profitability also declined with margins coming in at 24.8 percent, a substantial change from last year’s 37.2 percent. Operating profits for Gaitame.com halved to $3.64 million (CHF 3.5 million).
The disappointing results for the retail Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term subsidiary of CFT are the result of lower Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders Read this Term in the first months of the year. The Japanese yen ranges that are typically key to retail traders in Japan were much tighter than a year ago.
Inter-Dealer Broking Business
The inter-dealer broking business (IDB) of CFT held strong, driven by sharp activity increase in continental Europe and the MENA region. Total adjusted revenue was marginally lower, by 2 percent to $449 million (CHF 431.6 million). Adjusted revenue from the IDB increased 0.8 percent in constant currencies.
Profitability of the IDB business remained stable with margins ticking higher by 0.3 basis points to 9.2 percent. Adjusted underlying operating profits ticked marginally higher by 1.3 percent to $41.3 million (CHF 39.9 million).