Goldenway Global Investments, an online forex broker, has published its annual financials for 2019, showing a net loss of £44,98 for the fiscal year, swung from £59,482 in profit for the previous year.
According to the full audited accounts filed by the broker with the UK’s Companies House, its total turnover for the year stood at £3,371,859 – over a 100 percent increase from the same figure in 2018 – but a majority of it was from the sales.
Though the UK-registered broker reported a gross profit of £416,216, the high administrative expenses, £470,152, barred it from registering any profits for the year. In 2018, however, the gross profit of the broker saw a gross profit of £346,739, but disclosed administrative expenses were only at £292,716.
Notably, 2018 was exceptional for Goldenway as it reported losses for the previous two consecutive years following an astronomical profit of £461,732 in 2016, which was driven by the low sales cost.
7 Pharma Stocks You Need to Know in the Race for a Covid-19 VaccineGo to article >>
The broker also earned an interest income of £7,361 in 2019, higher than the previous year.
“At the year end, the company had net assets of £1,839781 (2018 – £1,884,769),” a director’s message read. “The company’s key performance indicators are gross profit 12.34% v 20.60% (2018), net (loss) / profit (1.33%) v 3.53% (2018).”
2019 turned out to be sluggish across the trading industry
Goldenway is not the only one posting poor figures for 2019. Many other European FX brokers also reported poorly for last year mainly due to the strict regulations imposed by the European Securities and Markets Authority (ESMA).
However, most of these brokers reported record sales for the first half of this year, given the higher traders’ activities with the market volatility induced by the COVID-19.