London Capital Group Holdings (LCG) has started off 2018 on strong footing. On Friday, the London based online forex and CFDs brokerage published its half-year interim report for the six months ended June 30, 2018, revealing a solid financial and operational performance.
For the first half of 2018, the company recorded a revenue of £18.6 million ($24.1 million), an increase of 54 percent from the same period in 2017, which had a revenue of £12 million. Gross profit was also up by 26 percent year-on-year, coming in at £13.7 million from £10.9 million in the six months ended June 30, 2017. These results are welcome news for LCG, which reported a statutory loss of £3 million, which was down from 2016’s loss of £7.7 million.
Taking a look at the firm’s operational highlights, new accounts were up by 15 percent, hitting 10,259 accounts. By the end of 2017, the total accounts were 8,886. According to the statement, this increase demonstrates the effectiveness of LCG’s global branding, sales, and marketing.
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Client volumes were also up 36 percent from the end of 2017. LCG attributes this to its expanding product offering and attractiveness of its trading platform. During the first half of 2018, client trading was also up by 23 percent from the end of last year.
Commenting on the results, Mukid Chowdhury, Group Chief Executive, said: “The senior management team and I are pleased that the investment in the business and the restructuring efforts of previous periods have continued to deliver improved results and that these efforts have now seen LCG return to profitability…”
“LCG will continue with its objective to return the business to profitability through best in class technology and client service and together with investment and the hard work by the senior management team and its people, we will continue to deliver long term sustainable growth and drive increased shareholder value.”
LCG Welcomes Regulatory Changes in The EU
Looking ahead, LCG says the outlook for the brokerage industry remains uncertain with the changing regulatory landscape in the European Union (EU). However, the London brokerage said in its report that it welcomes the changes and is confident that it will be able to handle the changes in the future.