TIOMarkets UK Limited, the UK-based operations of the brokerage, has published its annual financial report for the year ended on December 31, 2019, showing profits from its business.
As seen on the Companies House filing, the brokerage reported a pre-tax profit of $4,367 for 2019, compared to $407,362 in losses for the previous year.
TIO Markets UK is a provider of online forex trading to both retail and institutional clients. The company is authorized by the Financial Conduct Authority (FCA) and previously went by the name of Primus Capital Markets UK Limited.
In 2019, the broker generated a turnover of $7,812, an increase of over 83 percent from the previous year’s $4,264. As highlighted by the company, its main revenue depends on the trading volume of its clients and trade markups.
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The income statement of TIOMarkets UK detailed that the cost of sales for the year was at $84,942. However, it gained $454,503 from other operating income sources. In 2018, the cost of sales was higher, and less income was generated from other sources.
After an income tax gain, the profits of the broker in 2019 stood at $45,642.
Brokers Gaining from COVID-19 Volatility
Speaking to Finance Magnates about the on-going year’s performance, a spokesperson from TIOMarkets said: “Our business intelligence suggests that performance in the first two quarters of this year accelerated at a faster rate than performance over the third quarter, which incorporates the traditionally slow summer months. Rates of acquisition & conversions accelerated month on month, along with trading volumes.
“For the company to turn a healthy profit within 1 year of launch is testament to the effective guidance of the executive board combined with on-point strategic management decisions.”
Similar to other brokers, TIOMarkets also benefited from the COVID-19 volatility as “new clients were onboarded as well as new payment processors, and an internal restructure made room for additional skilled staff.”