Argentex Group PLC, a foreign exchange (forex) services provider, has posted its trading numbers for the first half of the 2021 fiscal year, ending on September 30, showing a significant decline in its revenue.
In the six months, the Financial Conduct Authority-regulated company reported total revenue of £11.8 million, compared to £13.8 million in the same half the previous year. That was a year-on-year decline of 14.7 percent.
Argentex offers forex services to institutions, corporates, and high net worth individuals.
Its annual revenue for the entire 2020 fiscal was £28.9 million, 32.2 percent higher than the numbers posted in the previous year, Finance Magnates reported earlier.
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Effect of Coronavirus
For the recent slump in demand, Argentex pointed towards the macro-economic impact due to the COVID-19 pandemic, which led to some clients deferring their trading activity. However, the company is optimistic that the deferral of trading activity is expected to result in stronger trading volumes in the second half of the financial year.
“As the long-term impact of the COVID pandemic on global markets continues to be laid bare, it has never been more important to stand by our clients and ensure their growing FX trading needs are met,” Argentex co-CEO, Harry Adams said. “Despite frustrations over the drop in trading activity throughout the period I’m proud of how our people have adapted and delivered for our clients.”
Furthermore, the Group detailed that it acquired 87 percent more clients in the last six months compared to the same period a year ago.
“The strong underlying performance of the business – notably the marked elevation of new client acquisition – is testament to our focused, long-term approach,” co-CEO Carl Jani added. “In the face of a surge of client interest, we have focused on the quality of revenue over trading volume, remaining true to our strict risk management processes.”