IG Group reported that its third-quarter FY22 revenue increased 13% in three months, mostly coming from its derivative business.
IG Group Holdings reported a 13% increase in revenue between December and February, which was the third quarter of the financial year for the company. In three months, the broker earned £257.2 million.
Of the total, £219.3 came from IG's leveraged over-the-counter (OTC) derivatives business, which was up 4% from the same quarter in the previous period. Unfortunately, stock trading and investment income fell 54% to £6.6 million.
Active Clients Hit Record
IG's most revenue comes from exchange-traded platform derivatives of £31.3m in a reported three months from a negligible figure of £1.9m in Q3 FY21.
The CEO of IG Group, June Felix expressed his happiness that the company managed to report another outstanding performance due to the boost in the record number of clients trading during the period. Today, IG has many clients and diverse products to trade. However, this actually makes the company continue to grow. The broker's quarterly active clients numbered 292,200, compared to 220,900 in Q3 FY21.
The company further said that it now expects FY22 earnings to exceed current market expectations. However, earnings growth is likely to remain below the 25 percent to 30 percent range for FY22 due to sluggish growth in US options trading volumes in the last quarter.