IG Group Holdings announced on Thursday that its pretax profit for fiscal 2023 had fallen, despite a boost in revenue from interest income. The online-trading company posted a pretax profit of £449.9 million ($582.2 million) for the year ended May 31, compared to £477.0 million in the previous year.
Adjusted pretax profit was down 1% at £490.5 million, falling within the top end of the company’s guidance with a margin of 48%. Total revenue increased to £1.02 billion from £973.1 million, with net trading revenue experiencing a slight 3% decrease over the period. However, interest income rose significantly to £80.0 million from £800,000 due to higher interest rates.
In light of these results, IG Group Holdings has proposed a final dividend of 31.94 pence per share, resulting in a yearly payout of 45.2 pence, up from the previous year’s 44.2 pence.
Chief Executive Charlie Rozes expressed optimism about the company’s future growth prospects, stating, “Looking ahead, we’re well positioned to continue investing for growth given the strength and consistency of our cash flow and balance sheet.” He also mentioned the company’s commitment to achieving greater cost efficiency in fiscal 2024.
As a result of these positive developments, shares of IG Group Holdings rose by 5.2% at 728.50 pence as of 0728 GMT, marking their highest price since mid-May.
