Revenue Increase Of Almost 50% For FTX Capital
- The forex broker FTX Capital saw an impressive increase of 48% in its turnover for FY2020
- London based broker publishes its results with client’s assets growing to a record £225 million or 57%
- ETX Capital benefited like most brokers from the considerable market volatility in 2020
London-based forex broker, ETX Capital recently published its 2020 results, and they make for impressive reading. A solid performance and impressive growth were two of the watchwords behind these excellent results.
The forex broker saw an impressive increase of total revenue which was up by 48% to the £31 million mark. This compares with the £21.4 million registered in 2019. The number of active clients was also up by 3% to10,354 while client’s assets hit an all time high, jumping by 57% to a whopping £225 million.
ETX Capital also showed considerable resilience during the Covid19 pandemic when it allowed most of its staff to work from home. This flexible remote working policy definitely reaped dividends.
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A Record Year For The Forex Broker Amidst Challenging Circumstances
According to the Companies House filing, most of ETX’s capital revenue came from a variety of sources. These were mainly rollover interests on funding, revenue from bid-ask spreads as well as impact of hedging. Further analysis of the filing indicates that income from spreads generated £23 million, or a whopping 68 percent of income or 77% of total revenue for the forex broker.
The filing also stated that these impressive results were chiefly driven by unprecedented volatility in Q1 and Q2, largely due to the Covid19 pandemic.
May 2021 also saw ETX Capital acquire all assets of UK-based fintech company Oval Money. This acquisition will allow ETX to offer a comprehensive suite of financial products and services to a much larger audience.
July 2021 also saw the forex broker acquire a license from the Financial Sector Conduct Authority in South Africa. This allows it to operate as a financial services provider in the country.
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Impressive Results For ETX Capital As It Continues To Eye International Expansion
Funding for the forex broker was up by 8% to the £8.9 million mark. The impact of hedging was significantly reduced by a sizeable 94% to just £0.2 million. ETX Capital also managed to generate additional revenue of £1.1 million from its corporate broking arm.
The forex broker reported a net profit of £428,000 for the financial year. This was achieved despite an increase of 9% in staff costs and cost of sales. It was a remarkable turnaround from the loss of £2.6 million registered in 2019.
When commenting on the results, ETX Capital CEO, Philip Adler was understandably upbeat about them.
“The year has been truly eventful, I am very pleased with our results and the team performance during COVID and we finished on a high with the acquisition of ETX Capital by Swiss-based private equity firm Guru Capital which helped set our new vision and initiatives.”
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