CMC Markets releases Q1 2024 trading update

CMC Markets Plc ("CMC" or the “Group”), a leading global provider of online (“D2C”) trading and (“B2B”) platform technology, today issues a trading update for the period from 1 April 2023 to 30 June 2023 (“Q1 2024”).

Q1 performance as expected; Net operating income tracking at a similar run rate to last year.

Q1 2024 trading update

Consistent with the Group's expectations announced on 13 June, quiet market conditions in the first quarter have resulted in a decline in client trading and investing activity of 15-20% year on year.  These conditions have continued into the start of Q2, however weaker client activity has been offset by stronger interest income, resulting in overall net operating income tracking at a similar run rate to the same period last year. Underlying KPIs including client money, assets under management, and active clients across both the trading and investing businesses remain robust.

The Group continues to focus on delivering a strong business performance for its financial year ending 31 March 2024, with investment plans and operating expenses excluding variable remuneration expected to be in line with prior guidance.

Progress towards new business growth across all platforms and geographies continues as expected. Over the next six months the Group is on track to launch cash equities for institutional clients, and OTC options and listed futures across our various platforms which will allow our clients better opportunities to trade and hedge existing portfolio positions. Invest UK will be launching SIPPs and mutual funds, whilst Invest Singapore will initially offer equities, and ETFs.

The H1 2024 pre-close trading update is due to be released on 5 October 2023.