Final results for the year ended 31 March 2021

• Net operating income up 63% to £409.8 million

• Record performance, with continued investment in technology supporting sustainable growth

Notes:

• CFD gross client income represents spreads, financing and commissions charged to clients (client transaction costs)

• CFD net trading revenue represents CFD and spread bet gross client income net of rebates, levies and risk management gains or losses

• CFD and stockbroking active clients represent those individual clients who have traded with or held a CFD or spread bet position with CMC Markets or traded on the stockbroking platform on at least one occasion during the twelve-month period

• CFD revenue per active client represents total trading revenue from CFD and spread bet active clients after deducting rebates and levies

Highlights

• Net operating income increased to £409.8 million, up £157.8 million (63%).

• CFD revenue per active client up 22% to £4,560, driven by improved CFD client income retention.

• CFD active clients increased by 19,389 (34%) driven by our ongoing focus on high value, sophisticated, experienced global clients, and increased levels of interest in the financial markets from a new wave of clients.

• Stockbroking net trading revenue up 72% to £54.8m driven by higher client numbers (up 28%) and the increasing appeal of the international shares offering.

• Continued to offer clients highly resilient and performant platforms, which allowed clients to trade, and new clients to onboard, throughout periods of extremely high trading volumes and market volatility.

• Investment continued in proprietary technology platforms to diversify the offering, with new Dynamic Trading and Spot FX offerings launched in May and June 2021 respectively, along with a native mobile app for Stockbroking in March 2021.

• Operating expenses increased by 22% to £184.0 million, predominantly due to higher personnel costs as a result of recruitment to support ongoing strategic initiatives, increased marketing costs to capitalise on market opportunities, and trading related variable costs.

• Profit before tax up 127% to £224.0 million (2020: £98.7 million).

• Regulatory total capital ratio of 20.5% and net available liquidity of £210.6 million

Outlook and dividend

• The Group believes that existing active client levels are likely to be sustainable as the characteristics of clients onboarded during the year are comparable to our current high value client base, with longevity and trading activity at similar levels to prior cohorts.

• The monthly active client base has remained strong at the start of 2022 representing ongoing trading appetite, however client trading activity has moderated from prior elevated levels. Nevertheless, the Group continues to have confidence in the robust underlying performance of the business and in conjunction with further progress on its strategic initiatives, looks forward to continuing to generate long term business growth and value. As a result, the Board remains confident in achieving net operating income in excess of £330 million for 2022.

• The Group’s significant investment in technology development, including the build of a non-leveraged trading platform for UK clients, is expected to lead to a moderate increase in operating costs in the coming financial year.

• Final dividend of 21.43 pence per share (total dividend of 30.63 pence per share), in line with the dividend policy. The Board remains committed to paying a total dividend of 50% of profit after tax, balancing investing in long-term success and providing shareholders with superior returns.

Analyst and investor presentation

A presentation will be held for equity analysts and investors today at 10.00 a.m. (BST), note questions will only be taken over the conference call line.

A live audio webcast of the presentation will be available via the following link: https://webcasts.cmcmarkets.com/results/2021fullyear

Alternatively, you can dial into the presentation by registering via the following link: https://webcasts.cmcmarkets.com/results/2021fullyear/vip_connect

Annual Report and Financial Statements

A copy of the CMC Markets plc (the “Company”) Annual Report and Financial Statements for the year ending 31 March 2021 (the “2021 Annual Report and Financial Statements”) is available within the Investor Relations section of the Company website http://www.cmcmarkets.com/group/results/annual-reports

Pursuant to Listing Rule 9.6.1 the Company has submitted the 2021 Annual Report and Financial Statements to the National Storage Mechanism and will shortly be available for inspection at: https://data.fca.org.uk/#/nsm/nationalstoragemechanism

In compliance with The Disclosure and Transparency Rules (DTR) 6.3.5, the information in the document below is extracted from the Company’s 2021 Annual Report and Financial Statements. This material is not a substitute for reading the 2021 Annual Report and Financial Statements in full and any page numbers and cross references in the extracted information below refer to page numbers and cross-references in the 2021 Annual Report and Financial Statements.

Forthcoming announcement dates