CMC Markets (CMCX)

Sector:

Financials

Index:

FTSE 250

302.50p
   
  • Change Today:
      2.50p
  • 52 Week High: 505.00p
  • 52 Week Low: 219.50p
  • Currency: UK Pounds
  • Shares Issued: 287.21m
  • Volume: 139,516
  • Market Cap: £868.82m

CMC Markets profits decline amid subdued market volatility

By Michele Maatouk

Date: Wednesday 17 Nov 2021

LONDON (ShareCast) - (Sharecast News) - Online trading platform CMC Markets reiterated its full-year guidance on Wednesday as it reported a decline in first-half profit amid subdued market volatility.
In the half year to 30 September, pre-tax profit fell to £36m from £141.1m in the same period a year ago, with net operating income down 45% to £126.7m. The interim dividend dropped 62% to 3.50p a share.

Leveraged net trading revenue declined 50% to £101m, as a fall in market volatility resulted in lower client trading activity. Client income retention for the period was 80%, broadly in line with target and CMC said it's expected to continue to recover through the rest of the year.

The company - which confirmed earlier this week that it is considering a possible separation of its leveraged and non-leveraged divisions - said that given the exceptional volatility seen in the prior period, all regions saw declines in revenue per active client.

Chief executive Lord Cruddas said: "I'm very pleased to see the business is operating well above pre-pandemic levels across all our business lines. This is testament to the resilience and quality of our platform and offering.

"We are on a fast track to diversification, using our existing platform technology to win B2B and B2C non-leveraged business. This will be further boosted with the launch of our new UK investment platform planned in the early part of the next financial year, which will offer both B2C and B2B potential.

"In line with this strategy, we believe it is right for us to evaluate the viability of separating the businesses in order to unlock the significant value within the current group structure. The board is expected to start this review before year end and complete it by June 2022. We will update on progress in due course."

CMC reiterated its guidance for FY 2022 net operating income of between £250m and £280m.

Email this article to a friend

or share it with one of these popular networks:


Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

 

CMC Markets Market Data

Currency UK Pounds
Share Price 302.50p
Change Today 2.50p
% Change 0.83 %
52 Week High 505.00p
52 Week Low 219.50p
Volume 139,516
Shares Issued 287.21m
Market Cap £868.82m

CMC Markets Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
21.24% above the market average21.24% above the market average21.24% above the market average21.24% above the market average21.24% above the market average
30% below the sector average30% below the sector average30% below the sector average30% below the sector average30% below the sector average
Price Trend
39.83% above the market average39.83% above the market average39.83% above the market average39.83% above the market average39.83% above the market average
31.39% above the sector average31.39% above the sector average31.39% above the sector average31.39% above the sector average31.39% above the sector average
Income
74.24% above the market average74.24% above the market average74.24% above the market average74.24% above the market average74.24% above the market average
34.21% above the sector average34.21% above the sector average34.21% above the sector average34.21% above the sector average34.21% above the sector average
Growth
98.05% above the market average98.05% above the market average98.05% above the market average98.05% above the market average98.05% above the market average
94.96% above the sector average94.96% above the sector average94.96% above the sector average94.96% above the sector average94.96% above the sector average

What The Brokers Say

Strong Buy 4
Buy 0
Neutral 1
Sell 0
Strong Sell 1
Total 6
buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

CMC Markets Dividends

  Latest Previous
  Interim Final
Ex-Div 25-Nov-21 05-Aug-21
Paid 20-Dec-21 09-Sep-21
Amount 3.50p 21.43p

Trades for 26-May-2022

Time Volume / Share Price
16:15 309 @ 302.50p
16:15 12 @ 302.50p
16:15 339 @ 302.00p
16:15 699 @ 302.00p
16:15 202 @ 302.00p

CMC Markets Key Personnel

CEO Peter Cruddas
CFO Euan Marshall

Top of Page