CMC Markets Issues Trading Update, Achieving Stable Net Operating Income

CMC Markets today issues a trading update for the period from 1 April 2022 to 27th July 2022, saying that its net operating income for the group year-to-date is in-line with levels seen in the same period in FY 2022.

The London-headquartered broker adds that its active monthly trading client numbers and client assets under administration across both the leveraged and non-leveraged Australian stock broking businesses remain robust.  

In addition, the broker elaborates that it continues to focus on delivering a strong business performance for its financial year ending 31 March 2023. Nevertheless, the cost environment remains challenging, and the group now expects operating costs to be in the order of 5% above guidance provided at the time of the FY 2022 results. 

Higher operating costs are the result of a combination of higher personnel and non-personnel costs including higher professional fees and software costs associated with expansion projects, as well as the impact of the weaker GBP (British Pound).

CMC Markets mentions that progress towards new business growth across all platforms and geographies continues as planned and all expansion initiatives are on track.