Virtu Financial Posts 7.7% YoY Growth in Total Revenue for Q4

The leading global market maker Virtu Financial published its financial results for the full year and the fourth quarter ended December 31, 2023 (Q4 2023), indicating that while there was a yearly growth of 7.7% in Q4, the total revenue experienced a yearly decline of 3.0% for the full year.

Financial Overview for Q4 2023:

• Revenues totaled $535.98 million for the quarter, increasing 7.7% compared to $497.77 million in Q4 2022.

• Net income amounted to $6.7 million, tumbling 83.1% from $39.64 million in the prior Q4. Normalized adjusted net income, removing one-time and non-cash items, was $44.06 million, 31.3% lower than $64.13 million in Q4 2022.

• Net trading income came in at $266.58 million during the period, down 14.9% on a year-on-year basis (YoY) (Q4 2022: $313.28 million), while the adjusted net trading income was $260.91 million, down 4.8% YoY (Q4 2022: $274.08 million).

• Basic and diluted earnings per share (EPS) in Q4 2023 stood at $0.05, a significant decrease of 81.5% compared to $0.27 per share in the same period of 2022.

• Adjusted EBITDA dropped 21.1% from $125.41 million in Q4 2022 to $98.99 million in Q4 2023. The adjusted EBITDA margin was 37.9%, compared to 45.8% in the year-ago quarter.

Financial Overview for Full Year 2023:

• Revenue totaled $2,293.37 million for the year, a decrease of 3.0% compared to $2,364.81 million in 2022.

• Net income came in at $263.92 million, tumbling 43.6% from $468.33 million in the prior year. Normalized adjusted net income, removing one-time and non-cash items, was $308.08 million, dropping 42.1% compared to $532.54 million in 2022.

• Net trading income for 2023 dropped 20.1% from $1,628.90 million in 2022 to $1,301.34 million, while the adjusted net trading income dropped 17.5% from $1,467.64 million to $1,210.68 million on a YoY basis.

• Basic and diluted EPS stood at $1.42 in 2023, compared to the basic EPS of $2.45 per share and the diluted EPS of $2.44 per share in 2022.

• Adjusted EBITDA was $567.97 million, down 33.9% compared to $859.12 million in the previous year. The adjusted EBITDA margin was 46.9%, compared to 58.5% in 2022.