One company which appears to have weathered the ESMA storm rather well is Tickmill. The company shared with Finance Magnates that it ended 2018 by posting significant growth across all key financial metrics.
Consolidated net profits in 2018 stood at $19.67 million, a figure which is higher by 33 percent when compared to 2017. Tickmill Group’s net trading revenue came in at $45.13 million, amounting to a 16 percent increase when compared to the previous year.
Furthermore, yearly trading volumes stood at $1.37 trillion posting a sharp increase of 84 percent when compared to the previous year. The company handily beat its own estimates between $1.2 and 1.3 trillion.
Key Drivers for Growth
Illimar Mattus, CFO of Tickmill
Commenting to Finance Magnates, the CFO of Tickmill Group, Illimar Mattus shared that Tickmill has been engaged in cost-cutting over the past two years. Operational costs have been the primary focus of the effort, but the firm also saved due to an increasing level of automation and overall efficiencies in terms of how the company is generating revenues.
“In light of the stricter regulatory environment, we will maintain this conservative approach in regards to our costs while also trying to execute on plans to increase our revenues,” Mattus explained.
This year the company will continue to be focused on continuing its expansion in the FX and CFD business with the biggest growth areas in terms of geography across Europe, the MENA region, Asia Pacific and South America.
“In terms of product offerings, we look into possibilities of adding in the near future extra products and platforms to diversify our revenue streams going forward. In 3-5 years from now, we see Tickmill as a diversified financial services company with balanced revenue streams where the brokerage business makes up just one part of total revenues,” Mattus elaborated on the firm’s plans.
Looking for Acquisition Opportunities in 2019
Tickmill also outlines that with its net capital base of $40.7 million as of the end of 2018, the firm is well positioned to grow its business. The company stated that it is looking for attractive acquisition opportunities to further increase its geographic reach and market share.
In the first quarter of 2019 Tickmill reports having onboarded a record number of new clients, fueled by its strong Introducing Broker network. Meanwhile, despite low market Volatility during the first quarter, the company’s net trading revenue was $12.94 million, up 8.8 percent when compared to Q1 2018.
In the year ahead, Tickmill projects to reach a full-year trading volume of $1.4 - $1.5 trillion.
Commenting on the results, the Group COO, Ingmar Mattus, said: “We remain on track for achieving our strategic objectives aiming to become a stronger, more agile and competitive organization capable of delivering sophisticated products and high-quality service to our global client base.”
