Monex Group, a Japan-based financial services company, released its results for the first quarter of the fiscal year 2023 today. While the company’s revenues saw solid growth despite a challenging global environment, its profitability took a major hit during the recent quarter.
Revenues climbed to JPY 17.698 billion in the first quarter of the fiscal year 2023 amid strong growth in FX and Mutual Fund businesses across Japan. Additionally, Monex highlighted decent performance across the company’s NFT business.
According to the details shared by the Japanese financial giant, the consolidated pre-tax income for Q1 FY23 came in at JPY 1.1 billion, which is down by nearly 90% compared to the same period last year.
“In the US, while net financial income grew following fed fund rate increases, segment loss was ¥2.0B due to marketing investments. Segment loss remained flat on a US dollar basis, while increased on a yen basis QoQ. In crypto, NFT-related revenues grew despite a slower crypto market. Reduction in advertising expenses resulted in segment profit of ¥0.4B,” Monex Group noted.
In the first quarter of the fiscal year 2022, Monex posted a sharp surge in profits as its crypto business saw exceptional growth.
TradeStation
In its recent report, Monex Group announced the termination of the agreement between TradeStation Group and Quantum Fintech. Monex mentioned that TradeStation is shifting to a growth strategy that is more focused on profitability.
“TradeStation Group notified Quantum FinTech on August 2, 2022, that it was terminating the business combination agreement effective immediately. TradeStation Group’s decision not to continue to pursue the merger to become a public company was based on several factors, including current conditions in the economy and markets that are not anticipated to improve in the near future. Quantum FinTech has claimed that TradeStation Group did not have the right to terminate the Agreement, but we believe this claim has no basis or merit,” Monex added.
