The profit before tax of the UK branch of forex and CFDs provider, Pepperstone, skyrocketed 128% to £4.6 million at the end of the fiscal year 2022 that ended on June 30th. However, the profit came in lower compared to the £7.7 million the broker generated in 2020.

The newly-released annual report of the broker, which was filed with UK Companies House, shows that the firm grew its trading revenue by 36% to £10.7 million during the last financial year. However, while the number shot up from £7.9 million in 2021, it also failed to break above the broker’s revenue of £12.7 million in 2020.

Regardless, the UK subsidiary of the Australia-based brokerage firm doubled the balance of clients’ funds held within segregated accounts on its platform. The balance surged 100% from £14.4 million to £28.9 million in 2022.

Pepperstone UK Defends Performance

In the annual report, Pepperstone UK explained that it earned its revenue from commissions, swaps and spreads against CFDs and spread bets. Moreover, the broker noted that its growth “is evident in the revenue earned and number of client trends since the Company started operating in 2017.”

Defending its latest performance relative to the fiscal year 2020, Pepperstone UK pointed out that the brokerage firm in 2020 had other European clients under its care. In addition, the broker said market volatility triggered by the COVID-19 pandemic two years ago helped the company to produce “an exceptional revenue and profit before tax.”

“The European clients now trade with other regulated Pepperstone entities, namely Pepperstone EU Limited regulated by the Cyprus Securities and Exchange Commission (CySEC) in Cyprus, and Pepperstone GMBH regulated by the Federal Financial Supervisory Authority in Germany (BaFin),” the brokerage explained.

Pepperstone Expands Products and Deals

During the last fiscal year, Pepperstone UK added to its platform over 150 new products across asset classes, such as shares, cryptocurrencies and exchange-traded funds, bringing the total to over 1200. In 2022, the broker partnered with TradingView, a US-based charting and social trading network, and Capitalize.ai, a trading automation provider.

Meanwhile, the Australia-based parent company of the brokerage firm in recent months doubled down on its presence in the sports industry through new partnerships with the Geelong Cats and the Adelaide Strikers.