BidFX Systems, a Singapore Exchange (SGX) owned cloud-based electronic forex trading solutions provider, published its results for the financial year ending on 30 June 2022, reporting a jump in business turnover. However, the profits for the period dropped.

BidFX Ends FY22 in Profits

According to the Companies House filing, BidFX generated more than $34.4 million, which is a yearly jump of almost 17.4 percent, from its UK operations and branches in Italy, Hong Kong, and Australia.

However, the operating profit of the UK company dropped to $2.3 million from $3.5 million, primarily because of a significant jump in administrative fees, which was $32.6 million in the last fiscal year compared to $26.4 million in the previous year.

Considering the received interest, BidFX turned a pre-tax profit of $2.35 million, which was a year-over-year decline of 34 percent. The company closed the year with a net profit of $2.1 million, which was down from $2.9 million in the previous year.

“The company has delivered pre-tax profits mainly due to the strong revenue growth performance. The strong revenue performance was driven from the successful client acquisition strategy with over 100 of the world’s largest banks, hedge funds, and asset managers currently connected to the platform,” the Companies House filing stated. “The company continues to diversify its customer base from different business types and new geographies.”

The company strengthened its balance sheet as the net assets jumped to $30.6 million from $28.4 million.

SGX’s Strengthened Position in the FX Market

SGX acquired an 80 percent stake in BidFX in mid-2020, adding to its existing 20 percent stake. Thus, the exchange became the full owner of the forex trading technology company. Apart from BidFX, SGX’s portfolio includes an off-the-shelf forex trading solution, MaxxTrader.

Meanwhile, the SGX reported an adjusted net profit of S$456.4 million for the fiscal year of 2022. Over-the-counter forex trading revenue, which came in 47 percent higher at S$58.4 million, contributed 5 percent of the group’s total revenue.