IG Group third quarter revenue up 18%

Online spreadbetting and financial trading firm IG Group Holdings posted an 18% rise in third-quarter revenue and said it was entering the fourth quarter in a strong position.

In a trading update for the three months to 29 February, IG said total revenue rose to a record £122m from £103.6m in 2015. IG said this was driven by growth in both active client numbers and average revenue per client.

In the UK & Ireland – the group’s largest market – revenue was up 13% to £62.7m, while Europe saw a 24% jump to £25.7m and Rest of the World revenue increased 31% to £16.3m.

IG said a constant flow of macro-economic news created reasonable levels of volatility in financial markets, providing clients with a wide range of trading opportunities.

Total active clients rose 11%, while UK & Ireland active clients were up 6.1% thanks to a conducive market backdrop and ongoing improvements to the group’s online marketing capability.

“It is impossible to predict the market conditions for the rest of this year, but IG enters the fourth quarter in a strong position, with good execution across the business and healthy new client inflow.

“Although operating costs continue to run in line with guidance, discretionary remuneration and online marketing spend will flex around the performance in the fourth quarter and the ultimate full year revenue outturn.”