Compagnie Financière Tradition (SWX: CFT), an inter-dealer broker and Japanese retail forex trading platform operator, boosted its revenues for the first three months of 2024 on a constant currency basis but saw a decline when viewed on a current exchange rate basis. .
Another quarter ends
According to official figures released today (Thursday), the group company's reported IFRS revenues between January and March amounted to 265.6 million Swiss francs, compared to 271.6 million Swiss francs in the corresponding period of the previous year. When the joint venture share was included, the group's quarterly revenue rose to 283.8 million Swiss francs, compared to 290.5 million Swiss francs in the previous year.
IFRS and consolidated revenues improved by 4.6 percent on a constant exchange rate basis. However, looking at current exchange rates, they have decreased by 2.2% and 2.3% respectively.
She noted that revenues increased by 9 percent at constant exchange rates at the end of April compared to the same period in 2023.
Impact of foreign currency risks
“Consolidated revenues for the quarter were impacted by the number of business days compared to the first quarter of 2023, particularly due to the Easter holiday, with a carryover to April coupled with a strong uptick in activity,” the company stated.
“Consolidated revenues continued to be affected by the currency impact compared to the first quarter of 2023 due to the strengthening of the Swiss franc, particularly against hard currency.” Japanese Yen“.
Compagnie Financière Tradition is headquartered and listed in Switzerland and operates a brokerage venue between agents. It also runs Gaitame, one of the leading forex brokers in Japan.
The company generated CHF 276.8 million in the first three months of 2024 from its inter-dealer brokerage business. Although on a variable exchange rate basis it decreased by 2 percent, the figure improved by 4.7 percent on a fixed exchange rate basis.
From its offerings to retail investors in Japan through Gaitame, a non-interface broker, the group company generated CHF 7 million, down from CHF 8.2 million the previous year.
As Finance Magnates previously reported, the company ended 2023 with pre-tax profits of CHF 127.2 million, a 16.1 percent jump, achieved on its annual IFRS revenue of CHF 982.4 million. Its net profit amounted to 94.4 million Swiss francs, or 15.9 percent higher.
In another recent move, the Swiss group has appointed Michel Everett, an industry veteran with three decades of experience, as global head of e-commerce and digitalisation.
This article was written by Arnab Shomi at www.financemagnates.com.