Valutrades Posts Loss in 2021 despite Revenue Increase


FCA-regulated Valutrades Limited published its financials for fiscal 2021, ending on December 31, reporting a staggering loss despite an 11 percent increase in annual revenue.

As seen in the Companies House filing, the forex and CFDs broker closed the year with total revenue of £4.41 million, increasing from £3.99 million in the previous year. It has been witnessing an increase in revenue since a decline in number in 2018 by the introduction of ESMA regulations.

However, the broker’s sales cost increased significantly to £2.2 million from merely £820,813, pushing the gross profit to £2.19 million, which is a decline of more than 30 percent. Its administrative costs of the UK operations also jumped, resting in an operating loss of £443,575, compared to a profit of £865,155 in the previous year.

Staggering Loss

After considering interest, the broker ended the year with a pre-tax loss of £443,263. It turned a profit of £884,266 in the previous year. The net loss, after considering taxes, came in at £471,549, against a total profit of £1.16 million in 2021.

On the positive side, the amount in retail client funds held by the company jumped by 7 percent last year, to £4.53 million from £2.57 million.

“The start to 2022 has been another positive start for Valuetrades with the trends of inflation and interest rate uncertainty as well as global turmoil causing increased volatility in financial markets that has a net positive effect on client volume and commission incomes,” the Companies House filing added.

“Valuetrades continued its plan to reinvest profits in the business to increase reputation and market share, and this plan continues to perform well with record new customer acquisition and volumes through 2021 and the beginning of 2022.”

FCA-regulated Valutrades Limited published its financials for fiscal 2021, ending on December 31, reporting a staggering loss despite an 11 percent increase in annual revenue.

As seen in the Companies House filing, the forex and CFDs broker closed the year with total revenue of £4.41 million, increasing from £3.99 million in the previous year. It has been witnessing an increase in revenue since a decline in number in 2018 by the introduction of ESMA regulations.

However, the broker’s sales cost increased significantly to £2.2 million from merely £820,813, pushing the gross profit to £2.19 million, which is a decline of more than 30 percent. Its administrative costs of the UK operations also jumped, resting in an operating loss of £443,575, compared to a profit of £865,155 in the previous year.

Staggering Loss

After considering interest, the broker ended the year with a pre-tax loss of £443,263. It turned a profit of £884,266 in the previous year. The net loss, after considering taxes, came in at £471,549, against a total profit of £1.16 million in 2021.

On the positive side, the amount in retail client funds held by the company jumped by 7 percent last year, to £4.53 million from £2.57 million.

“The start to 2022 has been another positive start for Valuetrades with the trends of inflation and interest rate uncertainty as well as global turmoil causing increased volatility in financial markets that has a net positive effect on client volume and commission incomes,” the Companies House filing added.

“Valuetrades continued its plan to reinvest profits in the business to increase reputation and market share, and this plan continues to perform well with record new customer acquisition and volumes through 2021 and the beginning of 2022.”



Source link

Related articles

Apple will launch watchOS 26 on September fifteenth

In the event you’ve been hoping for a quicker method to dismiss calls and alarms in your Apple Watch, you’ll quickly be capable to improve to watchOS 26 and make the most of...

US Approves First Dogecoin ETF (DOJE) Below 1940 Act

The USA’ first memecoin exchange-traded fund (ETF) is ready to debut on Thursday, marking the newest step within the enlargement of regulated crypto merchandise after the profitable rollout of Bitcoin and Ether funds...

HFM Celebrates 15 Years of Empowering Merchants By means of Training and Belief

HFM, a globally recognised and multi-award-winning dealer, proudly marks its fifteenth anniversary, celebrating a journey outlined by belief, transparency, and a powerful dedication to dealer training.Based in 2010 by a gaggle of 4...

Kongsberg to deploy AI-powered digital twin for Oman E&P

Kongsberg Digital has entered a strategic partnership with Petroleum Improvement Oman (PDO) to ship an enterprise AI-powered digital twin. The settlement marks a major step in driving worth creation by shut collaboration and...

The most effective SSDs in 2025

A quick, dependable SSD could make an enormous distinction to how your pc feels everyday. From faster boot instances to near-instant file transfers, solid-state drives outpace conventional onerous drives in nearly each manner....
spot_img

Latest articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

WP2Social Auto Publish Powered By : XYZScripts.com