LandFX UK reports a 240% increase in pre-tax profits for 2022

LandFX UK, a subsidiary of LandFX Group, recently released its financial results for the past year. The FCA-regulated company reported a major increase in its pre-tax revenue, stating that its profits rose by 243% last year. The figure skyrocketed from £13,546 in 2021 to £46,516 in 2022.

Details from the LandFX UK financial report

The broker’s report says that there was a 15% increase in revenue for this period, which went from £711,544 in 2021 to £823,595 in 2022. The company’s revenue mostly comes from charging commissions on CFD and forex trading, largely based on the volumes of trades the platform sees. In other words, the more CFD and forex trading take place on its platform, the more the company gets to earn.

Such a massive boost in profits indicates that the platform itself has seen a lot more activity last year, compared to 2021.

Of course, the revenue increase was also followed by an increase in the company’s administrative expenses. According to the report, expenses went up by 8%, going from £683,224 to £740,160. The company also reported that the cost of the sale went up by 146%, surging from £13,943 to £34,427.

The broker noted that its operating profit in 2022 increased as well, going up by 240% year-over-year. The 2021 report had placed it at £14,377, while the one for 2022 said that it climbed up to £49,008.

Apart from the operating profits and revenue boost, the private firm also expanded its balance sheet. It is worth noting that, being a private company, it is limited by shares and incorporated in England and Wales. However, it reported a surge in net assets, which went up by 10%. According to the new report, the increase took its net assets from £425,017 to £471,533.

LandFX UK continues its expansion into new markets

LandFX UK Limited received its license from the FCA back in 2016. The company now offers institutional liquidity for contracts for difference (CFDs) and forex. According to the platform, CFDs on offer include a wide range of options, from spot oils and spot metals to commodities, indices, and more.

LandFX UK’s last filing with the Financial Conduct Authority stated that the firm was planning to continue its expansion into different markets, targeting both European and non-European ones. The expansion was pushed through online and offline marketing campaigns alike.

Before that, in 2017, the company teamed up with some top-tier banks and multiple non-banking liquidity providers. It started getting access to feeds from a number of entities, such as JPMorgan, Morgan Stanley, Citi, Goldman Sachs, and Barclays, among many others.

Its main focus right now is on enhancing the quality of execution, spreads, transparency of executions, global locations, and more.