CFDs Trading Platform APM Capital Markets Reveals Dip In Revenue Following Acquisition
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APM Capital Markets has announced its financial report for the fiscal year ended 2023. The report was also accompanied by a report about the firm’s strategic plans for the future.
According to the firm, it recorded a decline in revenue and profit. APM Capital Markets reported that the decline was a result of restricting plans against the decision to sell the firm and other EU-based CFD market segments.
APM Recently Acquired The BUX Financial Services
According to the report, revenue fell from £1,523,424 in 2022 to £843,938 in the 2023 fiscal year. The firm also reported increased financial losses from £2,259,242 to £2,993,957.
The firm noted that the focus on growing the business was significantly limited during the period as it shifted to regulatory requirements and maintaining core operations. The decisions also negatively impacted the client base.
APM Capital Markets introduced cut-cutting measures to move customers from the existing trading ecosystem.
APM Capital had an acquisition agreement to buy BUX Financial Services, an Abu Dhabi-based company. The firm is planning to roll out a new trading platform and expand its customer base in the United Kingdom. However, the new business will be supported by Asseta Holding Limited and will operate under the APM Markets brand.
The acquisition came shortly after BUX’s Netherlands operations were sold to ABN AMRO. The UK unit of BUX is regulated by the Financial Conduct Authority (FCA). BUX offers financial spread betting and contracts for differences (CFDs). The acquisition of BUX financial services by APM Markets is a strong indication that the company wants to expand its operations in the UK.
APM Capital will also be expanding its CFD trading services as it plans to expand its customer base in the region.
APM Capital Incurred Higher Operating Losses
APM Capital has attributed its unfavorable financial performance to the change in focus and the recent acquisitions. The firm noted that its operating losses increased to £2,994,215 from £2,363,137. Its cost of sales also surged, moving to £3,085,522 from £2,239,965. While total equity fell to £1,433,747 from £3,227,704, its net assets also fell from £3,227,704 to £1,433,747.
However, the company stated that its financial position still remains positive, despite the setbacks in the fiscal year. AOM Capital Markets has stated that the company is going to continue building and expanding its businesses despite the recent financial loss. It hopes to start expanding its operations and gain more customers following the acquisition of the BUX trading service.
