Cornerstone FS reports a 110% increase in revenues to £4.8 million

Cornerstone FS Plc, one of the largest foreign exchange and payments companies, has published its financial results for the fiscal year ending December 31, 2022. The results show that the company had significant revenue growth, with the metric increasing by 110% to £4.8 million.

Cornerstone FS reports a 110% growth in 2022 revenue

The revenues reported during the fiscal year increased from the £2.3 million reported during the previous year. The increase can be attributed to an increase in revenue from directly served clients, which accounts for 78% of the total revenue.

The CEO of Cornerstone, James Hickman, commented on the development saying, “During 2022, Cornerstone continued to deliver on its strategy, improved operationally and achieved a strong financial performance with revenues more than doubling and an increase in gross margin.”

Hickman said that the growth was attributed to two acquisitions that happened during the year. The growth was also supported by the company’s transition to being a platform that serves its customers directly.

The revenue by the company was generated from the foreign exchange and payment services offered by the company, with the main focus being on the spot and forward transactions. The majority of transactions were handled using several combinations of Euros, Sterling, and US dollars.

The revenue growth came from the corporate accounts and the high-net-worth individuals. The proportion of total revenues coming from the high net worth individuals increased from 25% in 2021 to 53% in 2022. The group has also processed payments of £584 million during the year, which is an increase from £363 million in 2021.

The operating expenses reported by the company for 2022 reached £8.6 million, which is an increase from the £5.4 million reported during the previous year. The increase can be attributed to a £1.9 million rise in share-based compensation.

Cornerstone is optimistic about 2023

The positive trading momentum seen in 2022 has been carried forward to the current year, with a larger increase being seen in Q1 2023. Cornerstone also had its first unaudited quarter of having a positive EBITDA on an adjusted basis.

During the second quarter, the trading activities on the platform have returned to the originally projected growth levels and not the massive growth levels seen before. The group is also in track for a higher revenue growth for the 2023 financial year compared to last year.

The company is also hoping to attain a positive EBITDA as it continues to make advances in its business. Cornerstone is also leveraging the improvements across operations and strategy implanted in late 2022 and in 2023.

Cornerstone will continue expanding its partnership network and grow its offerings. The board has also said that it was confident of the future outlook and was looking forward to participating in the progress of the company.

Hickman has also said that the positive trading momentum seen in 2022 was sustained in 2023, and the company was still on track for significant growth in revenue this year. The firm is also optimistic about the adjusted EBITDA positivity.