StoneX Reports Robust Q1 FX and CFD Earnings

Operating revenue from StoneX Group’s (Nasdaq: SNEX) forex and CFDs units hit $74.6 million in Q1 of fiscal year 2024. This marks a 53 percent surge from last year but a 6.1 percent fall from the previous quarter.

Retail Trading Drives Earnings Surge

StoneX saw $66.6 million in revenue from retail FX and CFDs sales from October to December, a jump of 68 percent year-over-year. In contrast, revenue from retail physical securities trading plummeted 87 percent to $0.8 million.

On Tuesday, the company’s published quarterly report disclosed a $10.9 billion ADV in FX/CFDs, down 15 percent annually. Yet, revenue per million soared 73 percent, reaching $109.

StoneX Expands Retail Forex Services

StoneX operates as an established financial firm in six core sectors, including commercial hedging and global payments. With the acquisition of GAIN Capital in 2020 for $236 million, it fortified its retail FX and CFDs market position, incorporating Forex.com and City Index into its offerings.

The conglomerate reported a 50 percent boost in total quarterly revenue at $19.5 billion, with net operating revenue of $421.6 million, up by 10 percent. Nevertheless, net income saw a 10 percent decline, resulting in a 12 percent dip in basic and diluted earnings per share at $2.2 and $2.13.

Sean O’Connor, the CEO of StoneX, emphasized the strong beginning for fiscal 2024. O’Connor highlighted that despite the complex market, their client engagement and increased earnings on client float led to what he believes are outstanding returns for shareholders.