In 2023, ParFX’s revenues declined by 14% to $4.8 million, while the operating profit dropped to $1.2 million. That resulted from the company’s declined client base.
ParFX Revenue and Net Profit Drop in 2023
ParFX’s 2023 report reveals that the platform’s revenue dropped by 14% to $4.8 million from $5.6 million the previous year. Also, the administrative costs rose to $3.5 million, causing a decrease in operating profit to $1.2 million from $2.1 million and a decline in net profit to less than $1 million.
The net profit decline is more than 80% compared to $1.7 million in 2022.
According to the report, the company’s directors are satisfied that it has sufficient resources to continue operating as a going concern up to at least 12 months from the date of the authorization of the financial statement issuance. They must prepare the statements on this basis.
A revenue breakdown by product group indicates that electronic brokerage services accounted for $3.3 (the extensive majority), while $1.3 was generated by API connection fees.
The wholesale electronic spot FX trading platform, ParFX, focuses on bringing transparency to the foreign exchange market worldwide. It was launched in 2013 by Tradition, one of the leading global interdealer brokers. ParFX’s CEOs are COO Roger Rutherford and Dan Marcus. The UK FCA-regulated company serves banks and non-bank institutions, including asset managers, corporations, hedge funds, and pension funds.
Other UK Firms Reports
Like ParFX, other UK-licensed financial firms reported their 2023 financial position. Equiti Capital UK was one of them, reporting a 30% decline despite increased revenue.
Equiti 2023 trading revenue was over $31 million, a modest rise from the $30.5 million the previous year. Even so, a profit and loss statement examination reveals higher operating expenses, leading to a decline in profit before tax to $1.5 million from $1.8 million. Consequently, the net profit dropped by 30% to $1.1 million from $1.6 million in 2022.
Sucden Financial’s profit increased by 30% in 2023. The London-based entity reported £23.9 million profit before taxation from £18.4 million the previous year. Its net assets rose from £160.7 million to £168.5 million in 2022.
Fintech Giant Revolut also presented its 2023 financial statements in July. The report indicated a 95% revenue increase and a £344 million profit, a significant turnaround from the 2022 loss of £25.4 million.
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