IG Group's first half profits rose on growth in UK and Europe

14th Jan 2014 09:15

- Pre-tax profit up 17 per cent- Revenue boosted by growth in UK and Europe- Dividend in line with prior yearIG Group Holdings posted a 17 per cent rise in pre-tax profit of 95.1m pounds in the first half, driven by an increase in revenue and the impact of one-off operating costs in the prior year.Revenue in the six months to November 30th 2013 increased 8% to £182.7m as growth in the UK and Europe offset a decline in Australia.Australian turnover dropped 6% to £13.2m as the Australian dollar weakened during the period. UK revenue rose 7% to £93.4m as an 18% increase in average revenue per client mitigated a drop in the number of customers. European sales advanced 25% to £40.2m, boosted by a 20% increase in average revenue per client. "The performance in the first half was satisfactory, with revenue, profit and cash generation all well ahead of what was a particularly subdued prior half year," said Chief Executive Time Howkins. "Importantly, we continue to make good progress in executing on our strategy aimed at attracting and retaining active traders, broadening our offering and product set and developing the business globally. "I believe the investment over the next few years in a number of exciting and key long-term initiatives will help us to deliver good levels of growth into the future."The group recommended an interim dividend of 5.75p per share, flat on the previous year.Shares rose 1.52% to 636.50p at 09:39 on Tuesday.RD