IG Group (IGG) H1 2025 earnings summary

Executive summary

• Revenue increased 11% year-over-year to £522.5m, driven by higher revenue per client amid supportive market conditions, while active client numbers remained flat.

• Adjusted profit before tax rose 30% to £266.8m, and adjusted EPS increased 42% to 55.3p, aided by cost control and share buybacks.

• The group is on track to meet FY25 consensus revenue and profit before tax expectations.

• Acquisition of Freetrade announced to strengthen the UK investment platform and extend market reach.

• Share buyback program extended by £50m to £200m, with £281m returned to shareholders in H1 FY25.

Financial highlights

• Net trading revenue grew 12% to £451.7m, with interest income stable at £70.8m as customer cash balances rose 7% to £3.8bn.

• Adjusted operating costs declined 1% to £277.4m, reflecting efficiency measures and lower bad debt charges.

• Adjusted PBT margin improved to 51.1% (H1 FY24: 43.5%).

• Statutory profit after tax: £188.0m (+42% YoY); basic EPS: 51.7p (+55% YoY).

• Cash generated from operations: £240.6m (H1 FY24: £70.9m); own funds at period end: £1,048.1m.

Outlook and guidance

• Confident in meeting FY25 consensus revenue and adjusted profit before tax expectations; current trading described as satisfactory.

• Net trading revenue expected to be broadly stable in H2 versus H1, with some pressure on net interest income as rates decline.

• Full year tax rate expected to be approximately 25%.

• Continued focus on product improvement, high-performance culture, and efficiency to drive sustainable growth.