IG Group (IGG) H2 2025 earnings summary

Executive summary

• Delivered strong revenue and earnings growth in FY25, supported by favorable market conditions, strategic execution, and product, culture, and efficiency initiatives.

• Decentralized structure and new executive hires accelerated product velocity, commercial performance, and accountability.

• Exited underperforming and legacy initiatives, reallocating resources to higher-growth areas and improving cost efficiency.

• Customer base expanded, with 44% now under 35 years old and organic active customers up 5% year-over-year.

Financial highlights

• Total revenue increased 9% year-over-year to £1,075.9m; trading revenue up 12% (11% organically), offsetting lower interest income.

• Adjusted profit before tax rose 17% to £535.8m, with a PBT margin of 49.8%.

• Adjusted EPS increased 26% to 114.1p, aided by share buybacks; share count reduced by 8%.

• Organic fixed cost to serve per customer declined 7% year-over-year; OTC customer income retention up 4 percentage points.

• Liquidity exceeded £1bn, bolstered by a £250m senior bond and lower broker margin requirements.

Outlook and guidance

• Confident in meeting FY26 market expectations for total revenue and cash EPS; current trading in line with forecasts.

• Total revenue expected to compound mid- to high-single digits organically per annum, accelerating in later years.

• PBT margins expected to moderate to mid-40s as Freetrade is integrated and marketing spend increases.

• Net interest income expected to reset lower in FY26 due to rate environment and higher pass-through, then grow modestly.

• Group effective tax rate expected at 24%; £125m buyback planned for H1 FY26.