Compagnie Financière Tradition registers decline in revenues in H1 2021
Compagnie Financière Tradition today reported consolidated revenue of CHF 452.0m for the first semester 2021 compared with CHF 512.8m in same period in 2020, down 11.9% at current exchange rates. At constant exchange rates, consolidated revenue presented a decrease of 9.9%.
For the same period, the Group’s consolidated adjusted revenue was CHF 491.0m compared with CHF 558.0m in 2020, a decrease of 9.9% at constant exchange rates. The adjusted revenue from interdealer broking business (IDB) was down 9.8% at constant exchange rates while the Forex trading business for retail investors in Japan (Non-IDB) presented a decrease of 13.8%.
In the second quarter, consolidated revenue was CHF 213.3m compared with CHF 235.5m in the second quarter of 2020, representing a decrease of 9.0% at constant exchange rates. The Group’s consolidated adjusted revenue was CHF 231.8m against CHF 254.5m in 2020, down 8.4% at constant exchange rates with IDB down 8.6% and Non-IDB down 2.4%.
The activity of the first semester 2021 should be put into perspective with the exceptional volume of activity in the same period last year, particularly in March and to a lesser extent in April. Indeed, the gradual health crisis resulting from COVID-19 had caused a very high volatility in the financial markets positively impacting the Group’s revenue. Thus, the context of normalization of activities that we experience with the decrease in the Group’s revenue will have a negative impact on the expected half-year results which should notably return to the level of the first semester 2019.
Finally, the level of activity for the month of July shows a slight increase compared to the same period last year.
Let’s recall that, for 2020, the Group’s adjusted consolidated revenue amounted to CHF 981.2 million in 2020 compared with CHF 1,012.4 million in 2019. The result, however, increased by 2.4% at constant exchange rates with the interdealer broking business (IDB) up 2.6% at constant exchange rates to CHF 946.8 million while the Forex trading business for retail investors in Japan (Non-IDB) was down 3.0% to CHF 34.4 million.