Electronic trading major IG Group Holdings plc (LON:IGG) today issued a trading update ahead of its Annual General Meeting (AGM) at 10:00 BST.

IG’s strategy of broadening its product offering and accelerating customer acquisition continued to deliver in the first quarter of 2026, with elevated commodity market volatility driving higher activity among existing customers. Total revenue was £331.2 million in the first three months of 2026, up 19% year-on-year and 15% quarter-on-quarter. Net trading revenue of £306.5 million grew 25% year-on-year and 17% quarter-on-quarter.

Net interest income of £24.7 million declined 22% year-on-year and 7% quarter-on-quarter, as expected, reflecting lower interest rates and greater pass-through to customers.

First trades increased 63% year-on-year and 65% quarter-on-quarter, reflecting increased marketing spend and effectiveness, new product launches and supportive market conditions. This drove a 12% year-on-year increase in active customers, the fifth consecutive quarter of sequential growth, with blended payback on marketing spend remaining strong at under six months.

OTC derivatives net trading revenue increased 26% year-on-year and 22% quarter-on-quarter, supported by ongoing investment in the proposition, pricing optimisation and increased marketing activity.

Exchange traded derivatives net trading revenue, driven by tastytrade, increased 14% year-on-year in USD and 7% in GBP. Revenue was broadly stable quarter-on-quarter in USD, consistent with US retail options industry volumes.

Organic stock trading and investments net trading revenue grew 38% year-on-year, reflecting continued traction of IG’s zero-commission offering. Assets under administration (AuA) across IG’s organic platforms totalled £8.5 billion at 31 March 2026, up 23% year-on-year, rising to £9.3 billion at 30 April. UK AuA reached £3.7 billion at quarter end, up 26% year-on-year with net inflows annualising at over 19%, and exceeded £4.1 billion at 30 April. Internationally, stock trading launched in Singapore and France in late 2025. Active customers reached 3.2k and 4.6k respectively by April, with momentum accelerating into May.

Freetrade continued to broaden its proposition during the quarter, launching free mutual funds, SIPPs and, from 1 April, Junior ISAs. AuA reached £3.6 billion at 31 March 2026, up 54% year-on-year, and crossed £4.0 billion in April. Net flows were strong, annualising at 58% of opening AuA.

Total revenue of £6.5 million declined quarter-on-quarter as customers rotated into UK assets, funds and cash amid macro uncertainty, reducing FX fee income. This more than offset growth in interest income from higher customer cash balances.

The crypto proposition broadened materially during the quarter. Spot trading went live on IG’s FCA-licensed UK platform alongside crypto swaps, advanced charting and over 50 new coins. The completion of the Independent Reserve acquisition on 30 January 2026 enabled the launch of spot crypto to IG’s clients in Australia in March. Independent Reserve contributed revenue of £2.1 million for its two months of consolidation, reflecting softer market conditions across the crypto sector.

Total AuA across IG’s platforms reached £19.3 billion at 31 March 2026, up 57% on a reported basis and 20% organically. AuA grew further to £20.7 billion at 30 April 2026, supported by continued net inflows and a recovery in market levels.

IG has continued to trade well in the first seven weeks of Q2 2026, with underlying commercial momentum continuing to build. First trades remained strong and the organic active customer growth rate has accelerated beyond 12% year-on-year. Multi-product adoption is growing as the Group broadens its offering and OTC customer income retention has been strong in a mid-80s percent range.

Product velocity remains high. In Q2 2026 to date, Freetrade expanded its mutual fund range to over 1,000 funds from more than 47 managers. The Group has introduced crypto perpetual futures and added further coin listings in the UK, with crypto transfers going live imminently.

Spot crypto trading has launched in France and Singapore, the latter powered by Independent Reserve. An upgraded IG-branded stock trading proposition goes live in the UK later this month, bringing a broader range of global stocks and ETFs, fractional shares, mutual funds and fixed income. IG’s next-generation unified multi-product proposition launches over the summer, initially in the UK. In May, the Group launched its institutional white-label offering and onboarded its first partner.

Following a strong first quarter and a good start to the second quarter, the Board is upgrading its outlook for 2026. Organic total revenue, excluding Freetrade and Independent Reserve, is now expected to grow 10-15% year-on-year on the 2025 base of approximately £1,100 million, with EBITDA margins sustained in a mid-40s percent range. Net interest income is now expected at £110-120 million versus approximately £110 million previously, reflecting higher rate expectations.

The upgraded outlook reflects both favourable first-quarter market conditions and structural drivers the Board expects to carry forward. Marketing efficiency is accelerating active customer growth, multi-product adoption is strengthening, and customer income retention is trending higher. Taken together, these give the Board growing confidence that the Group can compound organic total revenue at least 10% per annum beyond 2026 on the 2025 base, with EBITDA margins sustained in a mid-40s percent range.

The Board is conducting a strategic review which is evaluating routes to maximise shareholder value, including, but not limited to, acquisitions to accelerate growth, IG’s domicile and listing venues to unlock capital and enhance strategic flexibility, and potential combinations of parts of the Group with other industry participants.

IG announced a new share buyback programme of £125 million on 19 March 2026 which will be completed in two tranches of up to £62.5 million each. The first tranche commenced on 1 April 2026 and is expected to complete by 30 September 2026, subject to share price performance and other demands on capital. As of 15 May 2026, 987,160 shares had been repurchased at a cost of £14.9 million.

The Annual General Meeting of IG Group Holdings plc will be held today at 10:00 BST at Cannon Bridge House, 25 Dowgate Hill, London, EC4R 2YA.