OANDA Europe's FY22 Turnover Remains Flat with Net Profit Up

OANDA Europe, the UK subsidiary of the wider brokerage group OANDA, ended its 2022 fiscal year with a turnover of £16.8 million, which is similar to the previous fiscal year's figure. On the other hand, the company's net profit grew by about 59% to £558,492.

“The company achieved similar performance due to a combination of higher volatility, which had a positive impact on revenues, and a reduction in active clients, which led to [a] lower volume of transactions,” the Companies House filing of the firm stated.

Indeed, following Brexit, OANDA reorganized its European operations. It established a European base in Poland and transferred clients from the entity in Malta to Poland.

While OANDA's UK business remained flat last year, it saw a sharp decline from its pandemic-induced peak, when its revenues jumped 148% to £29.2 million in 2020. Despite the drop, the latest figure is still higher than the pre-pandemic levels in 2019, when the broker generated £11.8 million in revenue.

In addition, profits over the past two years have fallen sharply from a peak of £4.2 million in 2020.

The latest FY22 income statement shows that OANDA Europe ended the year with an operating profit of £486,734 compared to £474,824 in the prior year. With the addition of a one-off income from a legal settlement, the company's pre-tax profit amounted to £704,581.

“OEL's performance in 2022 was ahead of pre-pandemic levels as the company continues to invest in marketing, customer services, and relationship management,” the filing added. Last year, the company mainly focused on High Volume Credit clients, expanding its product offering, controlling costs, and developing its active client base in the UK.

In addition to traditional services, OANDA is focused on providing access to trending and emerging assets such as cryptocurrencies. Earlier this year, OANDA Global Corporation acquired a majority stake in Coinpass Limited, an FCA-regulated crypto asset firm that is expanding its offerings to professional traders and businesses.

(Source: Finance Magnates)