Despite a significant increase in revenues, rising operating costs in 2022 contributed to a significant net loss for Trading Point of Financial Instruments UK Limited (Trading Point), the operator of popular brokerage brands such as XM and Trading.com. The company reported a net loss of £1.09 million last year.
Trading Point is a FCA-licensed firm that manages popular brands in the retail investment market. According to a recent report published by the UK's Companies House, the firm's revenues increased by more than £300,000, from £705,077 reported in 2021 to £1,054,038 last year.
During 2022, the company's operating expenses also increased, from £1.8 million to £2.27 million. This led to the net loss totaling £1.09 million. Somewhat reassuringly, the loss for 2021 was even greater at £1.17 million. Trading Point's report further shows that the firm's total assets dropped significantly from £2.6 million to £1.6 million over the year, and its total equity fell from £2.4 million to £1.3 million.
It should also be noted that the majority of the company's operations are carried out by an entity registered in Cyprus, Trading Point of Financial Instruments Ltd. The above financials relate only to the UK-based entity.
As reported earlier, FxPro UK also failed to turn a profit in 2022 despite an increase in revenue.
(Source: Finance Magnates)