Edition:
India

IG Group unveils strategy update, new revenue targets


Wednesday, 22 May 2019 

May 22 (Reuters) - IG Group Holdings PLC ::GROUP WILL SET OUT FOUR LEVERS THAT IT INTENDS TO DEPLOY TO DELIVER REVENUE GROWTH: - EXPANDED DISTRIBUTION CHANNELS; - A GLOBAL FIRM WITH MORE LOCAL FOCUS; - SEGMENTED TARGET MARKETS; AND - MULTI-PRODUCT OFFERINGS.GROUP EXPECTS TO DEPLOY A COMBINATION OF ALL FOUR LEVERS IN SIGNIFICANT OPPORTUNITIES WHICH COMPRISE:. EU: EXPANDING INTO NEW PRODUCTS INCLUDING OPTIONS AND TURBO 24S THROUGH SPECTRUM, GROUP'S MTF.USA: LEVERAGING COMBINATION OF NADEX, RFED AND DAILY FX; - JAPAN: PRODUCT LOCALISATION AND MARKETING; .OTHER ASIA: DEVELOPING PARTNERSHIPS TO ACCESS THESE MARKETS;.INSTITUTIONAL SEGMENT: FOCUSED PROPOSITION FOR AN UNDERSERVED CLIENT SEGMENT..GROUP IS TARGETING FOLLOWING REVENUE GROWTH FROM SUCCESSFUL IMPLEMENTATION OF THIS STRATEGIC PLAN: - CORE MARKETS: REVENUE GROWTH AT AROUND 3-5% PER ANNUM OVER MEDIUM TERM; AND - SIGNIFICANT OPPORTUNITIES: AN INCREASE IN REVENUE OF £100 MILLION, TO AROUND £160 MILLION IN FY22.ASSUMING THESE TARGETS ARE ACHIEVED, GROUP'S REVENUE IN FY22 WILL BE AROUND 30% HIGHER THAN IN FY19.DELIVERY OF THIS TARGETED REVENUE GROWTH WILL REQUIRE ADDITIONAL INVESTMENT. OPERATING EXPENSES, EXCLUDING VARIABLE REMUNERATION, ARE EXPECTED TO BE AROUND £257 MILLION IN FY19, AND ARE EXPECTED TO INCREASE BY AROUND £30 MILLION IN FY20.