INTL FCStone Reports 5% Increase in Q1 2020 Operating Revenues

INTL FCStone, , has published its financial results for the first quarter of its 2020 fiscal year, showing an overall uptick in revenues and operating revenues during the period.
The 2020 fiscal year of INTL FCStone ends on the 31st of September, 2020. Therefore, the first quarter for the period is the three months spanning from the 1st of October 2019 until the 31st of December 2019.

During this three-month period, total revenues came in at $11.245 billion. When measuring this against , which had total revenues of $6.552 billion, revenues have increased by 72 per cent.
Net income falls by 5% YoY
Net income for the financial services firm was $16.3 million, which is lower by 10 per cent year-on-year, and quarterly operating revenues during the period increased by 5 per cent to reach $276.8 million.
Speaking on the results, Sean M. O’Connor, CEO of INTL FCStone Inc., said in a statement: “The first quarter of fiscal 2020 was a solid quarter, given difficult market conditions including lower market volatility and declining short term rates. During the quarter, we continued to see progress on the implementation of key initiatives we began in fiscal 2019 as well the continued integration of recent acquisitions which have increased our product offering and expanded our client footprint. 
“While these strategic moves were not yet profitable in aggregate during the quarter, their performance has improved over the immediately preceding fourth quarter and we continue to believe these strategic moves coupled with the continued digitization of our platform will be key initiatives to the continued growth of our global franchise.”
Taking a look at INTL FCStone’s foreign exchange (forex) Prime Brokerage unit, operating revenues dropped by 33 per cent to the prior-year period, hitting $5.0 million in the first quarter.
According to the statement released by the company, this is largely because the prior year period included a $2.7 million settlement received related to the Barclays PLC ‘last look’ class action.
In the first quarter of fiscal 2020 FX volumes also fell on a yearly comparison. Specifically, trading activity fell by 17 per cent year-on-year, with volumes dragged down by lower market volatility.

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