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British online trading platform IG Group posted higher first-quarter revenue on Thursday, as increased market volatility in August lifted its revenue per user.
The firm said it continued to perform in line with market expectations for the year.
CONTEXT
IG Group's revenue and profit fell last fiscal year due to tough market conditions as high borrowing costs and the cost-of-living squeeze reduced customers' disposable income.
WHY IT'S IMPORTANT
Signs of weakness in the U.S. labour market sparked last month fears of a recession in the world's largest economy, triggering a sell-off in the market and also raising hopes for rate cuts.
Trading across asset classes, which had been on the doldrums, benefited from the volatility.
KEY NUMBERS
Revenue rose 15% to 278.9 million pounds ($364 million) for the three months ended Aug. 31, while active clients declined by 1%. MARKET REACTION
Shares in the company rose 1.4% to 973.5 pence in morning trade.
WHAT'S NEXT
The firm will release its first-half results in January.
($1 = 0.7662 pounds)
(Reporting by Prerna Bedi in Bengaluru; Editing by Subhranshu Sahu)