TradeStation Sees 1.8% Q3 Revenue Jump, Customer Assets Jumped 33%

TradeStation, a subsidiary of Monex Group, announced its financials for three months between October and December, its third fiscal quarter. There was significant improvement in some of the key metrics, but the company ended up in losses.

The total net revenue for the quarter came in at $53.9 million, which is 1.8 percent higher than the previous year. But, with a total expense of $69.5 million in the quarter, the platform ended up with a pre-tax loss of $15.7 million and a net loss of $11.3 million.

The company cited increased marketing and headcount for its growth strategy behind the increased expenses and losses.

However, the American
 
 trading platform 
made significant development in customer metrics. It added 27,412 in the quarter with an 81 percent yearly increase. Further, it ended the quarter with 178,863 total customer accounts, a year-over-year increase of 36.1 percent and a quarterly jump of 9.9 percent.

Key Metrics

Additionally, the total amount of customer assets jumped to $12.3 billion, including $3 billion in total cash. These two figures are 32.7 percent and 13 percent higher year-over-year, respectively.

The daily average revenue trades (DARTs) of the platform decreased 10.2 percent year-over-year to 214,690. However, on a quarterly basis, this improved by 5.6 percent.

“We continue to make progress on our investment in marketing to grow our account base, as well as in product initiatives that will enhance our award-winning,
 
 multi-asset 
platform to support our customers’ goal of claiming their financial edge,” said TradeStation’s CEO, John Bartleman.

“Given the unusually high level of trading volume during the first year of the COVID-19 pandemic, which included our prior-year third fiscal quarter, our year-over-year increase in revenue is a testament to our ability to grow our business.”

Meanwhile, the trading platform is going public with a blank-check company merger.

TradeStation, a subsidiary of Monex Group, announced its financials for three months between October and December, its third fiscal quarter. There was significant improvement in some of the key metrics, but the company ended up in losses.

The total net revenue for the quarter came in at $53.9 million, which is 1.8 percent higher than the previous year. But, with a total expense of $69.5 million in the quarter, the platform ended up with a pre-tax loss of $15.7 million and a net loss of $11.3 million.

The company cited increased marketing and headcount for its growth strategy behind the increased expenses and losses.

However, the American
 
 trading platform 
made significant development in customer metrics. It added 27,412 in the quarter with an 81 percent yearly increase. Further, it ended the quarter with 178,863 total customer accounts, a year-over-year increase of 36.1 percent and a quarterly jump of 9.9 percent.

Key Metrics

Additionally, the total amount of customer assets jumped to $12.3 billion, including $3 billion in total cash. These two figures are 32.7 percent and 13 percent higher year-over-year, respectively.

The daily average revenue trades (DARTs) of the platform decreased 10.2 percent year-over-year to 214,690. However, on a quarterly basis, this improved by 5.6 percent.

“We continue to make progress on our investment in marketing to grow our account base, as well as in product initiatives that will enhance our award-winning,
 
 multi-asset 
platform to support our customers’ goal of claiming their financial edge,” said TradeStation’s CEO, John Bartleman.

“Given the unusually high level of trading volume during the first year of the COVID-19 pandemic, which included our prior-year third fiscal quarter, our year-over-year increase in revenue is a testament to our ability to grow our business.”

Meanwhile, the trading platform is going public with a blank-check company merger.

Source: https://www.financemagnates.com/forex/brokers/tradestation-sees-18-q3-revenue-jump-customer-assets-jumped-33/