Read it6 Jun 2025 11:01
When you actually read what CMC says it's clear the seller off is a herd mentality. Cruddas is not retiring not selling shares. The tokenisation of assets is the right path and with Revolut partnership and other businesses deals, the B2B revenue grew 12% to 100M whilst retail declined -12% to £149M. So it's clear the B2B will catch up to 50% of trading revenue.
However with increased marketing potentially to retail traders and the tradingview partnership with 100M users, they could turn retail back to growth quite easily. Which is exactly what CMC says they will be doing.
The results are, from forward looking point if view, excellent. Perhaps from rear view not so good - but I'll be forward looking. I've already made loads of money here as I traded this prior to results - but I have no doubts this'll return back higher in time. So I'll be adding shares on this drop, and already did yesterday.
Read this: Selective hedging also potentially increase profits (and risk):
We have continued to focus on expanding our Platform-as-a-Service offering, including progress in our white-labelled proposition, most notably through our partnership with Revolut. In recent years, we have taken a more selective approach to direct-to-consumer trading, scaling back marketing investment in this area - particularly for retail clients - as we focused on more professional clients. However, looking ahead to FY 2026, we see strong potential to reaccelerate growth in the retail segment. This will be supported by key initiatives such as our new partnership with TradingView - the world's largest charting platform and social trading network, used by over 100 million traders and investors globally - as well as the launch of our Bermudan operation.
Our trading revenue is primarily driven by two factors: turnover - the total notional volume of client trades from which we earn spreads, fees and commissions - and client income retention, which reflects the proportion of this income that we convert into revenue. Our business model remains anchored in robust risk management. In the fourth quarter, we implemented a revised market risk appetite, increasing our overall risk tolerance following a detailed review. Under this updated framework, we continue to benefit from natural hedging, with external hedging now applied more selectively, targeting specific asset classes or exposures outside defined limits. This change is expected to be earnings-accretive by lowering hedging costs, though it may lead to increased earnings volatility.
