XTX Holdings (UK) Limited Posts Double-Digit Profit Decline in 2023

The UK subsidiaries of the global company XTX Markets have published its
financial results for 2023, revealing a double-digit profit decline. Despite
this, the firm’s management views the results positively, noting that 2022
was an exceptionally strong financial year.

Net Revenue and Profit at
XTX Markets UK Sharply Down

According
to the report published this week, XTX Holdings (UK) Limited, which includes
two trading companies, XTX Markets Limited and XTX Markets Trading Limited,
recorded net revenue of £654.4 million, down from £972.7 million reported the
previous year – a 33% drop.

The
decrease in net profit was even more pronounced, shrinking by 56% from £19.2
million in 2022 to £8.4 million last year. However, the company’s management considers
these results satisfactory.

„The
directors consider that the Company’s underlying performance has met
expectations, taking into account the strong performance in 2022 driven by favorable
conditions in several key markets,” the XTX Holding (UK) Limited’s report stated. “Profit after tax
for the year was £8 million, giving a profit after tax margin for the year of
1%.”

However, these are not all the subsidiaries that account for XTX’s operations in the UK. There is also a third one, XTX Markets Technologies Limited, which generates most of the company’s revenues and profits in the region. In its case, there was also a noticeable decline. Net revenue slipped from £1.51 billion to £1.35 billion, falling by over 13%. Meanwhile, net profit decreased by 23%, from £1.08 billion to £826.9 million.

For all UK entities combined, XTX Markets Limited, XTX Markets Trading Limited and XTX Markets Technologies Limited, the total net revenue was slightly above £2 billion, with a net profit of $835.4 million. This means that compared to the record results achieved in 2022, revenue shrank by 20%, and net profit decreased by nearly 24%.

What’s New at XTX?

In April, the company revealed its intention to construct a substantial data center in
Finland. By establishing its own data center, XTX Markets aims to maintain
greater control over its technological infrastructure and ensure the highest
levels of security and performance.

Meanwhile, the
company launched XTX Labs, a dedicated division focused on advancing machine learning-powered algorithmic trading research. The newly introduced AI
Residency Program, spearheaded by XTX Labs, delves into the intersection of
finance and machine learning.

However,
the company has also taken a proactive stance against the growing threat of
financial fraud. In March, XTX Markets warned the public about fraudulent schemes that falsely claim association with its brand. The firm
noted an alarming increase in bogus foreign exchange (FX) and cryptocurrency
scams perpetrated by websites, individuals, and entities attempting to exploit
the trust and reputation of XTX Markets.

This article was written by Damian Chmiel at www.financemagnates.com.



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