IG Group Lifts Forecasts as Market Volatility Drives Revenue and Shares Higher
IG Group's Upgraded Revenue Forecasts and Market Performance
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Market Volatility Fuels Revenue Growth
May 19 (Reuters) - Britain's IG Group on Tuesday raised its annual and medium-term revenue forecasts for the second time this year, after market volatility boosted first-quarter organic revenue, sending the spread betting specialist's shares about 8% higher.
Impact of Global Events on Trading Activity
The Iran war has ratcheted up market volatility as investors weigh its impact and shift assets, helping trading activity for platforms such as IG. The company has also sought to tap into faster-growing markets shaped by new trading technologies.
Financial Outlook and Growth Projections
2026 Organic Revenue Growth Targets
IG now expects 2026 organic revenue growth of 10%–15% over the 1.1 billion pounds ($1.47 billion) it reported in 2025. The group earlier forecast growth at the top end of its mid-to-high single-digit percentage range.
Medium-Term Revenue and Profit Margin Expectations
Over the medium term, organic revenue growth of 10% is predicted, with core profit margins in the mid-40s range, consistent with its 2026 expectations.
Market Reaction and Company Developments
Share Price Surge and Listing Considerations
The FTSE 100 company, which is also weighing shifting its listing potentially to the United States, reported a 19% rise in organic total revenue to 331.2 million pounds for the quarter ended March 31.
IG shares rose as much as 9.8% to 1,730 pence by 0817 GMT and were the top percentage gainer on the benchmark index, which was up 0.6%.
Currency Exchange Rate
($1 = 0.7466 pounds)
Reporting Credits
(Reporting by Ankita Bora and Pushkala Aripaka in Bengaluru; Editing by Sonia Cheema and Nivedita Bhattacharjee)
