TradeStation Group Q3 net revenue rises by 2%, customer assets by 33%

TradeStation Group, Inc., a fully owned subsidiary of Monex Group, Inc., has published its financial metrics for its third quarter of the fiscal year 2021. The company saw some significant gains, however, it ultimately ended the quarter in losses.

For the three months ended 31 December 2021, TradeStation saw net revenues of $53.9 million, a 1.8% YoY increase. With a total expense of $69.5 million in the quarter, the company registered a pre-tax loss of $15.7 million and a net loss of $11.3 million.

The US trading platform explained the high expenses and losses during the quarter with increased marketing and headcount to implement.


Key Metrics in the third quarter

TradeStation registered gains in customer accounts with 27,412 new users, making a 81% YoY increase. This brought the total 178,863 customer accounts and 36.1% YoY rise.

Customer assets also increased to to $12.3 billion, including $3 billion in total customer cash. This represented 32.7% and 13% increases YoY, respectively.

The company’s Daily Average Revenue Trades (DARTs) fell 10.2% YoY to 214,690. However, they still rose 5.6% compared to the previous quarter.

John Bartleman, Chief Executive Officer of TradeStation, said:

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.

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, as well as to the considerable skills and efforts of TradeStation’s truly first-rate employees.

TradeStation Group plans to go public on the NYSE through a blank-check company merger.

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