FXCM Earnings: Here’s Why Shares are Up Now

FXCM Inc (NYSE:FXCM) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 2.45%.

FXCM Inc Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 181.82% to $0.31 in the quarter versus EPS of $0.11 in the year-earlier quarter.

Revenue: Rose 54.6% to $140.1 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: FXCM Inc reported adjusted EPS income of $0.31 per share. By that measure, the company beat the mean analyst estimate of $0.27. It beat the average revenue estimate of $133.59 million.

Quoting Management: “FXCM turned in one of its best quarters with record revenues and our second highest EBITDA ever – only slightly below the fourth quarter of 2008, when volatility spiked to levels more than double what we saw in the second quarter,” said Drew Niv, Chief Executive Officer. “We have expanded the scale of our business to the point that we were able to deliver outstanding results in a much more moderate climate.”

Key Stats (on next page)…

Revenue increased 14.16% from $122.72 million in the previous quarter. EPS increased 34.78% from $0.23 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.21 to a profit $0.23. For the current year, the average estimate has moved up from a profit of $0.86 to a profit of $0.93 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)