StoneX Group Inc, the parent company of retail FX brands like FOREX.com and City Index, intends to repurchase up to 1 million shares of its stock, according to a filing with the Securities and Exchange Commission (SEC) on August 29, 2022.
The filing states that earlier this month, on August 23, StoneX’s Board of Directors authorized for the fiscal year 2023 the repurchase of up to 1 million shares of its outstanding common stock from time to time in open market purchases and private transactions, starting on October 1, 2022, and ending on September 30, 2023.
Despite the overall market decline this year, StoneX Group has rallied, hitting an all-time high of $98.13 per share in mid-August. It is up 51.8% in 2022 and more than 36% in the last 12 months.
However, in its June quarter, operating revenue fell 3% on a quarter-over-quarter basis to $528.8 million, from the previous $544.7 million. On a year-over-year basis, it gained 23% from the $431.5 million reported the previous year. Quarterly net income was $49.1 million, down from $64 million posted in the last quarter.
At the time, Sean O’Connor, CEO of StoneX Group, stated:
We continued to see strong performance across all products and segments, resulting in net income for the quarter of $49.1 million, up 44% compared to the prior year, and diluted EPS of $2.37. Standout performance was achieved by our retail business, with segment income up 338%, and our physical commodities businesses performed very well with operating revenues up 37%.