4T Markets UK, formerly known as Formax Prime Capital (UK), reported a substantial rise in revenue for the fiscal year ending March 31, 2024. The company’s revenue soared to £469,322, marking a significant increase from the previous year’s £235,821.
Revenue Driven by White-Label Services
4T Markets’ UK division has pivoted its focus toward technology, with its entire FY24 revenue stemming from white-label fees rather than traditional sources like spread or swap charges. This highlights the firm’s growing role as a technology provider to other players in the retail trading industry. Interestingly, the division’s revenue was entirely generated outside the UK, as detailed in its filing with Companies House.
The broker’s gross profit climbed to £307,252—a stark improvement compared to £102,956 in the previous fiscal year. This growth was achieved alongside significant cost-cutting efforts, as administrative expenses were reduced from £403,000 to £324,747. After accounting for interest income, the company narrowed its net loss to £17,380, a major improvement from the £300,157 loss recorded in FY23.
Plans for Growth and Diversification
4T Markets is now preparing to expand its offerings by introducing new financial asset classes to its client base. The company is already seeking approval from the Financial Conduct Authority (FCA) to move forward with these plans.
A Restructured Ownership Model
The firm has undergone significant ownership changes in recent years. Following a period of business challenges in 2018, 4T Markets restructured its operations and management, with the process spanning into 2022.
Initially, majority ownership of the UK division was transferred to Regalis Trading Solutions in May 2021, while Cyprus-based 4T Global retained a minority 9.95% stake. However, as of December 1, 2023, Regalis transferred its entire shareholding to 4T Global, making the Cyprus-based entity the sole owner of the FCA-regulated UK business.
The company stated in its filing: “Following the transfer of 100% of 4T Markets’ shares to 4T Global Ltd, the Firm has become part of a group of financial and technology companies operating across multiple jurisdictions.”
To strengthen corporate governance, 4T Markets is also planning to add new members to its Board of Directors, including an independent Non-Executive Director who will also serve as a Consumer Duty Champion.
