Spreadbetting company, CMC Markets, has this morning issued a profit warning. The group, which saw massive share price appreciation in 2020 during the pandemic as its customer numbers swelled, has revealed that it now expects for the FY 2022 net operating income to be between £250-280m. In July it was saying it would be £330m so today's update is a profit warning.

The update from CMC Markets said "overall monthly client numbers…remain up by a third from pre-pandemic levels. Likewise client AuM remains near record levels, highlighting the inherent ability of clients to trade when market opportunity arises."

The group blamed client income retention being below the targeted 80% and lower market volatility in July and August, which continues a trend seen in Q1 this year. Back then, the group was saying "client income retention remained in excess of 80%, but below the levels reported for FY 2021, as previously guided. Q1 2022 operating costs track moderately higher year over year as guided due to a higher headcount, specifically talent for our new non-leveraged investment platform."

CMC Markets continues to develop its non-leveraged investment platform.

Before today CMC Markets shares were up around 4.6% so far this year.

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