BGC Partners updates its outlook for Q4 2019

Maria Nikolova

The revised guidance reflects a backdrop of generally lower industry volumes.

International brokerage and fintech company BGC Partners (NASDAQ:BGCP) has announced that it has updated its outlook for the quarter ending December 31, 2019.

Against a backdrop of generally lower industry volumes, BGC’s revenues and pre-tax Adjusted Earnings for the fourth quarter of 2019 are now expected to be between the low- and the mid-point of the range of its previously stated guidance. This outlook was contained in BGC’s financial results reported on October 24, 2019.

Financial forecast issued on October 24, 2019.

For the third quarter of 2019, the company reported revenues of $521 million, up 14.4% from a year earlier, whereas GAAP income from continuing operations dropped massive 86% to $8.7 million. Post-tax adjusted earnings rose 2.6% from a year earlier to $77.3 million.

Back in October, when the previous guidance was issued, Howard W. Lutnick, Chairman and Chief Executive Officer of BGC, commented:

“We continue to study restructuring our partnership into a corporation, which would simplify BGC’s organization. We will provide an update on this analysis before the end of the year, although any action we may take will not occur until next year.”

On December 18, 2019, Mr Lutnick said:

“We expect to submit a proposal to restructure our partnership into a corporation and simplify our organizational structure to BGC’s Board of Directors and relevant committees by the end of the first quarter of 2020. Upon their review and assuming their approval, our objective is to be positioned to execute the plan by the end of the third quarter of 2020.”

Read this next

Executive Moves

Finalto recruits Antony Parsons as head of liquidity

Finalto, the financial trading division of Gopher Investments, is making a broader push into the liquidity provision space, culminating in a new appointment focused on expanding the business into new markets.

Digital Assets

Huobi introduces Tether’s stablecoins pegged to euro, gold

Huobi, the world’s sixth-largest crypto exchange by trading volume, is set to introduce for its clients two stablecoins representing ownership of physical gold and Euro-pegged tokens.

Retail FX

Saxo Bank reports lackluster volumes for November; FX up 40% YoY

FX trading volumes through Saxo Bank’s platforms improved slightly in November, extending its volatile curve as investors continued to weigh central banks’ policy against concerns over a global economic slowdown.

Executive Moves

CMC Markets taps Finalto’s Julia Free to head UK compliance

CMC Markets PLC (LSE:CMCX) has onboarded Julia Free as its newest head of UK compliance as part of a broader organizational reshuffling at the UK’s biggest spread better.

Digital Assets

Ankr successfully patches hack, will reimburse victims and take actions to prevent further attacks

DeFi protocol Ankr plans to reimburse its affected users after a hacker managed to exploit a bug in its code that allowed for unlimited minting of its liquid staking token.

Industry News

ASIC cancels/suspends AFS license of AFSL Group and Quantum Funds Management

ASIC canceled the AFS license of AFSL Group because it failed to lodge statements and audit reports and it did not maintain AFCA membership. The Australian regulator suspended Quantum because it does not have the required professional indemnity insurance coverage.

Executive Moves

BidX Markets hires Shaun French as Research Analyst – Multi Asset

“We believe with his background in the Financial Markets and being based in Dubai, he will be able to provide our clients with access to outstanding research, while also being in a great location to help support our international clients base which is growing at a rapid pace’’.

Institutional FX

Nasdaq migrates US options exchange to AWS with +10% performance in round-trip latency

Nasdaq has announced the successful migration of the core trading system of Nasdaq MRX – one of its six U.S. options exchanges – to Amazon Web Services (AWS).

Institutional FX

TraditionData launches oil swaps pricing data at a critical time in OTC oil traded markets

TraditionDATA has announced the release of a new proprietary Oil Swap Model (OSM) which brings further visibility into illiquid and opaque oil markets.

<