CMC Markets Plc (LON:CMCX), a leading global provider of e-retail and institutional platform technology, today issued an update on its cost reduction and efficiency plans.
In its interim results announcement on 16 November 2023, CMC said the business was reaching the peak of its investment cycle and a cost review was planned for H2 with a focus on efficiency across its global operations.
The review has now been completed and as a result the Group will reduce its global workforce by approximately 200 positions, representing approximately 17% of the existing workforce.
CMC is expected to incur a one-off, non-recurring cost of approximately £2.5m in FY24 with an estimated annual saving of £21m to be realized in FY25, representing an 18% reduction over agreed staff costs.
The Group says it continues to focus on increasing efficiency and making structural savings in its global operations.
Cost reductions have been achieved primarily by merging support functions across multiple business areas, streamlining reporting lines and automating processes. The Group will continue to look for opportunities to increase efficiency and control costs, remaining committed to investing in growth opportunities and ensuring that its technology remains market-leading.
Trading remains in line with expectations and the Group is on track to achieve net operating income of between £290-£310m for FY24.