IG Group Limited, the intermediate holding company for IG Group Holdings plc’s subsidiary undertakings, posted a profit before tax of £78.5 million for the financial year ended May 31, 2021, down 51% from £160.3 million in the prior year.
The London-based company, which primarily holds investments in group companies, recorded dividend income of £79 million during the fiscal year, a decline from £160.8 million received in the year ended May 31, 2020. Operating costs remained flat at £0.5 million for both periods.
Net assets decreased to £170.9 million from £336.5 million in the prior year. The company’s investment in subsidiaries fell to £169.3 million from £330.1 million, reflecting a £164.9 million return of capital from subsidiaries that entered Members’ Voluntary Liquidation on May 28, 2021.
During the year, IG Group Limited paid dividends totaling £248.2 million to its sole shareholder, IG Group Holdings plc, compared to £160.8 million in the previous fiscal year. The company also received dividend income of £79 million from within the group.
Share capital increased to £34.7 million from £30.6 million following the issuance of 40,424,000 ordinary shares during the year. The directors noted the company performed strongly during fiscal 2021 despite the Covid-19 pandemic, benefiting from the group’s long-term technology investments enabling remote work capabilities.
The financial statements were audited by PricewaterhouseCoopers LLP and approved on September 29, 2021.
