Two key UK
subsidiaries of US market-making giant Citadel Securities delivered contrasting
financial performances in 2024, with the company’s European trading unit facing
headwinds while its finance arm posted robust growth.
Combined,
the two entities generated comprehensive income of $1.01 billion, representing
a 12.3% increase from the previous year’s $903.4 million.
Citadel
Securities Europe Limited, the firm’s primary market-making operation in the
region, saw comprehensive income tumble 58% to $47.3 million from
$112.8 million the previous year. Revenue fell 28% to $310.8 million as
trading volumes declined across the company’s core markets.
The unit,
which focuses on liquidity provision in equities , futures, interest rate swaps
and government securities, attributed the downturn to reduced market activity.
Operating expenses dropped 15% to $239.3 million, though this wasn’t enough to
offset the revenue decline. Operating profit plummeted 53% to $71.5 million.
“The
decrease in income and operating expenses was in line with expectations
following a corporate structure reorganization which resulted in all staff
employed by the company transferring to related CS Group entities,” the
company noted in regulatory filings.
Despite the
challenges, Citadel Securities Europe maintained its focus on expanding
electronic trading capabilities. The unit plans to leverage its fixed income
platform to enter GBP-denominated instruments and is eyeing expansion into
China.
Financial Performance
Comparison – Citadel Securities UK Subsidiaries
Metric | Citadel Securities Europe Ltd 2024 | YoY Change Europe (%) | Citadel | YoY Change Finance (%) |
Total Income | $310.8M | -28.1% | $1,920.7M | +3.6% |
Operating Expenses | $239.3M | -14.8% | $953.8M | +5.2% |
Operating Profit | $71.5M | -52.7% | $2,050.4M | +10.6% |
Total Comprehensive Income | $47.3M | -58.1% | $966.9M | +22.3% |
Finance Arm Shows More Resilience
Citadel
Securities Finance UK Limited painted a markedly different picture, with
comprehensive income surging 22% to $966.9 million. The investment-focused
unit, which trades financial instruments on a proprietary basis, generated
revenue of $1.92 billion, up 4% from the prior year.
The finance
unit’s return on capital employed remained strong at 35%, though down from 48%
in 2023. Shareholders’ equity climbed to $2.7 billion from $1.9 billion,
reflecting the unit’s robust trading performance across multiple asset classes.
Operating
expenses rose 5% to $953.8 million as the company continued investing in
trading strategies and technology infrastructure. The unit also expanded its
treasury services to other Citadel Securities entities.
Combined Operations Show
Growth
When
combined, the two UK units delivered total comprehensive income of $1.01
billion, representing a 12% increase from the previous year’s $903.4 million. The finance unit’s strong performance more
than compensated for the European trading arm’s decline.
Both
entities maintained strong balance sheets with no long-term debt. The
companies’ combined shareholders’ equity exceeded $3 billion.
Combined UK Operations Summary
Year | Combined Total Income | Combined Operating Expenses | Combined Comprehensive Income | Combined Total Assets | Combined Shareholders Equity |
2024 | $2,231.5M | $1,193.1M | $1,014.2M | $8,359.5M | $3,047.2M |
2023 | $2,286.2M | $1,187.5M | $903.4M | $6,872.1M | $2,292.0M |
Change (%) | -2.4% | +0.5% | +12.3% | +21.6% | +32.9% |
You may also like other news related to Citadel Securities:
- Citadel Securities’ Holding Company Revenue Jumps 120% amid Expansion Plans
- Exclusive: Bryan Seegers Joins Citadel Securities
Two key UK
subsidiaries of US market-making giant Citadel Securities delivered contrasting
financial performances in 2024, with the company’s European trading unit facing
headwinds while its finance arm posted robust growth.
Combined,
the two entities generated comprehensive income of $1.01 billion, representing
a 12.3% increase from the previous year’s $903.4 million.
Citadel
Securities Europe Limited, the firm’s primary market-making operation in the
region, saw comprehensive income tumble 58% to $47.3 million from
$112.8 million the previous year. Revenue fell 28% to $310.8 million as
trading volumes declined across the company’s core markets.
The unit,
which focuses on liquidity provision in equities , futures, interest rate swaps
and government securities, attributed the downturn to reduced market activity.
Operating expenses dropped 15% to $239.3 million, though this wasn’t enough to
offset the revenue decline. Operating profit plummeted 53% to $71.5 million.
“The
decrease in income and operating expenses was in line with expectations
following a corporate structure reorganization which resulted in all staff
employed by the company transferring to related CS Group entities,” the
company noted in regulatory filings.
Despite the
challenges, Citadel Securities Europe maintained its focus on expanding
electronic trading capabilities. The unit plans to leverage its fixed income
platform to enter GBP-denominated instruments and is eyeing expansion into
China.
Financial Performance
Comparison – Citadel Securities UK Subsidiaries
Metric | Citadel Securities Europe Ltd 2024 | YoY Change Europe (%) | Citadel | YoY Change Finance (%) |
Total Income | $310.8M | -28.1% | $1,920.7M | +3.6% |
Operating Expenses | $239.3M | -14.8% | $953.8M | +5.2% |
Operating Profit | $71.5M | -52.7% | $2,050.4M | +10.6% |
Total Comprehensive Income | $47.3M | -58.1% | $966.9M | +22.3% |
Finance Arm Shows More Resilience
Citadel
Securities Finance UK Limited painted a markedly different picture, with
comprehensive income surging 22% to $966.9 million. The investment-focused
unit, which trades financial instruments on a proprietary basis, generated
revenue of $1.92 billion, up 4% from the prior year.
The finance
unit’s return on capital employed remained strong at 35%, though down from 48%
in 2023. Shareholders’ equity climbed to $2.7 billion from $1.9 billion,
reflecting the unit’s robust trading performance across multiple asset classes.
Operating
expenses rose 5% to $953.8 million as the company continued investing in
trading strategies and technology infrastructure. The unit also expanded its
treasury services to other Citadel Securities entities.
Combined Operations Show
Growth
When
combined, the two UK units delivered total comprehensive income of $1.01
billion, representing a 12% increase from the previous year’s $903.4 million. The finance unit’s strong performance more
than compensated for the European trading arm’s decline.
Both
entities maintained strong balance sheets with no long-term debt. The
companies’ combined shareholders’ equity exceeded $3 billion.
Combined UK Operations Summary
Year | Combined Total Income | Combined Operating Expenses | Combined Comprehensive Income | Combined Total Assets | Combined Shareholders Equity |
2024 | $2,231.5M | $1,193.1M | $1,014.2M | $8,359.5M | $3,047.2M |
2023 | $2,286.2M | $1,187.5M | $903.4M | $6,872.1M | $2,292.0M |
Change (%) | -2.4% | +0.5% | +12.3% | +21.6% | +32.9% |
You may also like other news related to Citadel Securities:
- Citadel Securities’ Holding Company Revenue Jumps 120% amid Expansion Plans
- Exclusive: Bryan Seegers Joins Citadel Securities