The first quarter of this year was the strongest quarter ever as the company’s revenue, gain, and other income rose to £43.9 million, which is 216% higher than the same period last year.
CoinShares International Limited, an asset management company specializing in digital assets, has set a new standard in its financial performance after it released its Q1 financial results for 2024. During this period, the company experienced an exceptional level of expansion and success.
CoinShares in Q1 2024
In a document released, the asset management CEO Jean-Marie Mognetti revealed that the first quarter of this year was the strongest quarter ever as the company’s revenue, gain, and other income rose to £43.9 million, which is 216% higher than the same period last year. Also, the total income for the first quarter reached £34.1 million, compared to just £ 2.9 million in the first quarter of 2023. He said:
“Q1 2024 is our strongest quarter ever, with combined revenues, gains, and income of £43.9 million (+216% YoY) for an adjusted EBITDA of £34.2 million (78% margin).”
Mognetti further mentioned that this achievement is not only about financial performance but also reflects CoinShares’ commitment to expanding its presence worldwide, as recently demonstrated in its acquisition of Valkyrie’s ETF business in March 2024. The acquisition of Valkyrie ETF and the approval of ETFs in the United States are opportunities for CoinShares to further establish itself as the worldwide leader in the asset management industry.
Success Contributors
The asset manager had a lot of inflow from CoinShares Physical, which was essentially part of the improvement in financial performance. This division achieved its highest-ever quarterly performance in management fees, which is about £3.3 million, a considerable increase compared to the same period in 2023, which was £0.6 million. Moreover, the introduction of staking CS physical Ethereum also boosted the performance of CoinShare, which ultimately led to a 64% increase in Asset Under Management (AUM) – £567.2 million to 932.1 million.
Aside from the CoinShare Physical, XBT Provider also contributed to the overall financial performance, earning £15.7 million in fees for the first quarter compared to £8.3 million in the same quarter the previous year. This was made despite experiencing a net outflow of approximately US$238.3 million (£188.6 million) during the quarter (compared to US$27.4 million (£21.7 million) in Q1 2023), but the company still achieved huge fee income.
Hence, the AUM increased by 54% during the quarter, rising from US$2.38 billion (£1.87 billion) to a closing AUM of US$3.65 billion (£2.89 billion). The Capital Market & Hedge Fund Solutions also delivered top-tier performance bolstered by vibrant market activity and gains from staking and trading.
The company’s board of directors has approved a new dividend policy for the fiscal year 2023, committing to an annual dividend of 20% to 40% of the group’s total comprehensive income. The initial payment was disbursed on May 3rd, and three more are scheduled throughout the year.
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