Although start-up losses from IGB narrowed q-o-q to $1.7 million in 1QFY2023, iFast management targets a breakeven only in FY2024. In 1QFY2023 ended March, iFast recorded patmi of $2.98 million, up 129.7% q-o-q but down 48.1% y-o-y. IGB aside, the group’s non-banking operations recorded patmi of $4.68 million for the quarter, down 18.5% y-o-y.
Mainboard-listed iFast Corporation (SGX:AIY
) may be known to investors as a wealth management platform, but the company’s near-term upside appears to increasingly hinge on the trajectory of its UK-licensed iFast Global Bank (IGB), as volatile markets and delays in the group’s Hong Kong operations offer little relief.
Formerly known as BFC Bank, iFast brought the bank into its fold in March 2022, acquiring an 85% stake for some $74 million, financed by a $105 million placement. iFast chief executive officer Lim Chung Chun had warned of “initial start-up losses” last year, and IGB posted a $5.04 million loss for FY2022 ended December, weighing on iFast’s full-year net profit, which plunged 79.0% y-o-y to $6.42 million.
