Forex dealings boost MFS bottom line
Published:Friday | December 12, 2025 | 12:07 AM
MFS Capital Partners Limited has doubled its earnings in the September quarter, with foreign exchange trading emerging as a key driver of profitability.
Revenue in the period rose to $41.43 million, from $21.3 million earned in the corresponding first quarter of the prior year.
The company chalked up profit of $12.08 million, despite the absence of the one-off gains that boosted 2024 results.
MFS Capital CEO Dino Hinds attributes the performance largely to forex market volatility, which widened spreads and created opportunities for the group’s cambio operations.
“Our FX gains were very good this year. Whenever there is volatility in the foreign exchange market, it allows you to get better spreads and better opportunities,” Hinds told the Financial Gleaner. “So, whilst there might be lower supply, volatility means wider spread and better opportunities,” he said.
The company’s first-quarter results show that cambio and remittance services are the backbone of the company’s revenue streams, complemented by interest income and trading gains from its equity portfolio. Other operating income fell sharply to $1.8 million, compared to $52 million the year prior, when the group benefited from a significant intercompany write-off.
The company acquired a microfinancing business but has opted to go in a different direction.
“We have not had microloans for more than two years now,” Hinds said, adding that the company also does not hold a microcredit licence, which is required to engage in such business.
Meanwhile, the company is focusing on its plans for expansion. Applications have been submitted for new locations, including Windward Road, and for additional services at existing branches.
“There was a hiccup because we had to resubmit after a name change,” Hinds explained. “I don’t know why the process is taking so long, but our applications for all our new locations have been submitted.”
The CEO also hinted at moves that could reshape the group’s earnings profile.
“We are trying to close a couple of transactions before the AGM,” he said. “The expectation is that, on or before the AGM, we should be able to make the announcements because we have two objectives in mind now: one is to diversify our earnings, and two, we’re looking to raise some money so we’re better able to react to opportunities.” No date for the meeting has yet been published.
At the close of the September quarter, MFS’s total assets climbed to nearly $850 million and equity improved to $305 million.