Marex Group (MRX) Q4 2024 earnings summary

Executive summary

• Achieved record Q4 and full-year 2024 results, with Adjusted Profit Before Tax up 40% to $321.1m and revenue up 28% to $1,594.7m, marking 10 consecutive years of profit growth and strong post-IPO share performance.

• Strong client activity, market share gains, and successful integration of acquisitions, including TD Cowen's Prime Services, drove performance.

• Expanded geographic footprint and product capabilities through organic growth and acquisitions, with public float increased to 52% after IPO and follow-on offering.

• Maintained robust capital and liquidity, diversified funding with $600m senior unsecured notes, and announced a $0.14 per share dividend.

Financial highlights

• Q4 2024 revenue rose 28% year-over-year to $415.6m; full-year revenue reached $1,594.7m, up 28%.

• Q4 Adjusted Profit Before Tax increased 55% to $81.4m; full-year Adjusted Profit Before Tax up 40% to $321.1m, exceeding guidance.

• Adjusted operating pre-tax margin improved to 20% for both Q4 and full year; Adjusted Diluted EPS was $3.07, up 33% year-over-year.

• Return on equity was 25%, up 6 percentage points; Adjusted Return on Equity reached 30% for 2024.

• Profit after tax for 2024 was $218.0m, up 54% year-over-year; basic EPS $2.96, up 53%.

Outlook and guidance

• Positive momentum continued into early 2025, with strong client activity and higher market volumes.

• Focus for 2025 is on expanding geographic footprint and product capabilities, with continued margin expansion and active M&A pipeline.

• Expect to close two acquisitions in the coming months and continue selective inorganic investments.

• Tax rate expected between 25% and 26% for 2025, depending on geographic profit mix.

• Investor day scheduled for April 2, 2025 in New York City.