Pretax losses treble at SFS in final year of business

Pre-tax losses more than trebled at spread-betting firm, Shelbourne Markets, to €1.33m, in its final year in business.

SFS Markets Ltd, formerly Marketspreads Ltd, sold its spreadßbetting business to a UK firm in July of last year. Newly filed accounts show that directors of SFS Markets — trading as Shelbourne Markets — made the decision after further losses were incurred in 2014 as revenues plummeted.

The €1.33m loss for the seven months to the end of last July followed a loss of €435,927 for the whole of 2013. Revenues dived from €3.22m to €968,609 last year.

Last year’s loss, however, includes €376,171 in exceptional costs relating to the disposal of the firm to Monecor (London) Ltd and these costs include redundancy costs, contract termination costs, accelerated depreciation charges and a credit for release of deferred rent.

According to a note attached to the accounts “the proceeds of sale of the business are on terms whereby SFS will receive payments based on gross revenues earned by Monecor (London) Ltd on trading activities undertaken by former clients of SFS in the period to July 11th 2017”.

The statement adds that “as the considerable receivable is based on future trading activities, the level of which is uncertain, the group will recognise proceeds as they are received”.

The accounts also reveal that a loan of €1.2m made in April 2012 to the firm from three other entities, including one controlled by director, Enrique Curran was repaid post last July.