RNS Number:6224O
Commoditrade Inc.
25 February 2008

25 February 2008

                                Commoditrade Inc

                        ("Commoditrade" or "the Company")


                            Pre-Close Trading Update


Commoditrade Inc (AIM: CMM), the commodities investment company, is pleased to
announce a trading update ahead of its preliminary results announcement for the
year ending 31 December 2007, due to be released in the week commencing 21 April
2008. Despite the more challenging conditions experienced in the latter part of
the year the Board is pleased with the overall performance for the year with the
Company continuing to produce good levels of trading profits and strong cash
flows, and accordingly expects profit before tax, amortisation and share based
payments for the year ended 31 December 2007 to be not less than �16 million.


The Company produced a solid performance in the first six months of 2007 with
revenues from the LME Team coming in line with expectations, based on strong
volumes, volatility and liquidity .  The summer period of July and August
returned to more subdued market activity which was reflected in lower revenues
through to the third quarter.  The final quarter saw lower levels of liquidity
particularly as the financial markets became less stable and investors became
more cautious of market conditions.  The resulting lower liquidity combined with
narrowing spreads led to a more challenging trading environment, particularly in
the final two months of the year when overall trading volumes became
progressively thinner. However, notwithstanding these conditions, the trading
team continued to generate profits as evidenced by the strong performance
outlined above.


On 26 November 2007 the Board announced that it had decided to exercise its
authority to buy back its own shares on an opportunistic basis subject to market
conditions and since that date the Company has purchased 45,505,000 millions
shares representing 11.9 per cent of the original issued share capital at a
total cost of �11.22 million.  The Company has 336,768,114 Ordinary Shares in
issue and this figure may be used by shareholders as the denominator for the
calculations by which they will determine if they are required to notify their
interest in, or a change to their interest in, the Company.


As the Company is now entering a close period, the Board has closed the buy back
programme with immediate effect.


The board continues to remain alert to opportunities for developing the
Commoditrade business in line with its stated strategy of creating a group that
combines commodities expertise with complementary trading areas.


Graham Butt, Chief Executive, Commoditrade Inc, said:


"The Company has performed well in 2007. Despite more challenging conditions
continuing into the current financial year, volatility and liquidity levels are
showing signs of improvement and the Board will continue to assess opportunities
to develop the Commoditrade business as they arise."



Enquiries:


Graham Butt, Chief Executive
Commoditrade  Inc                             tel: +44(0)20 7250 1100


James Harris, Strand Partners                 tel: +44(0)20 7409 3494


John Bick, Hansard Group                      tel: +44(0)20 7245 1100


www.commoditrade.net


                      This information is provided by RNS
            The company news service from the London Stock Exchange
END

TSTUSAKRWORUURR
Commoditrade (LSE:CMM)
Historical Stock Chart
From Jun 2024 to Jul 2024 Click Here for more Commoditrade Charts.
Commoditrade (LSE:CMM)
Historical Stock Chart
From Jul 2023 to Jul 2024 Click Here for more Commoditrade Charts.