iFOREX Cuts EBITDA Outlook Amidst Currency Intervention Impact

iFOREX has cut its full-year adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) outlook to $0.5 million to $2.5 million following a 77% year-over-year decline in July trading income.

The company's monthly trading income fell to approximately $720,000 from about $3.1 million in the same period last year, according to FinanceMagnates.com.

iFOREX attributed the decline to joint US-Japan currency intervention on July 30 and 31, which caused the yen's sharp appreciation to move against its net client exposure.

The company also faces a translation effect in Japan, where clients fund their accounts in yen. This results in reduced US dollar value of income generated from those accounts.