INTL FCStone 2011 Annual Report Download - page 9

receivables from exchange-clearing organizations,
counterparties and customers, and  nancial
instruments owned, at fair value.
As of September 30, 2011, we had committed bank
facilities of $375 million, of which $77.4 million was
outstanding.
Over a  ve-year period, management believes that
our strategy has delivered outstanding growth to
our shareholders both in absolute terms as well
as in terms of Compound Annual Growth (“CAG”).
Over the last  ve years, adjusted results show
revenues up 500% (CAG 57%), net income from
continuing operations before tax up 288% (CAG
40%), shareholders’ equity up 450% (CAG 53%) and
net book value per share up 143% (CAG 25%).
A more detailed description of each of our
 ve operating segments is included under the
Management Discussion and Analysis section of
the attached 10-K  ling.
Looking Forward
The current global economic environment is
characterized by weak or negative growth;
continued uncertainty in the European
Community; growing opportunities and risks in
China, India, Brazil and smaller emerging markets;
and ongoing volatility in commodity prices.
Regardless of the prevailing economic winds
INTL FCStone always endeavors to maintain a
steady course characterized by providing value-
added solutions to our customers around the
world. Our strategy has been, and will remain,
straightforward: An unwavering focus on
providing high value-added service, using our
expertise, experience, technology and capital to
reduce risk, protect and enhance our customers’
bottom lines, and provide e cient solutions in
more-complex  nancial markets.
We have two central challenges facing us in  scal
2012 and thereafter. The  rst is to continue to
weather the challenges of a di cult economic
environment by maintaining the focus on prudent
management of risk that has helped to drive our
growth. The second challenge — having now
assembled the key components and capabilities
for a much-larger franchise — is for management
to deliver the growth and returns we believe are
now possible.
Management has a simple, four-part strategy for
achieving these objectives:
• Expand the customer footprint and
relationships globally. There are huge markets
and large numbers of potential customers
available to us. Although our customer-
focused approach takes time and requires
patience, we have already established critical
beachheads in key markets.
• Leverage all of our capabilities into every
customer relationship and in so doing make
each relationship more valuable to us and
more meaningful for the customer.
• Internalize and maximize the margins on all
of our products. We have already proved the
power of internalizing margins on structured
products and see more opportunity to do this.
• Stringent control of overhead.
Members of the management team are signi cant
owners of the company and have their interests
aligned with those of our shareholders. The
management team is encouraged and excited
by the longer-term opportunities, as our clear
customer focus has now been validated with
strong  nancial performance and potential for
signi cant growth.
We would like to thank all of our colleagues for
their contribution to this year’s performance, our
Board and advisors for their guidance, our bankers
for their  nancial support and our shareholders for
entrusting their capital to us.
Sean M. O’Connor
Chief Executive O cer
8 | 2011 INTL FCStone Annual Report
Our clear customer focus
has now been validated with
strong  nancial performance
and potential for signi cant
growth.