Plus500 Q3 FY21 Revenue Drops by 2% YoY

Plus500 Q3 FY21 Revenue Drops by 2% YoY

October 25, 2021

Plus500 has published its financials for the third quarter of 2021, reporting a marginal pullback in its revenue and earnings from last year as the effects of the pandemic from the retail trading market are wearing off. However, the numbers jumped significantly when compared to the pre-pandemic levels.

The revenue of the company came in at $211.4 million in the period, which is 2 percent down from the figures of the same quarter in the previous year, according to the latest trading update by the company. This was primarily driven by customer income that came in at $156.9 million.

Additionally, EBITDA for the quarter at $128.6 million declined by 4 percent, while EBITDA margin decreased by 2 percent.

The number of newly onboarded customers in the three months also slumped by 43 percent year-over-year to 26,169, while it closed the quarter with an active customer base of 166,310.

However, all these figures jumped impressively when compared with the same quarter in 2019. Revenue and EBITDA jumped by 91 percent and 83 percent, respectively, whereas the number of new accounts went up by 7 percent.

“Plus500 delivered another excellent performance in Q3 2021, maintaining the strong operational momentum achieved in previous periods,” said David Zruia, CEO at Plus500. “This has been primarily driven by the strength and agility of our technology and our ability to effectively respond rapidly to market developments, news events and customer requirements.”

Bullish Outlook

The London-listed broker recently raised its full-year expectation of revenue and EBITDA. Moreover, it is expanding its market reach with the launch of new products. Furthermore, the broker acquired CFTC-regulated Cunningham earlier this year that gave it access to the lucrative US market.

“We aim to access future growth through continued organic investment and targeted bolt-on acquisitions, as we continue to expand our CFD offering, launch new products and deepen engagement with our customers. Supported by our on-going success in accessing such growth opportunities, we look forward to delivering sustainable growth over the medium to long term,” the CEO added.

Source: Read Full Article